Cannery of Russian Billionaire Stepped to Profit

JSC AzNar named after Teymur Ahmadov for the first time since its acquisition by Farkhad Akhmedov, the Russian billionaire of Azeri origin, stepped to profits, although the businessman claimed in 2013 that the minority shareholders will not see dividends for another 7-8 years.

According to the published financial statements AzNar for the year 2012-2014, it is noted that the profit from the sale of fruit juice and so on products of canning industry was 342.4 thousand manats with total sales of products in the amount of 1 million 696.2 thousand manats. Sales volume grew by 7.3%, while the cost of sales decreased by 22.2%.

The Baku office of AzNar told Turan that the products of the company are mainly exported to foreign countries (Russia, Poland, Germany, USA, Australia, and New Zealand).

In 2014, administrative expenses of AzNar were reduced by about three times, and amounted to about 376 thousand manats. Taking into account other income and expenses balance profit of the company amounted to 32,398 manat. After subtracting profit tax (20%) and dividends (10%), 23.3 thousand manats was directed to the payment of dividends to shareholders. Farkhad Akhmedov will receive 99.94% of that amount, in line its share in the company.

According to the financial report, last year the long-term debt (18 million 484.1 thousand manats) of AzNar named after Teymur Akhmedov rose by about 4 million manats. At the same time losses of the company unpaid by the shareholders reached 12.5 million manats. Therefore, the payment of dividends can be considered as social action in relation to 23 individuals, shareholders of the JSC, which waited for this since the privatization of the Geokchay cannery in 1998. -----08B