Cherkizovo's H1 2025 Revenue Rises 9.8% to 136.9 Billion Rubles as Margins Narrow

Cherkizovo Group, one of the largest producers of pork, poultry, turkey and processed meat products in Russia, reported consolidated revenue of 136.9 billion rubles under IFRS for the first half of 2025 — up 9.8% from 123.8 billion rubles a year earlier, the company said in its results release.

The top-line growth, however, came with visible margin compression: adjusted EBITDA and net profit both declined, while net debt rose by nearly a third.

Key IFRS metrics for H1 2025

• revenue — 136.9 billion rubles, up 9.8% from 123.8 billion rubles in the first half of 2024;
• adjusted EBITDA — 19.8 billion rubles, down from 22.2 billion rubles; the adjusted EBITDA margin narrowed to 14.4% from 17.8%;
• net profit — 6.893 billion rubles, against 16.028 billion rubles a year earlier;
• adjusted net profit (excluding the net change in the fair value of biological assets and certain other items) — 1.408 billion rubles, compared with 9.772 billion rubles;
• net operating cash flow — 7.729 billion rubles, down from 15.219 billion rubles;
• net debt — 149.769 billion rubles, up from 114.176 billion rubles.

What drove the revenue growth

The company attributed the 9.8% increase to two components: a 4.5% rise in physical production and a 5.2% increase in average prices. Price dynamics differed across product lines:

• chicken meat became 5.1% cheaper year-on-year;
• pork prices rose by 11.9%;
• turkey prices rose by 6.3%.

Output expansion was supported by three regional projects: the acquisition of a poultry asset in Tyumen Oblast, higher poultry production in Altai Krai, and the restart of broiler sites in Chelyabinsk Oblast after reconstruction.

Foodservice and exports outpace the core market

The fastest growth came from channels beyond grocery retail. Foodservice sales increased 21% in monetary and 18.4% in physical terms as the group expanded both in the wholesale channel and non-chain HoReCa establishments, and with major fast-food chains. Export sales rose 27% in value and 33% in volume on stronger shipments to the Commonwealth of Independent States, Asia and the Middle East.

The 2024 baseline

The half-year figures continue the mixed picture of last year. Consolidated revenue for 2024 increased 13.7% to 259.281 billion rubles, while adjusted EBITDA fell 4.7% to 46.35 billion rubles and adjusted net profit dropped 25.6% to 20.353 billion rubles. In physical terms the group sold 1.319 million tonnes of meat products in 2024, 8.9% more than the 1.211 million tonnes shipped in 2023.

The scale of the group

Cherkizovo operates 15 poultry complexes, 20 pig farms, 13 meat-processing plants, 13 feed mills, 20 grain elevators, an oil-extraction plant and more than 360,000 hectares of farmland. The results were published on August 29, 2025 and reported by Interfax.