ROS Agro : Rusagro announces trading update for 1Q 2023

ROS AGRO PLC trading update 1Q 2023

TRADING RESULTS 1Q 2023

Structure of Rusagro Sales* for 1Q 2023

million roubles
-23%	Oil & Fat segment
			23,357
63,888			-33%q-o-q
		22%
	49,389
			47%
			19%
1Q 2022	1Q 2023		12%
			Agriculture segment
OIL & FAT SEGMENT	5,896
-28%q-o-q

Meat segment 10,725

+16% q-o-q

Sugar segment 9,411

-17%q-o-q

In 1Q 2023 Rusagro's consolidated sales before intersegment eliminations reached 49.4 billion roubles. In comparison to 1Q 2022 sales decreased by 23%

(-14.5 billion roubles). This has occurred mainly as the result of the decrease in revenue of oil &fat segment due to lower selling prices amid falling global oil prices and the dollar/ruble exchange rate, as well as the decrease in sales volumes realized at high profitability due to the decrease in cost

Production of Crude vegetable oil

of goods sold.

thousand tonnes

	-25%			181		-17%
176		176
	159
132		124	132

1Q 2022

1Q 2023

1Q 2022

2Q 2022

3Q 2022

4Q 2022

1Q 2023

In 1Q 2023 Rusagro produced 132 thousand tonnes of crude vegetable oil, which is 25% (-44thousand tonnes) less than in the same quarter of the previous year. The decrease is attributable to market conditions and difficulties with the vessels shipment due to ice situation in Astrakhan in January and February 2023.

Sales volume of industrial oil & fat and dairy products

thousand tonnes			Dry mixes			Bulk oil
											Industrial fats			Meal
			-18%											332				-12%
325					325	324
				303
																		4
	4		266			4			4					266
					62		72			4
79	79
	3											3
						84
92	76	92	108		84						76
54						84	54
149	133	149	149		171		131	133
1Q 2022	1Q 2023	1Q 2022	2Q 2022	3Q 2022	4Q 2022	1Q 2023

Sales volume of industrial oil & fat and dairy products in 1Q 2023 reached 266 thousand tonnes, which is 18% (-59thousand tonnes) lower than in the same quarter of the previous year.

Sales of crude vegetable oil decreased by 42% (-38thousand tonnes) due to a decrease in the processing of sunflower seeds due to market situation and difficulties with the shipment of vessels. The entire volume of crude vegetable oil was sold at a significant profitability as the result of cots of goods sold decrease. Sales of meal decreased by 11% (-16thousand), following a decrease in seed processing.

Sales volume of consumer oil & fat and dairy products

thousand tonnes		Consumer Dairy products
										Consumer Oil and Fat products			-31%
			-11%															97
																76			4
75	67	75	68		67
	3				3			4
			3						4					94		3
72			72			71
64	64						64
1Q 2022	1Q 2023		1Q 2022	2Q 2022	3Q 2022	4Q 2022	1Q 2023

In 1Q 2023 sales of all key consumer products categories (bottled oil, consumer margarines, mayonnaise and mayonnaise based sauces, cheeses, spreads, butter and cream) reached 67 thousand tonnes, which is 11% (-8thousand tonnes) less than in the same quarter of the previous year. The decrease is due to the effect of a 1Q 2022 high base, when against the backdrop of geopolitical events and in anticipation of rising prices, there was an increased demand for products.

* Sales before intersegment eliminations and account for other sales.

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ROS AGRO PLC trading update 1Q 2023

MEAT SEGMENT

Production of pigs

thousand tonnes, in live weight for slaughtering

		+14%							-3%
		89		83	85	91	89
77			77

In 1Q 2023 Rusagro produced 89 thousand tonnes of pork in live weight, which is 14% (+11 thousand tonnes) more than in the same quarter of the previous year. The growth is mainly due to the production capacities increase in the facilities of Primorsky Krai.

1Q 2022

1Q 2023

1Q 2022

2Q 2022

3Q 2022

4Q 2022

1Q 2023

Sales volume of pork products

thousand tonnes

	+19%						-7%
	72	73	72	77	72
60			60

1Q 2022

1Q 2023

1Q 2022

2Q 2022

3Q 2022

4Q 2022

1Q 2023

In 1Q 2023 in comparison to the same quarter of the previous year sales volume of pork products increased by 19% (+11 thousand tonnes) - to up to 72 thousand tonnes primarily due to the increase in production volumes in the Primorsky Krai and the increase in production efficiency in the Central Federal District, including the deboning capacity expansion project The sales of cuts increased the most.

SUGAR SEGMENT

Production of sugar

thousand tonnes

-86%

In 1Q 2023 Rusagro produced

69

492

thousand tonnes of sugar, which is 23%

more than in the same quarter of the

previous year. This increase is

+23%

attributable to the operation extension

174

of the plants in the 2022/2023 season

56

69

56

49

69

until February 2023.

1Q 2022

1Q 2023

1Q 2022

2Q 2022

3Q 2022

4Q 2022

1Q 2023

Sales volume of sugar

thousand tonnes

	-17%			260			-31%
				199	214
177		177
148				148

In 1Q 2022 in comparison to the same quarter of the previous year Rusagro's sales volume of sugar reduced by 17% (- 29 thousand tonnes) - to up to 148 thousand tonnes. This is due to a decrease in sugar production in the 2022/2023 season, mainly due to a decrease in beet digestion due to weather conditions.

1Q 2022

1Q 2023

1Q 2022

2Q 2022

3Q 2022

4Q 2022

1Q 2023

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ROS AGRO PLC trading update 1Q 2023

AGRICULTURE SEGMENT

Sales volume of grain crops

thousand tonnes			Barley					Corn				Wheat
																														-84%
																												556
																													5
		-51%																								27
																								524
180								180
									125				123
		0		88					0												88
	101						101					0			10		0			25
				0																		0
79				29	79			115				98									29
	59												59
1Q 2022	1Q 2023	1Q 2022	2Q 2022	3Q 2022	4Q 2022	1Q 2023

Sales volume of oil crops

Sales volume of grain crops in 1Q 2023 reached 88 thousand tonnes, which is 51% (-92thousand tonnes) less than in the same quarter of the previous year. Wheat sales decreased by 26% (-20thousand tons) to 59 thousand tons, due to a decrease in demand in the domestic market, as well as the expectation of an increase in the dollar exchange rate and a reduction in duty or a revision of the mechanism for determining it.

Sales of corn decreased by 71% (-72thousand tons) - to 29 thousand tons. The entire volume of corn for the 2022/2023 season was contracted for sale in the 2nd and 3rd quarters of 2023 on more favorable terms, including for export in connection with the receipt of export quotas.

thousand tonnes		Sunflower			Soy				+2 441%
	+8%
		127																127
117	117
16	40	16														40
102	86	102					29									86
				20
								0,1		28		5
						15
													1
												4
1Q 2022	1Q 2023		1Q 2022	2Q 2022	3Q 2022	4Q 2022	1Q 2023

Sales volume of sugar beet

Sales of oil crops in 1Q 2023 in comparison to the same quarter of the previous year increased by 8% (+9 thousand tonnes) - up to 127 thousand tonnes due to the increase of sunflower seeds sales by 2.5 times (+25 thousand tonnes) and with a decrease in soybeans sales by 15% (-16thousand tons).

In 1Q2023, sunflower seeds were actively sold in anticipation of lower prices. Changes of soybeans sales are associated with the postponement of harvesting to 2023 due to weather conditions and a shift in the sales schedule to the next quarters of 2023.

thousand tonnes				2 458		In 1Q 2023 sales volume of sugar beat
										reached 494 thousand tonnes, 435
										thousand tons more compared to the
										same period last year. The dynamics is
							730			associated with a shift in the schedule
		494					494	for harvesting and selling of sugar beets
							to January-February 2023 due to
59				59	0
						adverse weather conditions.
	1Q 2022	1Q 2023	1Q 2022	2Q 2022	3Q 2022	4Q 2022	1Q 2023

Comment: Since some indicators and percentages in the diagrams and texts of the press-release were rounded to the nearest whole number, the sum of the 3 rounded values may not fully match the totals. Further, calculations of changes were derived from the pre-rounded indicators and may therefore not fully

match the changes calculated with the rounded values.

ROS AGRO PLC trading update 1Q 2023

Trading results of 1Q 2023

thousand tonnes

Item	3M 2022	3M 2021	Change, %
Total sales, million roubles	49 389	63 888	(23%)
Oil & Fat Segment
Production volume of crude vegetable oil	132	176	(25%)
Sales volume of consumer products, including:	67	75	(11%)
oil & fat products	64	72	(11%)
dairy products	3	3	(2%)
Sales volume of industrial products, including:	266	325	(18%)
meal	133	149	(11%)
bulk oil	54	92	(42%)
industrial fats	76	79	(4%)
dry whey mixes	3	4	(30%)
Meat Segment
Production volume of pork in live weight for	89	77	14%
slaughtering
Sales volume of pork products	72	60	19%
Sugar Segment
Production volume of sugar	69	56	23%
Sales volume of sugar	148	177	(17%)
Agriculture Segment
Sales volume of grain crops, including:	88	180	(51%)
wheat	59	79	(26%)
corn	29	101	(71%)
Sales volume of oil crops, including:	127	117	8%
sunflower	40	16	159%
soy	86	102	(15%)
Sales volume of sugar beet	494	59	741%

* Sales before intersegment eliminations and account for other sales.

4

Comment: Since some indicators and percentages in the diagrams and texts of the press release were rounded to the nearest whole number, the sum of the rounded values may not fully match the totals. Further, calculations of changes were derived from the pre-rounded indicators and may therefore not fully

match the changes calculated with the rounded values.