APU (APU), one of the TOP 10 companies with the most number of shareholders in Mongolia, made a profit of ₮71.7 billion in the first half.

• In a nutshell: APU sold 86 million liters of 371 types of products, earned ₮518 billion, paid ₮200 billion in taxes, and made a profit of ₮71.7 billion.
• Dividend: APU has recently announced its distribution of ₮45 per share from its half-year profits, scheduled to take place within the current year.

Let's turn to the financials:

The company made a profit of ₮71.7 billion in the first half, which is a 12.7% decrease from a year ago. This is because,

• Income & Expense: APU's sales income increased by 32.4% to ₮517.9 billion due to the growth of milk products and export sales. However, the profit decreased as the cost of sales increased by 44.6% and operating expenses also increased by 65.2% respectively.
• Margin: As a result, the operating margin of the company decreased by 10 percentage points to 17%, and the net profit margin decreased by 7 percentage points to 14%.
• Ratio: Also, their average ROE fell to 10.9% from 13% a year ago. And the P/B ratio was 2.1 as of the 4th of August.

Business activity

This year, APU started the operation of a subsidiary company in China in order to increase its share in the international market, especially to increase its sales in Asia. Consequently, they have started re-supplying the Sengur brand in China. Moreover,

• : APU Dairy has signed a cooperation agreement with Bulgaria.
• : Signed an export contract with Kazakhstan.
• : The Genghis Khan brand has started to be sold in Moscow and St. Petersburg, Russia.

So, APU's performance in the first half of this year has been mixed.