Lang
Kernel, one of Ukraine's largest agricultural holdings, reported a substantial 32% year-on-year reduction in oilseed processing during the fourth quarter of its fiscal year 2026 (April–June 2026). The volume processed fell to 645,000 metric tons, as disclosed in the company's recent operating report.
For the entirety of FY 2026, total oilseed processing reached 3.185 million metric tons, an 8% decrease compared to FY 2025. This decline is primarily attributed to a scarcity of sunflower seeds in the domestic market, stemming from one of Ukraine's poorest sunflower harvests in the past decade.
The company noted that this reduction was partially mitigated by an increased focus on processing alternative oilseeds, specifically soybeans and rapeseed.
Reflecting the lower oilseed processing volumes, sales of edible oil in the fourth quarter of FY 2026 decreased by 12% to 338,000 metric tons.
Despite the quarterly dip, overall edible oil sales for FY 2026 remained relatively robust, reaching 1.407 million metric tons – a 2% increase over FY 2025. This performance was bolstered by the strategic sale of vegetable oil inventories accumulated in prior quarters. Bottled sunflower oil sales for the quarter stood at 14,000 metric tons, down from 19,000 metric tons in the preceding quarter.
In a contrasting trend, grain volumes stored in Kernel's elevators dramatically increased from April to June, totaling 320,000 metric tons, a significant jump from just 34,000 metric tons in the same period last year.
Consequently, the Group's total grain intake for the 2026 marketing year hit a record 4.341 million metric tons, marking a 60% increase over the 2025 marketing year. This year-on-year growth was driven by a larger proportion of corn in Kernel's 2025 harvest mix, which boosted grain processing volumes, alongside increased intake from third-party suppliers.
Kernel's grain exports from Ukraine in the final quarter of FY 2026 soared to 2.011 million metric tons, representing a 33% increase from the previous quarter and more than double the volume exported in the corresponding period of the prior year. This surge was propelled by an accelerated sale of grain by farmers toward the end of the season, enhancing domestic market supply. Total grain exports for FY 2026 reached 6.265 million metric tons, up 15% from FY 2025.
Transshipment volumes through the company's export terminals in Q4 FY 2026 also saw growth, reaching 2.699 million metric tons – a 3% increase quarter-on-quarter and a 49% rise compared to Q4 FY 2025. Grain accounted for 80% of this volume, edible oils for 12%, with vegetable meal making up the remainder.
For the full fiscal year, Kernel's terminals processed a record 9.587 million metric tons of agricultural products, a 5% year-over-year increase, primarily due to substantial grain exports in the latter half of the fiscal year.
Kernel Agricultural Holding is recognized as the world's largest producer and exporter of sunflower oil, Ukraine's leading grain exporter, and a significant operator of logistics assets. It is also a prominent producer of grains and oilseeds within Ukraine and a major producer and seller of bottled oil, actively engaged in the cultivation and sale of agricultural products.
For the first nine months of fiscal year 2026, Kernel reported a 5% decrease in net income, reaching $208 million. During the same period, its revenue saw a slight increase of 0.4% to $3.092 billion, and EBITDA grew by 1% to $403 million.
Source: Open4business.com.ua