OREANDA-NEWS. On March 28, 2007 Wimm-Bill-Dann Foods OJSC [NYSE: WBD], Russia’s leading food company, announced its financial results for the fourth quarter and the full year ended December 31, 2006, reported the press-centre of  Wimm-Bill-Dann Foods OJSC.

Highlights of Q4 2006:
Group sales rose 36,4% year-on-year to US$509,5 million;
Gross profit increased 51,0% year-on-year to US$164,6 million, with gross margins rising to 32,3% from 29,2%;
Operating income rose 63,1% to US$42,6 million;
Net income grew more than three-fold to US$29,2 million;
EBITDA grew 45,4% to US$58,9 million;

Highlights for full-year 2006:
Group sales rose 26,4% year-on-year to US$1,762,1 million;
Gross profit increased 43,6% year-on-year to US$568,0 million, with gross margins rising to 32,2% from 28,4%;
Underlying operating income for the full year almost doubled to US$171,9 million, while reported operating income for the period, including special charges, increased 77,9% to US$155,6 million;
Underlying net income for the full year more than tripled US$108,5, while reported net income for the full year, including special charges, increased to US$95,4 million from US$30,3 million in 2005;
Underlying EBITDA for the full year increased 66,2% to US$234,3, while reported EBITDA for the full year, including special charges, improved 54,7% to US$218,0 million;
Operating cash flow increased 46,8% to US$167,3 million for full-year 2006.


Commenting on the results, Tony Maher, chief executive officer of Wimm-Bill-Dann Foods OJSC, said: "It has been one year since I joined Wimm-Bill-Dann and I am very pleased to mark the occasion with the announcement of another strong financial performance during the fourth quarter and full-year 2006. Group sales increased 36% year-on-year in the fourth quarter and 26% for the full year. Underlying EBITDA increased 45% in the quarter and 66% for the full year. In the second quarter of last year, we embarked on a journey of optimizing our cost base, enhancing our route to market, investing in building consumer preferences in our brands and strengthening our management team. Though this journey is in its early stages we are seeing encouraging indications that we are on the right track. Going forward we will continue to accelerate the pace of our progress towards being the largest food and beverage company in Russia and the CIS with the leading position in Health and Wellness".

Wimm-Bill-Dann Foods OJSC is a leading manufacturer of dairy products and beverages in Russia. The company was founded in 1992. The Company currently owns 33 manufacturing facilities in Russia and the Commonwealth of Independent States (CIS), as well as trade affiliates in more than 25 cities in Russia and the CIS.  Wimm-Bill-Dann has a diversified branded portfolio with over 1,000 types of dairy products and over 150 types of juice, nectars and still drinks. The company currently employs over 20,000 people. On May 18, 2006, Standard & Poor’s Governance Services announced the upgrade of WBD’s Corporate Governance Score (CGS) from 7 to 7+ (from 7,3 and 7,7 accordingly on the Russian national scale), which makes the Company’s score the highest rating in Russia. The increase in the score reflects the effective work of the Board of Directors and, in particular, the real influence of independent directors in the decision-making process and the adherence of the controlling shareholders to the highest standards of corporate governance.