Three months of AB Akola Group – EUR 394 million in revenue

Consolidated revenues of the subsidiaries of AB Akola Group (the Group) for the three months of the financial year 2025/2026 amounted to EUR 394 million, 3% higher than in the corresponding period of the previous year.

The Group sold 791 thousand tons of various products, or 7% more than in the same period last year. Gross profit increased by 27% to EUR 56 million and operating profit by 43% to EUR 27 million. Consolidated earnings before interest, taxes, depreciation and amortization (EBITDA) amounted to EUR 36 million, 34% higher than the previous year. Net profit increased by 53% to almost EUR 20 million.

"All our business segments contributed meaningfully to the Group’s performance in the first quarter. Strong poultry margins in Food Production, growing demand and efficiency gains in Partners for Farmers, and a resilient Farming portfolio despite seasonal pressures together created a well-balanced result. This is exactly where our strength lies — diversification allows us to offset temporary challenges in one area with stronger performance in others. It helps us maintain stable profitability, manage risk more effectively, and build a resilient Group overall," said Mažvydas Šileika, Deputy CEO for Finance and Investments of AB Akola Group.

Partners for Farmers

In the first quarter of FY2025/2026, the Partners for Farmers segment generated EUR 275 million in revenue, with gross profit of nearly EUR 30 million and operating profit of EUR 13 million.

A large Baltic harvest supported elevator performance, although weather delays made the season intensive. SIA Elagro Trade acquisition added 117 thousand tons of processed grain. Margins declined due to lower hectoliter weight, especially in northern and western Lithuania.

Grain and oilseed purchases grew 24% year-on-year, despite quality losses from excess moisture and pressure on prices. Efficient procurement helped reduce trading costs and significantly improve gross profitability, though full-year results will depend on future market trends.

“The agricultural machinery segment grew by nearly 40%, led by a 61% increase in Lithuania, supported by proactive farmer investments and timely deliveries. Spare parts and service revenues stayed stable, while rental activity decreased by around 10% due to seasonality. Equipment sales and installations grew by 34%, driven by ongoing long-term projects,” said M. Šileika.

Food Production

In the first quarter of FY2025/2026, the Food Production segment generated EUR 123 million in revenue — 15% more than a year ago — with gross profit of EUR 24 million and operating profit of EUR 13 million.

Poultry operations remained stable and efficient, with no disease outbreaks, healthy flocks, and historically high market prices. In Latvia, productivity indicators improved notably, while Lithuania maintained steady results. Early grain purchases helped reduce feed costs and supported profitability.

In flour and flour mixes, production volumes were stable, though sales to third parties fell by 28% after a major client’s withdrawal. The Group successfully redirected volumes to internal production, increasing the share used for instant food and breadcrumbs from 36% to 54%, which helped improve gross margins from 11% to 14% despite lower revenues.

“Our Food Production segment continues to show resilience and efficiency — strong poultry performance, cost control, and effective reallocation of flour volumes helped sustain growth and protect margins despite market shifts. Poultry demand remained stable, although a seasonal slowdown is expected in the coming months due to lower outdoor grilling activity,” said M. Šileika.

Farming

In the first quarter of FY2025/2026, the Farming segment generated EUR 12 million in revenue, with gross profit of EUR 1.5 million and operating loss of EUR 26 thousand.

Crop production increased 8.5%, with strong winter wheat, a 28.8% rise in malting barley yields, and stable rapeseed quality. About two-thirds of the harvest was already sold, and efficiency improvements lowered production costs to ~EUR 20/t. Dairy performance was stable: the herd grew to 3,213 cows, milk output dipped 4.9%, but quality improved, and raw milk prices rose 23% to EUR 448/t, supporting solid revenues.

“Higher yields, improved efficiency, and stronger milk prices supported solid underlying performance despite market volatility. As most revenue in Farming is realised later in the year, first-quarter results are not representative of full-year profitability,” said Mažvydas Šileika, Deputy CEO for Finance and Investments of AB Akola Group.

Other Products and Services

In the first quarter of FY2025/2026, the Other Products and Services segment generated EUR 5 million in revenue, with gross profit of EUR 1 million and operating profit of EUR 186 thousand.

Pet food production grew by 4%, offsetting a 24% decline in resold extruded products. As a result, revenue rose 2%, though gross margin decreased from 17% to 12% due to more low-margin orders. New equipment, expected to be fully operational by Q2, will further boost efficiency.

The veterinary pharmaceuticals business delivered a 26% sales increase to EUR 2.0 million and 40% higher gross profit, while pest control and hygiene revenues surged 43%, driven by new clients and strong summer demand.

AB Akola Group is the largest agribusiness and food production group in the Baltics, employing over 5,000 people and covering the full “field-to-fork” chain. In FY2024/2025, the Group’s revenue reached EUR 1.58 billion, with 3.1 million tons of products sold. Gross profit totaled EUR 194 million, operating profit EUR 79 million, EBITDA EUR 110 million, and net profit EUR 61 million.

For more information:

Mažvydas Šileika

Deputy CEO for Finance and Investments at AB Akola Group

E-mail 

Mob.  403

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