You're reading: Milkiland recommends paying dividends for first time

The board of directors of Milkiland, a dairy group with assets in Ukraine, Russia and Poland, has proposed that the dividend policy of the company be changed and modest dividend payments be started.

“The Board of Directors of Milkiland N.V. on its meeting on April 26, 2013 resolved to recommend that the General Shareholders Meeting of Milkiland N.V. consider changes to dividend policy and start modest dividend payments based on the results of the Milkiland Group in 2012,” reads a report of the company on the Warsaw Stock Exchange (WSE) issued on Monday.

The size of dividends is not disclosed.

According to the report published on Monday, the company’s market capitalization in 2012 grew by 4.3 percent, to 110.84 million euros, while in 2010 it reached 360.66 million euros. In 2012 the company saw 13.56 million euros in net profit, which is 8.4 percent down year-over-year. Its consolidated revenues reached 287.01 million euros, representing 2.6 percent growth compared to 2011.

Milkiland Group is a top five CIS diversified dairy producer operating in Russia, Ukraine and Poland. In Ukraine, the group operates 10 plants and offers a wide range of fresh dairy, cheese and butter under the Dobryana and Kolyada brands.

In early August 2012, Milkiland bought Mazowiecka Spoldzielnia Mleczarska Ostrowia.

Earlier MHP, the largest poultry producer in Ukraine, announced the payment of its first dividends.