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MHP at a glance
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
CONTENTS
STRATEGIC REPORT
4 War in Ukraine
5 MHP at a Glance
6 Performance Highlights
7 Company Overview
16 Our Business Model
21 Chairman’s Statement
23 CEO’s Statement
BUSINESS REVIEW
26 Key Performance Indicators
31 Financial and Operational Review
40 Measures of Financial Performance
43 Principal Risks and Uncertainties
51 S172 Statement & Stakeholder
Engagement
54 Corporate Responsibility
60 Non-Financial Information Statement
GOVERNANCE
03-23 24-61 62-87
SHAREHOLDER
INFORMATION
163-164
FINANCIAL
STATEMENTS
90 Statement of the Board of Directors
91 Independent Auditor’s Report
97 Consolidated Financial Statements
104 Notes
88-155
63 Corporate Governance Report
66 Board of Directors
73 Audit & Risk Committee Report
79 Nominations & Remuneration
Committee Report
82 International Government Relations
& Public Aairs Committee Report
84 Management Report
163 Financial Calendar
163 Key Contacts & Advisors
164 Glossary of Terms

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3
MHP at a glance
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
STRATEGIC
REPORT
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
4 War in Ukraine
5 MHP at a Glance
6 Performance Highlights
7 Company Overview
16 Our Business Model
21 Chairman’s Statement
23 CEO’s Statement

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4
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
War in Ukraine
WAR IN UKRAINE
The military invasion of Ukraine by Russian
forces began at 5 am on 24 February,
marking the beginning of a full-scale war
across Ukraine. Russian invaders have
shown utter disregard for civilian lives and
directed lethal firepower on cities, towns
and villages; production facilities, hospitals,
houses, cars and bystanders on the streets;
elderly people and families with children who
were seeking shelter from the fighting. Many
human lives have tragically been lost. At the
time of publication of this report, the war in
Ukraine continues at extended scale, inflicting
destruction to the country’s infrastructure and
the Ukrainian population.
As reported by MHP earlier, since the
beginning of the war the Company has been
facing significant logistical and infrastructure
challenges in Ukraine. While MHP continued
commercial sales in Ukraine since
the war began, export sales have
ceased as a result of ports being
closed, while export delivery by truck
remained practically impossible.
During March and April, MHP team
has been developing alternative
logistic routes for exports, so that
insignificant volumes have been
delivered outside of Ukraine. Driven
by restricted sales both inside and
outside of the country, MHP had to
decrease poultry capacity utilization
to 80-85%.
Due to shelling by the occupying forces
on March 12, in the village of Kvitneve (Kyiv
region), a fire broke out in a warehouse (rented
by the Company, two buildings) where frozen
MHP chicken meat products were stored. As a
result of the fire, over 3,000 tonnes of poultry
products were lost. The facility was one of
the largest warehouses for storage of frozen
products in Ukraine and was predominantly
used by large local retail chains.
As hostilities in the Donetsk region intensified,
in April, MHP decided to temporarily suspend
operations of the “Ukrainian Bacon” (meat-
processing operations, c.34,000 tonnes
annual capacity, Kramatorsk district, Donetsk
region).
As of the date of the report release, the facility
has not been damaged and is under MHP
control.
Currently, MHP has a key responsibility in the
food security of Ukraine and it has continued
its operations despite significant diculties
and disruptions. MHP fully understands how
important poultry production is for Ukraine
and its population at this difficult time. All
MHP employees are fully committed to every
eort to ensure that Ukrainians have access
to food now and at any time in the future. The
Company continues providing humanitarian
aid (mainly through food supply) to the
population of Ukraine since the beginning of
the war and working hard to manage logistical
challenges across all regions of Ukraine. Since
the war began, the Company has provided
around 11,000 tonnes of free-of-charge
poultry products, other food, equipment, cars,
diesel and dierent materials as part of its
humanitarian mission.
11,000
TONNES OF FREE-OF-
CHARGE POULTRY
PRODUCTS
SINCE THE WAR BEGAN,
THE COMPANY HAS
PROVIDED AROUND
Copyright 2022 The Associated Press. All rights reserved.

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5
MHP at a glance
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
MHP at a glance
MHP AT A GLANCE
IN A HIGHLY UNCERTAIN OPERATING ENVIRONMENT, MHP IS UNDERTAKING ALL
NECESSARY EFFORTS TO MAINTAIN ITS PRODUCTION AND DISTRIBUTION FACILITIES AND
INFRASTRUCTURE NOT DAMAGED BY MILITARY ACTION IN ANTICIPATION OF RETURNING
TO FULL-SCALE PRODUCTION AS SOON AS IS PRACTICALLY POSSIBLE. IN THIS STRATEGIC
REPORT WE PROVIDE AN OVERVIEW OF THE GROUP’S OPERATIONS AND STRATEGY AS AT
THE END OF 2021.
MHP IS THE INTERNATIONAL FOOD AND AGROTECH COMPANY THAT CARES ABOUT
ITS PEOPLE, THE ENVIRONMENT AND COMMUNITIES, AND IS TRANSFORMING INTO A
CULINARY COMPANY.
OUR VISION
TO BE A WORLD-LEADING
SUSTAINABLE FOOD PRODUCER
OUR MISSION
TO PROVIDE OUR CUSTOMERS WITH HIGH
QUALITY, SUSTAINABLE FOOD PRODUCTS
AND CULINARY SOLUTIONS THAT ARE SAFE
AND RESPONSIBLY PRODUCED, AT THE
SAME TIME AS ANTICIPATING AND MEETING
OUR CUSTOMERS’ EVOLVING PRIORITIES
AND REQUIREMENTS
WHERE WE OPERATE
WE ARE HEADQUARTERED IN UKRAINE
WITH OPERATIONS IN UKRAINE AND IN
THE BALKANS, AND WITH DISTRIBUTION
CENTRES IN THE UAE, SAUDI ARABIA, THE
NETHERLANDS
2
AND THE UK. WE EXPORT
TO OVER 80 COUNTRIES, PRIMARILY IN
MENA, THE EU, CIS AND AFRICA. EXPORT
REVENUE CONSTITUTES 53% OF GROUP
REVENUE
OUR MEDIUM- TO LONG-TERM STRATEGIC PRIORITIES
2
DEVELOP THE CULINARY
CATEGORIES IN OUR
PORTFOLIO
TRANSFORM INTO A
CUSTOMER-CENTRIC
COMPANY
INCREASE THE
EFFICIENCY OF
OUR BUSINESS
PROCESSES
DEVELOP OUR FIVE-YEAR
STRATEGY, MISSION AND
VALUES OF MHP
BECOME THE
UNDISPUTED LEADER
IN THE AGRICULTURAL
MARKET OF UKRAINE
5
1
The Group’s operations in the
Netherlands also include a cutting plant.
2
For more information on our strategy
please see the Management Report on
page 84.

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
6
PERFORMANCE
HIGHLIGHTS
7
FOLD INCREASE
YEAR-ON-YEAR IN SALES OF
VALUE-ADDED
1
PRODUCTS
ESTABLISHMENT OF
STATE-OF-THE-ART
CULINARY RESEARCH AND
INNOVATION CENTRE IN
KYIV
180
MEATMARKET STORES
180 MEATMARKET
CONVIENIENCE STORES
AND 49 DÖNERMARKET
POINTS-OF-SALE IN
OPERATION BY YEAR END
89
SHOPS ARE IN
CITIES
91
SHOPS ARE IN TOWNS
AND VILLAGES
23
REGIONS
LAUNCH OF PILOT
PROJECTS TO CONTINUE
DEVELOPMENT OF MORE
CUSTOMER-CENTRIC
PRODUCTS AND ROUTES
TO MARKET
TRANSFORMATION TO A CULINARY COMPANY
2.0
“FOOD EXPERIENCE”
CONCEPT
EVOLUTION OF
MEATMARKET
CONVENIENCE STORE
TO LAUNCH 2.0 “FOOD
EXPERIENCE” CONCEPT
Performance highlights
1
Value-added products include ready-
to-cook and ready-to-eat products and
marinated products
OPERATIONAL & STRATEGIC HIGHLIGHTS

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7
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
GROUP
OVERVIEW
MHP IS THE LEADING PRODUCER OF POULTRY AND CULINARY
PRODUCTS IN UKRAINE
1
AND ONE OF THE LEADERS IN POULTRY
PRODUCTION AND MEAT PROCESSING IN THE BALKANS
THROUGH ITS PERUTNINA PTUJ (“PP”) OPERATIONS. MHP
HAS THE HIGHEST MARKET SHARE AND DOMESTIC BRAND
RECOGNITION FOR ITS PRODUCTS
2
.
IT IS ALSO ONE OF THE LARGEST GRAIN PRODUCERS IN
UKRAINE
3
A LEADING PROCESSED-MEAT PRODUCER IN
UKRAINE
1
AND THE LEADING BIOGAS PRODUCER IN UKRAINE
1
.
GROUP EXPORT REVENUE BY
PRODUCT TYPE, %
53%
2020 2021
GROUP REVENUE, %
Domestic
4
Exports
47%
53%
47%
2020
57%
2021
61%
Chicken meat
2020
27%
2021
23%
Vegetable oils
2020
12%
2021
11%
Grains
2020
3%
2021
3%
Meat-processing
products
2020
1%
2021
2%
Other products
SHAREHOLDER
INFORMATION
CONTRIBUTION TO GROUP
REVENUE BY BUSINESS
5
, %
20202021
68%
Poultry & Related
Operations
7%
8%
Grain Growing
Operations
8%
7%
Meat-Processing &
Other Agricultural
Operations
17%
European
Operating Segment
(Perutnina Ptuj)
Group Overview
1
Source: SSSU
2
Source: InMind
3
Source: Агрохолдинги Украины | TRIPOLI.LAND
4
Domestic revenue comprises revenue generated from sales by MHP Ukraine
in Ukraine; and revenue generated from sales by Perutnina Ptuj in the
Balkans
5
For information on the performance of each business segment and on
the drivers behind the year-on-year trends please see the Financial and
Operational Review section on page 31
7
20202021 20202021 20202021
68%
17%

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8
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
OUR BUSINESS SEGMENTS
The Group is organised into and operates through four business segments: Poultry and Related Operations; Grain Growing Operations; Meat-Processing
and Other Agricultural Operations; and the European Operating Segment (“EOS”, comprising the operations of Perutnina Ptuj or “PP”).
More information on the operational and financial results of each of the business segments can be found in this Group Overview and in the Financial and
Operational Review section on pages 7 and 31.
A snapshot of the operations and strategy of each business segment is set out below.
POULTRY & RELATED OPERATIONS
54%
2020 2021
Domestic
1
Exports
46%
43%
57%
Processes and sells chicken meat (fresh and frozen), vegetable
oils (sunflower and soybean) and mixed fodder.
Strategy
A twofold approach:
•
for export markets, international diversification and product
optimisation, including a shift towards value-added products
in some markets;
•
for domestic markets, a focus on more value-added
products and market penetration through development of
sales channels.
GRAIN GROWING OPERATIONS
85%
2020 2021
Domestic
1
Exports
15%
74%
26%
Grows crops for fodder production and for sale to third parties.
Strategy
Sustainable optimisation of the landbank; technology-driven
eciency improvements.
MEAT-PROCESSING & OTHER
AGRICULTURAL OPERATIONS
33%
2020 2021
Domestic
1
Exports
67%
15%
85%
Produces and sells sausage and cooked meat, convenience
foods and produce from cattle and dairy operations.
Strategy
Focus on more value-added products and market penetration.
EUROPEAN OPERATING SEGMENT
(PERUTNINA PTUJ)
28%
2020 2021
Domestic
2
Exports
72%
30%
70%
A poultry meat and meat-processing company headquartered
in Slovenia and with production assets in Slovenia, Croatia,
Serbia, Bosnia and Herzegovina.
Strategy
To become the number one producer of poultry meat and
processed-meat products across the Balkans; a focus on more
value-added products, export markets and market penetration.
1
Domestic revenue comprises revenue generated from sales by MHP Ukraine (Poultry & Related Operations;
Grain Growing Operations; and Meat-Processing & Other Agricultural Operations) in Ukraine.
2
Domestic revenue comprises revenue generated from sales by Perutnina Ptuj in the Balkans.
Group Overview

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9
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
TRANSFORMATION TO A
CULINARY COMPANY
MHP is changing. The Group is transforming
from a raw materials provider to an
international culinary company. This evolution
reflects the accelerating changes in the
food production landscape as consumer
preferences shift to sustainable food choices,
and higher value-added and further processed
products such as those in our ready-to-cook
and ready-to-eat ranges.
The development of our value-added and
cooked product ranges is one of our strategic
priorities and is supported by our state-of-the-
art culinary research centre in Kyiv. For more
information on the culinary centre; and on the
development of our routes to market see the
CEO’s Statement on page 23.
DIVERSIFIED INTERNATIONAL
AND DOMESTIC STRATEGY
Underpinning our culinary transformation
is the development and expansion of our
diversified international markets and strong
position in our domestic market. As a result
of the continued execution of our geographic
diversification strategy, combined with
product mix optimisation (the “right product
to the right market”), the Group now exports
to over 80 countries, with export revenue
constituting 53% of total revenue in 2021
(2020: 53%). MENA, EU, CIS and Africa are
the primary export markets and are now
supported by four distribution centres in the
UAE, the Netherlands, Saudi Arabia and the
UK following the opening of the two Saudi
Arabia and UK centres during the year.
The Group’s organic growth in both its
domestic and international markets will
be supplemented by acquisitions and we
continue to monitor global developments
and potential opportunities to accelerate
and expand our culinary transformation,
particularly in the UK, EU and MENA.
THE GROUP’S VERTICAL
INTEGRATION MARKS IT OUT
FROM ITS PEERS
Both MHP Ukraine and PP operate vertically-
integrated business models, owning and
operating modern facilities at each of the
key stages of the chicken meat production
process: grain and fodder production; egg
production and incubation; hatching; breeding;
slaughtering; value-added or processed food
production; sales, marketing and distribution.
A graphical overview of the business models
at both MHP Ukraine and PP can be found
in the Business Model section on pages
16 and 17.
The Group’s vertically-integrated business
models ensure a highly competitive cost-
base versus industry peers; enhanced quality
control and higher biosecurity of the poultry
flock and poultry production; significantly
reduce the Group’s dependence on suppliers
and farmers; and reduce its exposure to raw
material price volatility.
Importantly, our business models also support
the circular economy
1
and the elimination
of waste in the poultry production process.
At each stage of production, the waste and
by-products are taken and converted into
products that are either used by the Group
directly or sold to third parties: manure is used
to produce biogas, electricity and organic
fertiliser; and granulated husks to produce
clean energy, used at production sites to
replace gas, and fresh bedding for chicken
rearing.
Vertical integration is also a key enabler
of MHP’s contribution to the Global Food
Security Index (“GFSI”) with regard to quality,
safety, financial and physical accessibility of
food, natural resources and sustainability.
OUR BUSINESS SEGMENTS
More detail on the operations, brands and
strategy of each of the Group’s four business
segments is set out below.
1
The circular economy is a systemic approach to economic development designed to benefit businesses, society, and the environment. In
contrast to the ‘take-make-waste’ linear model, a circular economy is regenerative by design and aims to gradually decouple growth from the
consumption of finite resources. (source: The Ellen MacArthur Foundation)
Group Overview

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10
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
BRANDS
• Chilled products
• Available whole and
in parts
NASHA RIABA
• Chilled marinated and
formed products
• Available whole and
in parts
APETYTNA
• Culinary products
• Chilled products
HOME STYLE
CHICKEN
chef’s partner
PRO SERIES
K URATOR
• Sales to HoReCa
• Chilled and frozen
products
KURATOR
• Frozen and chilled
ready-to-eat products
CHEF’S
SECRETS
• Chilled products
• Available in parts and
by-products
VINNYTSKI
KURCHATA
• Frozen convenience food
• Ready-to-eat and chilled
processed meat products
including sausages and
smoked chicken
BASCHINSKY
• Сhilled and frozen
products
• Available whole and
in parts
UKRAINIAN
CHICKEN
• Frozen products
• Ready-to-eat
products
LEHKO!
• Frozen products
• Ready-to-eat products
SYTNI
• Chilled and frozen, mari-
nated and semi-finished
products
QUALIKO
• Frozen products
• Available whole and
in parts
SULTANAH
• Chilled and frozen
products
ASSILAH
• Export product (Iraq)
• Frozen products
• Available whole and
in parts
AL-HASSANAT
OPERATIONS
The Poultry & Related Operations Segment
produces, processes and sells chicken
meat (fresh and frozen), culinary products
(marinated, ready-to-cook and value-added
products), vegetable oils (sunflower and
soybean), and mixed fodder. It includes
three chicken meat complexes, two breeding
complexes, three sunflower oil plants, one
soybean crushing plant, three feed mills and
two biogas complexes.
MHP is the leading poultry producer in
Ukraine. MHP supplies chilled and frozen
chicken, culinary and other meat products to
a number of nationwide supermarket chains,
including Fozzy, Metro Cash & Carry, ECO,
Novus and Auchan. MHP also produces and
sells vegetable oils (sunflower and soybean
oils) as a by-product of its fodder production,
mainly to international traders. This is an
important source of hard currency revenue.
POULTRY & RELATED OPERATIONS
EXPORT EXPORT EXPORT EXPORT
Poultry & Related Operations
Ukraine focussed
Export product
EXPORT
68%
OF GROUP REVENUE
IN 2021
POULTRY & RELATED
OPERATIONS

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11
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
STRATEGY
The Segment continues to execute upon its
strategy in both export and domestic markets
as part of the Group’s transformation to a
culinary company, supported by our culinary
research centre in Kyiv.
In export markets, the strategy remains one
of international diversification and product
optimisation (targeting the “right products
to the right markets”), combined with the
development of both our routes to market and
our value-added product ranges.
Further information on recent developments
in our routes to market can be found in the
CEO’s Statement on page 23.
In domestic markets, the focus is on the
development and production of more value-
added and further processed primary and
cooked products and on the evolution of
our routes to market through retail, HoReCa,
modern trade and franchises.
These include the continued development and
roll-out of our Nasha Riaba brand (packed and
unpacked poultry products, predominantly
parts); our network of DönerMarket stores
selling doner and shawarma; and the
continued roll-out of our MeatMarket retail
and convenience food stores, including our
new 2.0 MeatMarket “food experience” store
concept.
EXPORTS
A number of outbreaks of Avian Influenza in
Ukraine during Q1 2021 caused temporary
cessation of exports from Ukraine to the EU
(reopened at the end of March 2021 following
zoning agreement between Ukraine and the
EU). In order to mitigate an adverse impact
on MHP’s operations and profitability, the
management of the Company decided
to increase production of small chicken
(thinning) and exports to the MENA market.
This trend has been in place through the first
half of 2021. Since Q3 2021 MHP has been
focusing more on sales of poultry cuts across
all markets and was gradually decreasing
share of thinning (from 57% in Q1 2021 to
43% in Q4 2021) increasing its sales in the EU
mainly. Through 2021, all Company’s poultry
production facilities continued to operate
at full capacity (based on number of heads
reared and slaughtered).
Poultry export sales geography and
breakdown year-on-year remained relatively
stable and rather unchanged, please see
diagrammes below. The MENA and the EU
markets represented the biggest markets for
MHP’s exports, 38% and 21%, respectively.
For a detailed explanation of these trends
please see the Financial and Operational
Review on pages 31 to 39.
The Group’s response to these challenges
highlights the resilience and agility of its
operations and business model.
Furthermore, the recent achievement of the
Avian Influenza regionalisation recognition
between Ukraine and the EU will reduce the
risk of trade interruptions going forward.
POULTRY EXPORT VOLUMES
1
BY REGION IN TONNES, %
2021
POULTRY & RELATED OPERATIONS
PRODUCTION FIGURES
PRODUCT 2021 2020
Chicken meat produced,
tonnes
754,387 731,279
Hatching eggs, million 563 559
Sunflower oil, tonnes 212,425 329,552
Soybean oil, tonnes
47,493
40,850
Mixed fodder, tonnes 1,920,607 1,894,284
Biogas, MW
17 17
The Segment’s operational and financial performance is disclosed in the
Segment Performance section of the Financial and Operational Review
on page 28.
40% MENA
Africa
14%
CIS
19%
EU
22%
Asia
and other
5%
2020
38% MENA
Africa
12%
CIS
23%
EU
21%
Asia
and other
6%
1
Only MHP Ukraine, excluding Perutnina Ptuj.
Poultry & Related Operations

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12
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
52%
YEAR-ON-YEAR
2021 HARVEST
INCREASED BY
OPERATIONS
MHP is one of the leading grain cultivation
businesses in Ukraine. The Segment grows
corn, sunflower and soybean as well as
other grains including rape and wheat, both
for fodder production to support the vertical
integration of its chicken production, and
to export for sale to third parties, thereby
providing one of the Group’s sources of
hard currency revenue.
MHP leases agricultural land located
primarily in the highly fertile black soil
regions of Ukraine. In 2021 MHP’s total
landbank constituted approximately
361,000 hectares (“ha”) of land,
representing one of the largest land
portfolios in Ukraine. A breakdown of the
Segment’s cropped area in 2021 is shown
below. In 2021, MHP harvested 351,440
ha of land, yielding 2,596,855 tonnes of
grain, an increase of 52% year-on-year,
mainly due to a combination of modern
technology and machinery applied during
the cultivation of land and favourable
weather conditions. Grain storage facilities
totalled 2,551,171 m
3
with a capacity of
1,084,800 tonnes (in plastic bags).
LAND REFORM IN PRACTICE
The Group leases land from landowners
on a long-term basis. The abolition of the
moratorium on the sale of agricultural land
to private individuals, which has applied
since July 2021, has had no significant
impact on MHP’s land portfolio or business
model as MHP continues to cultivate land
through land leasing.
Moreover, the moratorium on the sale for
legal entities registered or domiciled in
Ukraine only, which will come into eect in
January 2024, is not expected to have any
significant impact.
STRATEGY
The Group aims to become the undisputed
leader in the agricultural market in Ukraine
and a pioneer in sustainable agriculture.
Central to the achievement of these goals
is increasing the Segment’s profitability by
ensuring high eciency crop production
(through higher yields and optimisation of
cost control), as well as improving resource
management strategies and ensuring
the stability of our landbank. This will be
achieved through innovation, the upgrading
of agricultural machinery and the use of
technology including Artificial Intelligence
(“AI”) and machine-learning algorithms
for real-time analysis, forecasting and
facilitation of decision making.
The Segment’s operational and financial
performance is disclosed in the Segment
Performance section of the Financial and
Operational Review on page 35.
CROPPED AREA,
HECTARES, %
46% CORN
Soya
7%
Sunflower
25%
Wheat
10%
Rapeseed
6%
Other
1
6%
GRAIN GROWING OPERATIONS
Grain Growing Operations
1
Including barley, rye, sugar beet, sorghum
and other and excluding land left fallow as
part of crop rotation

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BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
7%
OF GROUP REVENUE
IN 2021
MEAT-PROCESSING &
OTHER AGRICULTURAL
OPERATIONS
OPERATIONS
The Meat-Processing & Other Agricultural
Operations Segment produces and sells
sausage, salami, convenience foods and
produce from cattle and dairy operations.
It incorporates two facilities for the
production of prepared meat products,
a number of cattle farms and and a beef
processing facility (Scott Smeat, acquired
in 2021). The meat-processing operations
are the Segment’s core business and
an important driver of the Segment’s
profitability. MHP is a leader in the highly
fragmented meat-processing market in
Ukraine, accounting for approximately 14%
of all sausage and cooked meat produced
in Ukraine in 2021, with some non-branded
processed-meat products exported. The
Segment sold 33,954 tonnes of meat-
processing products and 18,857 tonnes of
convenience foods in 2021.
During the year, the Group acquired a 51%
share in Lubnym`yaso LLC, a Ukrainian
producer of beef products operating
manufacturing facilities and sales oces,
primarily in Ukraine and Europe. Its
products are sold under the “Skott Smeat”
brand and range from frozen and chilled
cuts of beef to value-added beef products
and are supplied to, amongst others, the
Group’s MeatMarket convenience stores
and DönerMarket fast-food stores.
STRATEGY
The Segment will continue to focus upon
its core meat-processing operations and
the evolution of its route-to-market strategy
through retail, HoReCa, modern trade and
franchises. The Segment’s operational
and financial performance is disclosed in
the Segment Performance section of the
Financial and Operational Review on page
35.
BRANDS
THE COMPANY’S CONVENIENCE FOOD, PROCESSED FOOD AND
BEEF BRANDS FOR THE UKRAINIAN AND EXPORT MARKETS
INCLUDE
BASHCHINSKY LEHKO! SYTNI QUALIKO
• Sausages, chilled
convenience products,
smoked chicken
• Frozen convenience
food
• Frozen convenience
food
• Frozen convenience
food and poultry
meat products
MEAT-PROCESSING & OTHER AGRICULTURAL OPERATIONS
• Frozen and chilled beef
meat and meat products
SKOTT SMEAT
Ukraine focussed Export product
EXPORT
EXPORT EXPORT
Meat-Processing & Other Agricultural Operations

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STRATEGIC
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BUSINESS
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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
OPERATIONS
The European Operating Segment
comprises 100% of Perutnina Ptuj (“PP”),
a leading poultry and processed-meat
producer in the Balkans with production
assets in Slovenia, Croatia, Serbia,
Bosnia and Herzegovina, and distribution
companies in Austria, North Macedonia
and Romania. PP supplies products to 18
European countries.
In 2021, 70% of the Segment’s revenue was
generated from domestic markets which
proved resilient during the Pandemic, in
particular retail markets. The remaining 30%
was generated from exports, mainly from
HoReCa and B2B sales. A large and growing
part of PP’s production is governed by a
rigid animal welfare breeding standard thus
allowing the Company to sell products under
the PP Natur Premium Brand.
BRANDS
An overview of Perutnia Ptuj’s brand
portfolio is shown on the following page. The
most important and well-established brand
names are PP and Poli. The PP brand is a
best seller. Yet the most recognisable brand
name in the south-eastern Europe region
based on the brand power in individual
categories, is Poli, the synonym for special
chicken sausage.
STRATEGY
MHP continues to invest in production
capacity and production efficiency at PP
and will continue to invest in the region with
the aim of becoming the most ecient and
undisputed number one producer of poultry
meat and processed-meat products across
the Balkans by market share and volume. As
part of this strategy there will be a continued
drive towards more value-added products,
export markets and market penetration,
including investment in new sales channels
(for example e-commerce, including online
shopping, and food delivery).
The Segment’s operational and financial performance is disclosed in the Segment Performance section of the Financial
and Operational Review on page 31.
EUROPEAN OPERATING SEGMENT
PRODUCT 2021 2020
Chicken meat produced, tonnes 111,973 102,157
Meat-processing products, tonnes 41,411 39,026
Hatching eggs, millions
75.4
67.0
Mixed fodder, tonnes 229,600 227,065
Biogas, MW
1 1
EUROPEAN OPERATING SEGMENT PRODUCTION FIGURES
17%
OF GROUP REVENUE
IN 2021
EUROPEAN OPERATING
SEGMENT (PP)
European Operating Segment

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
European Operating Segment
FEED SERVICES
MEAT
PRODUCTS
MEAT
MEAT
Natur
Poultry products, with
packaging highlighting
low fat and cholesterol
content
Natur Premium
Products from poultry
bred in accordance
with premium breeding
standards
Piknik
Cut and pre-seasoned
fresh poultry products
CLASIC
Poli
Classic
Poli
Vegetables
Poli Light
Poli
Cheese
Poli Kids
Chiken
Breast
HAM
Poli
Hammy
Poli Kids
PATÉ
Poli Paté
Poli Pate
Kids
FRANKS
Poli Dog
Poli Kids
MEAT PRODUCTS
Slim & Fit
Low-fat poultry
products
Perutnina Ptuj
Sausages, frankfurters,
frozen and other
ready-made products

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
OUR BUSINESS MODEL
POULTRY & RELATED
OPERATIONS SEGMENT
WE PRODUCE AND SELL CHICKEN
MEAT (FRESH AND FROZEN);
CULINARY PRODUCTS; VEGETABLE
OILS (SUNFLOWER AND
SOYBEAN); AND MIXED FODDER.
HOW WE GENERATE REVENUE
US$ 1,607
MILLION REVENUE
754,387
TONNES OF POULTRY
PRODUCED
GRAIN GROWING
SEGMENT
WE GROW CROPS FOR FODDER
PRODUCTION AND FOR SALE TO
THIRD PARTIES.
US$ 188
MILLION REVENUE
2.6
1
MILLION TONNES
OF CROPS PRODUCED
MEAT-PROCESSING &
OTHER AGRICULTURAL
SEGMENT
WE PRODUCE AND SELL
SAUSAGES; PROCESSED AND
COOKED MEAT; CONVENIENCE
FOODS; AND PRODUCE FROM
CATTLE AND DAIRY OPERATIONS.
US$ 176
MILLION REVENUE
55,913
TONNES OF MEAT
PRODUCTS PRODUCED
EUROPEAN OPERATING
SEGMENT
WE PRODUCE AND SELL CHICKEN
MEAT AND PROCESSED POULTRY
MEAT PRODUCTS.
US$ 401
MILLION REVENUE
111,973
TONNES OF POULTRY
PRODUCED
Our Business Model
1
Mainly consumed by MHP for fodder production as well as for third party sales.

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STRATEGIC
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GOVERNANCE FINANCIAL
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SHAREHOLDER
INFORMATION
HOW WE CREATE VALUE
Our Business Model
04
05
01
TRANSFORMATION TO
A CULINARY COMPANY
THE TRANSFORMATION FROM A
RAW MATERIALS PROVIDER TO AN
INTERNATIONAL CULINARY COMPANY
ENABLES THE GROUP TO GROW
ITS MARKET AS IT RESPONDS TO
CUSTOMER DEMAND FOR VALUE-
ADDED PRODUCTS.
02
RESPONSIBLE BUSINESS
MHP HAS A GROUP-WIDE
SUSTAINABLE DEVELOPMENT
PLAN TO 2030E THAT MOVES THE
GROUP TOWARDS A RESPONSIBLE
BUSINESS MODEL.
03
SUSTAINED INVESTMENT
IN INNOVATION, BUSINESS
EFFICIENCY AND R&D
SUSTAINED CAPEX AND R&D
PROGRAMMES HAVE ENABLED
CONSISTENT EFFICIENCY IMPROVEMENTS
AND COST CONTROLS, DEVELOPED AND
MAINTAINED PRODUCT QUALITY, AND
ENSURED HIGH STANDARDS OF PRODUCT
SAFETY. THE COMPANY CONTINUES TO
LOOK FOR DYNAMIC AND INNOVATIVE
WAYS TO DEVELOP ITS PRODUCTION AND
AGRICULTURAL PROCESSES TO IMPROVE
EFFICIENCY, DRIVE DOWN COSTS AND
REDUCE ITS ENVIRONMENTAL IMPACTS.
INTERNATIONAL
MARKETPLACE
MHP IS ALWAYS LOOKING AT NEW
INITIATIVES ON PRODUCT DEVELOPMENT
AND FOR NEW MARKETS FOR ITS
PRODUCTS, AND NOW SELLS TO OVER 80
COUNTRIES.
SUSTAINABLE
FINANCIAL HEALTH
OUR BUSINESSES HAVE A
CONSISTENT TRACK RECORD OF
REVENUE AND CASH GENERATION
PROVIDING A SOLID PLATFORM FOR
VALUE CREATION.

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
OUR ASSETS
OUR PEOPLE
WE HAVE A HIGHLY SKILLED AND KNOWLEDGEABLE
WORKFORCE
1
, AN EXPERIENCED, STRONG AND
INNOVATIVE MANAGEMENT TEAM AND WE ARE
COMMITTED TO CONTINUOUSLY INVESTING IN TRAINING
AND DEVELOPMENT.
BUSINESS CULTURE
WE STRIVE TO CREATE A BUSINESS CULTURE IN
WHICH OUR EMPLOYEES FEEL EMPOWERED TO
MAKE QUICK DECISIONS TO CAPITALISE ON MARKET
OPPORTUNITIES AND GAIN COMPETITIVE ADVANTAGE.
VERTICALLY-INTEGRATED
STRUCTURE
OUR STRUCTURE DIFFERENTIATES US FROM OUR PEERS
AND ENABLES US TO REDUCE OUR DEPENDENCE ON
THIRD-PARTY SUPPLIERS AND OUR EXPOSURE TO RAW
MATERIAL PRICE VOLATILITY. IT ALSO ENSURES THE
MAINTENANCE OF STRICT BIOSECURITY AND QUALITY
STANDARDS THROUGHOUT THE PRODUCTION PROCESS.
MODERN AND EFFICIENT
PRODUCTION ASSETS
EXTENSIVE INVESTMENT HAS ENABLED US TO EMPLOY
MODERN, STATE-OF-THE-ART PRODUCTION ASSETS. THE
COMPANY BELIEVES THAT ITS CHICKEN COMPLEXES
ARE AMONGST THE MOST EFFICIENT IN THE WORLD.
STRONG BRANDS
OUR BRANDS HAVE HIGH DOMESTIC RECOGNITION WITH
A REPUTATION FOR QUALITY, ENABLING PRODUCTS TO BE
SOLD AT PREMIUM PRICES.
Our Business Model
OWN RETAIL IN UKRAINE AND AT PP
MHP AND PP HAVE BEEN AND CONTINUE TO CAPITALISE
ON THE CONTINUED GROWTH AND DEVELOPMENT OF
ITS RETAIL BOTH IN UKRAINE AND IN THE BALKANS/EU.
1
As of 31 December 2021 MHP Group employed 29,280 people

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19
361,000
HECTARES
3
LAND
on long-term lease
in Ukraine with a
harvest of 1.7 million
tonnes of grain per
annum
212,425
TONNES OF
SUNFLOWER
OIL
SUNFLOWER AND
SOYBEAN PROTEIN
PRODUCTION
47,493 tonnes of soybean oil
1.9
MILLION TONNES
PRODUCED IN
2021
FODDER
PRODUCTION
3 production facilities
100%
IN-HOUSE
PRODUCTION
BREEDING
2 breeding complexes with
563 million hatching eggs produced
in 2021.
8.5
MILLION PER
WEEK
POULTRY
PRODUCTION
3 vertically-integrated poultry com-
plexes, from hatching to rearing and
processing
MEAT-
PROCESSING
1
2 production facilities
388
VEHICLES
DISTRIBUTION
10 distribution centers in Ukraine
1,888
FRANCHISE
OUTLETS
RETAIL
17
MW
BIOGAS
2 projects
2
All the
manure and husks
generated from MHP’s
operations are used
to generate biogas
OUR BUSINESS MODEL
AT MHP
1
Including 34,329 tonnes of processed
meat products and 21,584 tonnes of
convenience food
2
Biogas complexes at Oril-Leader (5 MW)
and at Vinnytsia (12 MW)
3
MHP total landbank
55,913
TONNES IN
2021
1 production facility
7,200
TONNES
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
Our Business Model at MHP Ukraine

Graphics
3,800
HECTARES
LAND
FODDER
PRODUCTION
5 facilities (3 in Slovenia,
1 in Croatia, 1 in Serbia)
BREEDING
4 locations (Slovenia,
Croatia, Bosnia & Herze-
govina and Serbia)
HATCHING
Hatchery of day old chicken:
4 locations (Slovenia, Croatia,
Bosnia & Herzegovina and Serbia)
POULTRY
PRODUCTION
4 locations
(Slovenia, Croatia, Bosnia &
Herzegovina and Serbia)
DISTRIBUTION
16 distribution centres in Ukraine
84%
IN-HOUSE
PRODUCTION
86%
IN-HOUSE
PRODUCTION
41,181
TONNES IN
2021
124
VEHICLES
1
MW
BIOGAS
1 project
OUR BUSINESS MODEL
AT PERUTNINA PTUJ
SLAUGHTERHOUSES
5 facilities
(2 in Slovenia, 1 in Croatia,
1 in Bosnia & Herzegovina,
1 in Serbia)
MEAT-PROCESSING
1
6 production facilities
(3 in Slovenia,
1 in Croatia, 1 in Serbia,
1 in Bosnia & Herzegovina)
8%
IN-HOUSE
PRODUCTION
99%
IN-HOUSE
PRODUCTION
100%
IN-HOUSE
20
STRATEGIC
REPORT
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REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
Our Business Model at Perutnina Ptuj

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21
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
CHAIRMAN’S
STATEMENT
JOHN RICH
EXECUTIVE
CHAIRMAN
Dear Shareholder,
At the time of writing, the Russian war with Ukraine has progressed into its 71st day with devastating
consequences on Ukrainian cities, infrastructure and people. Over 35% of Ukrainian residents are displaced
and over five million women, children and the vulnerable have fled predominantly to the EU.
Since 24th February, MHP has continued to balance its model between export and the domestic market,
which traditionally supplied 50% of its poultry produce to 80 countries of the world. During the first two
months of the war, MHP has been strongly supporting the local population providing humanitarian aid to
preserve food security to the Ukrainian people. During this time, up to 15% of total production was being
supplied free-of-charge to civilians in desperate need of food and shelter as well as to Ukraine’s defenders.
Our key focus has been to protect employees and their families, while maintaining the Company’s production
and distribution activities and all infrastructure which has not been directly aected by military action.
From the beginning of the invasion, all export operations ceased as Ukrainian sea ports became
inaccessible. Since then, the Group has investigated other options and has recently started trialling
poultry exports to the EU via road transport. Other potential export channels to the EU, including rail, are
being actively explored. The Company is also working to resume exports to Saudi Arabia and the United
Arab Emirates via sea ports located in friendly countries.
Chairman’s Statement

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22
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
MHP’s grain growing operations are
relatively unaffected, with the spring
sowing campaign having commenced at
the beginning of April on the 90% of our
land that remained accessible.
To maintain business continuity in a highly
uncertain operating environment, MHP has
taken positive action to preserve liquidity
after a highly successful 2021. To allow
the Company to fund its upcoming sowing
campaign and to fund poultry operations,
holders of our three series of outstanding
Eurobonds were asked for their consent
to postpone for 270 days the semi-annual
interest payments that were due between
March and May 2022. We were pleased
that the consent solicitation received
approval from a substantial majority of
holders of each series of Eurobonds
ahead of schedule. To treat all creditors
fairly and equitably, the Company also
agreed with its bank lenders a general
postponement of debt servicing pari passu
with the bond holders. We are grateful for
the overwhelming support that has been
received from the financial community and
their backing of MHP during this extremely
challenging time.
The infrastructure damage and population
displacement which has occurred as
a result of the conflict has significantly
affected the market for the Company’s
products within Ukraine. This will continue
until the situation stabilises and for a
period afterwards that we are as yet
unable to quantify.
Looking forward, and subject to
events, during 2022 MHP is hopeful
of harvesting grain crops on its 90% of
available land, recommencing oil seed
crushing and exports of vegetable oils,
and expanding trials of poultry exports
towards normal commercial production
levels. In conclusion, the heroic eorts
of our Ukrainian employees, volunteers
and senior management, combined with
MHP’s vertically-integrated business
model, have allowed the Company
to survive what can probably be
described as the greatest challenge in
Europe since World War 2. There are
no words that can accurately describe
the sacrifices that have been made by
all responsible MHP’s stakeholders.
I would like to thank them all from the
bottom of my heart for their global support.
2021 PERFORMANCE
2021 was a year of evolution and expansion
as we continued to make further progress
in the development and execution of our
transformation to a culinary company. A
combination of positive external factors and
strong operational performance resulted in the
Group delivering record financial results for
the year. Operational highlights are set out in
the CEO’s Statement on page 23.
CORPORATE GOVERNANCE
The Company continues to recognise the
importance of strong corporate governance in
line with good international practice and aims
to comply with the requirements of the UK
Corporate Governance Code 2018 (the “UK
Code”) to the extent practicable.
Following shareholder consultation, the EGM
held in December 2021 voted to approve a
new Directors’ Remuneration Policy. This is
a central part of a Group-wide move towards
a more performance-oriented approach to
remuneration based on broader indicators
reflecting the wider objectives of the Group.
This Policy is intended to enable MHP to
attract and retain the right calibre of executive
and non-executive directors. It will also ensure
that remuneration and incentives adhere to
principles of good corporate governance and
risk management practice, at the same time
as promoting the Company’s responsible
business performance.
More information on our Directors’
Remuneration Policy can be found in the
Nominations and Remuneration Committee
Report on page 79.
I highlight here the following Board
developments:
• As noted in the 2020 Annual report, Roger
Wills and Roberto Banfi resigned from the
Board in February 2021;
• In September 2021, Philip J Wilkinson OBE
was appointed Chair of the Nominations
and Remuneration Committee;
•
In November 2021, Yuriy Melnyk resigned
from the Board;
•
In December 2021, Andriy Bulakh joined the
Board;
The appointment of an additional independent
non-executive director which, following a
thorough search process, was imminent in
February 2022, has been deferred until the
situation in Ukraine stabilises.
Following these developments, as at the date
of this Report the Board comprises three
Independent Non-Executive Directors and four
Executive Directors, including the Executive
Chairman. As an organisation following strong
corporate governance guidelines, the Board
believes that it has fulfilled as far as possible
its responsibilities to all its stakeholders,
with a strong focus since the Russian
invasion on meeting the humanitarian crisis
in Ukraine. MHP is the largest food producer
still operating in Ukraine, where a number
of regions continue to be under constant
military attack by Russian forces. The Board
is united in its focus on meeting the needs of
the Ukrainian people and our customers in
the face of a humanitarian catastrophe whilst
taking every practicable action to ensure the
Company is positioned to emerge successfully
when these war-time conditions are behind us.
John Rich
Executive Chairman
05 May 2022
Chairman’s Statement

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23
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
CEO’S
STATEMENT
YURIY KOSYUK
CEO AND FOUNDER
OF MHP
The situation in Ukraine is grave and continues to evolve on a daily basis. Since 24 February, MHP has
experienced a number of significant disruptions and operational issues and the Chairman’s Statement sets
out how the Group is responding.
We are currently experiencing the most dicult of times. The management team and the whole workforce
are united in working to the maximum extent of our capabilities, despite all the diculties we face. We do
this responsibly, placing the highest value on people, caring about our workforce and our consumers. And
responsibly, because we know that Ukraine’s food security depends on our work, making this important task
our number one priority. MHP’s business model gives us an advantage – in plain terms, we convert grain into
chicken and logistically that “simplifies” the work of the business. Exporting is very much our second priority.
Our team is charged with achieving results across the board.
Given the uncertainties, I report here primarily on our performance in 2021. Whilst it is impossible to predict
the development of the war, the Company is undertaking all necessary eorts to return to full-scale production
(since the beginning of war, and as of today, MHP’s poultry production facilities have been working at 85%
capacity utilization) as soon as practically possible.
2021 PERFORMANCE
The Group delivered an exceptional performance in
2021 driven by a combination of excellent weather
conditions, which resulted in a record harvest, and
strong prices for grains and poultry products.
Group revenue was US$ 2,372 million, up 24% year-
on-year driven mainly by an increase in the price of
chicken meat in both local and international markets.
Group Adjusted EBITDA (net of IFRS 16) increased by
91% year-on-year to a record US$ 648 million, driven
mainly by an increase in the Grain Growing Segment as
a result of a very rich harvest and strong grain prices
internationally, secured by actions taken to lock in
forward sales. The Group Adjusted EBITDA margin (net
of IFRS 16) was 27%.
Perutnina Pjuj (“PP”)’s performance was strong,
delivering US$ 63 million EBITDA (net of IFRS 16), 19%
higher than in 2020 in line with our long-term CAPEX
program designed to increase sales volumes and
operational eciencies, stronger performance in grain
growing business due to significant increase in grain
prices, as well as stronger EUR against USD.
CEO’s Statement

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24
STRATEGIC
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BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
KEY DEVELOPMENTS IN 2021
I summarise here the key developments
during 2021.
Transformation to a Culinary Company
We made significant progress towards our
strategic transformation goal both in product
development and routes to market.
In the domestic market, we invested around
US$ 6 million to establish a state-of-the-
art culinary centre in Kyiv, which opened in
summer 2021. This covers 1,000m2, with
facilities for new product development, testing
of ingredients and products, sensory analysis
and production of ready-to-eat and ready-to-
heat products. This is an important platform
for MHP’s future B2B, Ukrainian HoReCa and
B2C development and transformation of the
Company in line with our culinary strategy.
The rollout of our “Myasomarket”, or
“MeatMarket”, convenience stores continued.
The focus on changing consumer preferences
and on the sale of value-added food (including
ready-to-eat and ready-to-heat products), sold
from stores close to the consumer, is a new
concept for the Ukrainian market, which the
MHP team has largely been developing during
2021. By the end of 2021, 180 outlets were in
operation. In July 2021, following collaboration
with customers, we launched the “MeatMarket
2.0” concept, creating a “food experience” for
consumers. We also increased the number of
“DonerMarket” gyro fast food stores selling
doner and shawarma, with 49 stores open by
the end of 2021.
Export Markets
During the year, export sales increased by 8%,
predominantly driven by MENA and European
markets.
In MENA, we opened two direct sales
branches in Saudi Arabia, which will
provide the Company with a deeper market
penetration. We continue to look for further
opportunities to expand, predominantly
through joint ventures and new sales
branches opening in the region. Further
significant developments were made in the
supply of poultry into Saudi Arabia, enabling
us to maintain “security stock” to reduce the
risk of supply interruptions.
In Europe (including the UK), we continued
to deepen our market penetration with an
increase in sales of value-added products,
including a significant increase in cooked
products. We continued to target new
customers and the sale of higher-margin
products; during 2021, 20% of direct sales
were to new customers. We acquired an
importer and distributor of meat and poultry
in the UK that expanded our activity in the
region, beginning operations as MHP Food
UK in July 2021.
Client Business Development (“CBD”)
programmes are now in place for our sales
teams as we evolve from a provider of ‘raw
materials’ to one of ‘culinary solutions’. Our
CBD transformation has been bolstered by the
recruitment of skilled personnel to develop our
sales teams, and by our ongoing digitisation.
Export and direct sales managers can now
use a CRM (client relationship management)
system, with an increasing number of clients
having access to an online portal.
Perutnina Pjuj (European Operating
Segment)
2021 saw continued integration and expansion
at PP. Following the modernisation and
expansion of facilities in Croatia and Serbia,
poultry volumes increased by around 10%
year-on-year across the EU, mainly driven
by increased sales in Bosnia-Herzegovina,
Serbia, Austria and Montenegro.
Our success at integrating and improving
the performance of operations at PP
demonstrates our ability to manage and
integrate acquisitions. In due course, we will
continue to explore strategic opportunities to
further expand PP’s operations into Eastern
and Southern Europe.
I will update the market when it becomes
possible to provide greater clarity on strategic
implications.
THE CONTRIBUTION OF MHP
PEOPLE FOLLOWING THE
RUSSIAN INVASION
Following the Russian invasion on 24
February, MHP and its employees have
prioritised the care and well-being of the
people of Ukraine. Everyone recognized
that MHP has a key responsibility in the
food security of the country and it was vital
that we continued to operate despite the
substantial diculties caused by the conflict
to the supply chain, logistics and the damage
to infrastructure.
Our workforce is fully committed to undertake
every eort to ensure that Ukrainians have
access to food now and at any time in the
future. MHP’s senior management team is
proud of the patriotic, brave and outstanding
effort that everyone has made so far to
achieve this objective through the continuation
of food production and food deliveries, sowing
of crops, provision of humanitarian aid and
supporting the defenders of the country.
Yuriy Kosyuk
CEO and Founder of MHP
05 May 2022
CEO’s Statement

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25
MHP at a glance
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
BUSINESS
REVIEW
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
26 Key Performance Indicators
31 Financial and Operational Review
40 Measures of Financial Performance
43 Principal Risks and Uncertainties
51 S172 Statement & Stakeholder
Engagement
54 Corporate Responsibility
60 Non-Financial Information Statement

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26
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
KEY PERFORMANCE
INDICATORS
WE MONITOR PROGRESS AGAINST THE DELIVERY OF OUR STRATEGIC GOALS USING
SEVERAL FINANCIAL KEY PERFORMANCE INDICATORS (“KPIS”).
EACH KPI PROVIDES A WAY OF MEASURING ELEMENTS OF OUR STRATEGY. OUR STRATEGY IS
FOCUSSED UPON THE MEDIUM TO LONG TERM AND THEREFORE WE CONSIDER HOW WE HAVE
PERFORMED OVER A NUMBER OF YEARS, SHOWING THE KPIS FOR THE LAST FIVE YEARS.
GROUP REVENUE,
US$M
1,288
1,556
2,056
1,911
2017 2018 2019 2020 2021
2,372
GROUP EXPORT REVENUE,
US$M
732
924
1,186
1,016
58%
57%
59%
2021
1,265
2017 2018 2019 2020
53%
53%
GROUP ADJUSTED
EBITDA
1
459
376
340
450
20212017 2018 2019 2020
648
18%
36%
29%
27%
18%
Adjusted EBITDA
1
, US$m
ADJUSTED EBITDA MARGIN
2
, %
35%
29%
36%
25%
21%
12%
18%
28%
18%
29%
29%
20212017 2018 2019 2020
Adjusted EBITDA margin (Poultry & Related Operations)
Adjusted EBITDA margin (Grain Growing)
1,2
Group Adjusted EBITDA margin
1
15%
17%
56%
27%
1
Adjusted EBITDA (net of IFRS 16) and
Adjusted EBITDA margin (net of IFRS 16)
since 2019
2
Adjusted EBITDA margin for the Grain
Growing segment was calculated based
on revenue that includes ICO sales
Export Revenue, US$m
US$m
%
US$m
%
Key Performance Indicators
US$m
Adjusted EBITDA margin
1
, %% of total revenue

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27
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
KEY PERFORMANCE
INDICATORS
REVENUE, US$m EXPORT REVENUE, US$m
ADJUSTED EBITDA, US$m
HOW WE CALCULATE IT
As reported. Revenue to destinations outside of country of production.
Adjusted EBITDA is defined as profit before tax, net finance costs,
depreciation and amortisation, net after-tax exceptional and
non-recurring items, net foreign exchange loss, and net other
expenses.
WHY WE MEASURE IT
To ensure we are successful in growing the business.
To ensure we are delivering on our strategy of international expansion in turn
leading to additional hard currency revenue. Export revenue provides MHP
with a natural hedge against local currency volatility.
To track the underlying performance of the business.
2021 PROGRESS
Revenue was up 24% y/y mainly driven by an increase in
sales of chicken meat.
Export revenue was up 25% y/y mainly driven by an increase in poultry export
sales volumes and prices.
Adjusted EBITDA (net of IFRS 16) was up by 91% y/y mainly due to
strong results in grain growing operations - high a grain prices as
well as stronger harvest in 2021 compared to 2020.
LINK TO STRATEGY
Execution of our diversified sales strategy – both for
exports and domestic sales.
Export growth through sales diversification and market targeting.
Production eciency and a focus on more value-added and further
processed products as we transform to a culinary company.
CHANGE TO KPI
KPI unchanged y/y. KPI unchanged y/y. KPI unchanged y/y.
Key Performance Indicators

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28
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
Key Performance Indicators
KEY PERFORMANCE
INDICATORS
BY SEGMENT
POULTRY AND RELATED OPERATIONS
Production of poultry,
thousand tonnes
Poultry exports,
thousand tonnes
Poultry exports
(as % of Poultry sales)
PRODUCTION AND EXPORT SALES
566
2017
221
41%
618
287
48%
729
357
53%
731
374
54%
754
402
2018 2019 2020 2021
Revenue,
US$m
Adjusted EBITDA,
US$m
EBITDA per 1 kg,
US$
REVENUE AND ADJUSTED EBITDA
1
1,051
367
0,67
1,241
311
1,368
281
1,298
194
0,30
0,53
2017 2018 2019 2020 2021
1,607
267
0,41
0,36
57%
US$m
US$
Thousand tonnes
% of poultry sales
1
Adjusted EBITDA (net of IFRS 16)
THE GROUP IS UNDERPINNED BY ITS VERTICALLY-INTEGRATED BUSINESS MODELS, ITS
EXPERIENCED MANAGEMENT TEAM AND ITS DIVERSIFICATION STRATEGY IN BOTH DOMESTIC
AND INTERNATIONAL MARKETS.

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29
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
GRAIN GROWING OPERATIONS
PRODUCTION OF GRAINS,
THOUSAND TONNES
2017 2018 2019 2020 2021
1,999
2,654
1,707
2,408
2,597
3.0
7.0
6.0
YIELDS, TONNES PER
HECTARE (HA)
10.0
5.9
3.2
2017
3.2
10.9
6.1
2018
6.4
3.6
9.4
2019
5.6
5.1
2.8
2020 2021
US$962
ADJUSTED
EBITDA PER
HECTARE
IN 2021
1
Adjusted EBITDA (net of IFRS 16)
REVENUE AND ADJUSTED
EBITDA
1
117
95
181
151
60
134
97
267
272
188
338
416
2017 2018 2019 2020 2021
167
962
US$m
US$
Key Performance Indicators
Corn
Wheat
Sunflower
Revenue, US$ m
Adjusted EBITDA, US$m
Adjusted EBITDA per 1
ha, US$
268

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30
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
EUROPEAN OPERATING SEGMENT (PP)
PRODUCTION OF POULTRY,
THOUSAND TONNES
PRODUCTION OF MEAT-
PROCESSING
PRODUCTS, THOUSAND TONNES
REVENUE AND ADJUSTED
EBITDA
2
70
102
2019
1
2020 2021
112
1
Results from 21 February 2019 when the acquisition of
PP was completed
2
Adjusted EBITDA (net of IFRS 16) and Adjusted EBITDA
margin (net of IFRS 16)
30
39
2019
1
2020 2021
41
271
42
15%
335
53
16%
2019
1
2020 2021
401
16%
Revenue,
US$ m
Adjusted EBITDA
2
,
US$ m
Adjusted EBITDA
margin
2
, %
16%
ADJUSTED EBITDA
MARGIN
2
IN 2021
US$ m
%
63
Key Performance Indicators

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31
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
Financial and Operational Review
FINANCIAL
AND OPERATIONAL
REVIEW
OPERATIONAL HIGHLIGHTS
POULTRY PRODUCTION
VOLUMES INCREASED BY 3%
YEAR-ON-YEAR TO
754,387
1
TONNES
POULTRY PRODUCTION VOLUMES
AT THE EUROPEAN OPERATING
SEGMENT INCREASED 10% TO
111,973 TONNES IN 2021
(2020: 102,157 TONNES).
(2020: 731,279 TONNES)
THE AVERAGE CHICKEN MEAT
PRICE INCREASED BY 25%
YEAR-ON-YEAR TO
US$1.67
PER KG
THE AVERAGE PRICE OF CHICKEN
MEAT PRODUCED BY PP DURING
2021 INCREASED BY 3% YEAR-ON-
YEAR TO EUR 2.59 PER KG
(2020: EUR 2.52 PER KG).
(2020: US$ 1.34 PER KG)
(EXCLUDING VAT)
1
Production volume of chicken meat
only without by-products
CHICKEN MEAT EXPORTS
FROM UKRAINE INCREASED BY
8% YEAR-ON-YEAR TO
402,388
TONNES
(EXCLUDING PP’S 33,446 TONNES
(2020: 17,001 TONNES)).
(2020: 373,734 TONNES)

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32
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
FINANCIAL HIGHLIGHTS
US$ 1,265
MILLION
EXPORT REVENUE OF
ADJUSTED EBITDA
2
OF
up 91% year-on-year from
US$ 340 million driven mainly by strong result
in the Grain Growing Segment.
53% of total revenue
(2020: US$ 1,016 million, 53% of total
revenue), up 25% year-on-year.
US$ 2,372
MILLION
REVENUE OF
US$ 506
MILLION
OPERATING PROFIT OF
an increase of 24% year-on-year
(2020: US$ 1,911 million) mainly driven by an
increase in the sale of meat.
up 152% year-on-year from
US$ 201 million; operating margin
increased from 11% to 21%.
FINANCIAL OVERVIEW
(IN MLN. US$,
UNLESS INDICATED
OTHERWISE)
2021 2020 % CHANGE
1
REVENUE 2,372 1,911 24%
IAS 41 standard gains/
(losses)
185 31 497%
GROSS PROFIT 745 398 87%
Gross profit margin 31% 21% 10 pps
OPERATING PROFIT/
(LOSS)
506 201 152%
Operating profit margin 21% 11% 10 pps
ADJUSTED EBITDA 709 395 79%
Adjusted EBITDA
margin
30% 21% 9 pps
ADJUSTED EBITDA (net
of IFRS 16)
648 340
91%
Adjusted EBITDA
margin (net of IFRS 16)
27% 18% 9 pps
Net profit/(loss) before
foreign exchange
dierences
353 71 397%
Net profit/(loss) margin
before forex gain/(loss)
15% 4% 11 pps
Foreign exchange gain/
(loss)
40 (204) 120%
Net profit/(loss) 393 -133 395%
Net profit/(loss) margin 17% -7% 24 pps
1
pps – percentage points
2
Adjusted EBITDA (net of IFRS 16)
Average ocial FX rate for 12 months: UAH/US$ 27.2835 in 2021 and UAH/US$ 26.9639
in 2020.
US$ 648
MILLION
US$ 393
MILLION
NET PROFIT OF
(2020: US$ 133 million of net loss)
ADJUSTED EBITDA
2
MARGIN
GREW TO
(2020: 18%)
27%
Financial and Operational Review

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33
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
SEGMENT
PERFORMANCE
POULTRY AND RELATED OPERATIONS
SEGMENT
2021 2020 % CHANGE
POULTRY
Sales volume, third parties tonnes 704,010 699,926 1%
Domestic sales volume, third parties tonnes 288,831 324,285 -11%
Export sales volume, third parties tonnes 402,388 373,734 8%
Price per 1 kg net of VAT, USD 1.67 1.34 25%
Average price per 1 kg net of VAT, UAH (Ukraine) 45.37 34.54 31%
Average price per 1 kg net of VAT, USD (Ukraine) 1.66 1.28 30%
Average price per 1 kg net of VAT, US$ (export) 1.67 1.40 19%
Culinary products sales, tonnes 12,791 1,909 570%
SUNFLOWER OIL
Sales volume, third parties tonnes 207,240 330,823 -37%
SOYBEAN OIL
Sales volume, third parties tonnes 45,209 40,904 11%
CHICKEN MEAT
The aggregate volume of chicken meat
sold to third parties remained relatively
stable during 2021.
Through 2021 the average export
chicken meat price increased by 19% to
US$ 1.67 compared to 2020, mainly driven
by strong prices on breast and fillet in
Europe, and quarters and small chicken in
the MENA region.
The average poultry price on the domestic
market increased by 30% year-on-year,
mainly driven by a substantial poultry
production cost increase since Q4 2020
and a substantial utilities (mainly gas) price
increases since the end of Q3 2021 as well
as strong and upward price trends for all
proteins during the period in the country.
An additional factor in the increase in price
was the low poultry price through 2020 as
a result of impact of the COVID-19.
VEGETABLE OIL
During 2021 MHP’s sales of sunflower oil
decreased by 37% compared to 2020 to
207,240 tonnes, mainly driven by reduced
production of oil as a result of a decreased
share of sunflower cake in fodder (due to a
change in recipe).
Sales of soybean oil increased by 11%
during 2021 to 45,209 tonnes, mainly as a
result of an increased share of soya cake
in the fodder recipe (in partial substitution
for sunflower cake), which also resulted in
decreased sales of soybean cake to third
parties.
Financial and Operational Review

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34
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
FINANCIAL RESULTS AND TRENDS
(IN MLN. US$, UNLESS
INDICATED OTHERWISE)
2021 2020 % CHANGE
1
REVENUE 1,607 1,298 24%
Poultry and other 1,224 1,022 20%
Vegetable oil 383 276 39%
IAS 41 standard gains/(losses) 14 (17) 182%
GROSS PROFIT 285 191 49%
Gross margin 18% 15% 3 pps
ADJUSTED EBITDA 267 194 38%
Adjusted EBITDA margin 17% 15% 2 pps
Adjusted EBITDA per 1 kg (net of IAS 41) 0.36 0.30 20%
1
pps – percentage points
During 2021 the segment’s revenue increased by 24% year-on-year driven mostly by an increased
price of chicken meat.
The IAS 41 standard gain/(loss) reflects the net change in fair value of biological assets and
agricultural produce. The IAS 41 standard gain during 2021 amounted to US$ 14 million mainly as
a result of an increased in the poultry prices.
The gross profit of the segment for 2021 increased by 49% year-on-year driven mainly by higher
prices of chicken meat. During 2021, adjusted EBITDA increased by 38% in line with the increase
in gross profit.
24%
YEAR-ON-YEAR
DURING 2021 THE SEGMENT’S
REVENUE INCREASED BY
Financial and Operational Review
POULTRY AND RELATED OPERATIONS
SEGMENT

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35
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
2021 2020
PRODUCTION
VOLUME
in tonnes
CROPPED
LAND
in hectares
PRODUCTION
VOLUME
in tonnes
CROPPED
LAND
in hectares
Corn 1,624,173 163,295 864,537 155,094
Wheat 216,007 36,773 208,143 40,827
Sunflower 279,822 88,256 261,886 93,713
Rapeseed 71,055 21,522 80,708 30,857
Soya 57,208 22,879 43,192 19,118
Other
1
348,590 18,715 248,476 16,437
TOTAL 2,596,855 351,440 1,706,942 356,046
In 2021 MHP harvested 351,440 hectares of land in Ukraine and gathered around 2.60
million tonnes of crops, 52% more than in 2020 mainly due to favourable weather conditions
together with the positive eects of modern technology and machinery applied during the
cultivation of land. MHP’s average yields for all crops remain well above the average for
Ukraine due to operational eciency and the employment of best practice.
1
Including barley, rye, sugar beet, sorghum and other and excluding land left fallow as part of crop rotation.
2
Only land of the Grain Growing Segment.
3
MHP yields are net weight, Ukraine yields are bunker weight.
2021 2020
MHP’S
AVERAGE
2
UKRAINE’S
AVERAGE
3
MHP’S
AVERAGE
2
UKRAINE’S
AVERAGE
3
Tonnes per hectare Tonnes per hectare
Corn 10.0 8.0 5.6 5.4
Wheat 5.9 4.6 5.1 3.7
Sunflower 3.2 2.5 2.8 2.0
Rapeseed 3.3 3.0 2.6 2.2
Soya 2.5 2.7 2.3 2.0
HARVEST RESULTS
(IN MLN. US$, UNLESS
INDICATED OTHERWISE)
2021 2020 % CHANGE
REVENUE 188 134 40%
IAS 41 standard gains/(losses) 169 46 267%
GROSS PROFIT 336 94 257%
Adjusted EBITDA 397 150 165%
Adjusted EBITDA (net of IFRS 16) 338 97 248%
Adjusted EBITDA (net of IFRS 16) per 1 hectare 962 272 254%
Grain Growing Segment’s revenue for 2021 amounted to US$ 188 million compared to US$ 134 million in 2020.
The increase was mainly attributable to the higher volumes of crops sold in 2021 as a result of the stronger
harvest in 2021 compared to 2020 together with an increase in grain prices.
The IAS 41 standard gain for 2021 amounted to US$ 169 million. The gain was primarily driven by higher amount
of crops in stock designated for sale as of 31 December 2021, compared to 31 December 2020, mainly as a
result of the higher yields in 2021.
Adjusted EBITDA (net of IFRS 16) of the Segment in 2021 increased by 248% year-on-year, reflecting the increase
in grain prices as well as the stronger harvest in 2021 compared to 2020.
FINANCIAL RESULTS AND TRENDS
GRAIN GROWING SEGMENT
Financial and Operational Review

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36
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
OPERATIONAL RESULTS
MEAT PROCESSING
PRODUCTS
2021 2020 % CHANGE
Sales volume, third parties (tonnes) 33,954 32,626 4%
Price per 1 kg net of VAT, UAH 82.20 70.78 16%
In 2021 sales of processed meat products increased by 4% to 33,954 tonnes. The average
price of processed meat increased by 16% year-on-year to UAH 82.20 per kg in 2021, driven
mainly by an increase in raw material prices (poultry meat).
CONVENIENCE FOOD 2021 2020 % CHANGE
Sales volume, third parties (tonnes) 18,857 19,905 -5%
Price per 1 kg net of VAT, UAH 48.62 39.94 22%
Sales volumes of convenience food in 2021 decreased by 5% to 18,857 tonnes. The average
price in 2021 increased by 22% to 48.62 UAH per kg (excluding VAT).
(IN MLN. US$, UNLESS
INDICATED OTHERWISE)
2021 2020 % CHANGE
1
REVENUE 176 144 22%
Meat processing 143 114 25%
Other* 33 30 10%
IAS 41 standard loss (1) - 100%
GROSS PROFIT 17 19 -11%
Gross margin 10% 13% -3 pps
ADJUSTED EBITDA 11 20 -45%
Adjusted EBITDA margin 6% 14% -8 pps
Segment revenue in 2021 increased by 22% year-on-year to US$ 176 million, mainly due to a decrease in the
volume of meat processing products as well as an increase in price.
The IAS 41 standard loss was mainly driven by milk operations due to increased costs.
The Segment’s Adjusted EBITDA in 2021 decreased to US$ 11 million driven mainly by an increase in cost.
FINANCIAL RESULTS AND TRENDS
MEAT PROCESSING AND OTHER
AGRICULTURAL SEGMENT
Financial and Operational Review
1
pps – percentage points

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37
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
2021 2020 % CHANGE
POULTRY
Sales volume, third parties, tonnes 72,841 63,007 16%
Price per 1 kg net of VAT, EUR 2.59 2.52 3%
In 2021 sales increased by 16% to 72,841 tonnes with the average price up 3% to EUR 2.59.
2021 2020 % CHANGE
MEAT PROCESSING PRODUCTS
1
Sales volume, third parties, tonnes 40,366 38,771 4%
Price per 1 kg net of VAT, EUR 2.78 2.72 2%
In 2021 sales increased by 4% to 40,366 tonnes with the average price up 2% to EUR 2.78.
(IN MLN. US$, UNLESS
INDICATED OTHERWISE)
2021 2020 % CHANGE
2
REVENUE 401 335 20%
IAS 41 standard gains/(losses) 3 1 200%
GROSS PROFIT 106 93 14%
Gross margin 26% 28% -2 pps
ADJUSTED EBITDA 66 55 20%
Adjusted EBITDA margin 16% 16% 0 pps
ADJUSTED EBITDA (net of IFRS 16) 63 53 19%
Adjusted EBITDA margin (net of IFRS 16) 16% 16% 0 pps
The European Operating Segment’s revenue in 2021 increased by 20% to US$ 401 million, mainly as a result
of increased poultry sales volume and prices. Adjusted EBITDA (net of IFRS 16) increased by 19% to US$ 63
million, mainly due to higher operational eciencies, which allowed to oset growing cost of raw materials,
positive impact from appreciation of the EUR against US Dollar as well as one-o eects related to insurance
and some change in accounting treatment from past events. Adjusted EBITDA margin (net of IFRS 16) was
unchanged at 16% in 2021.
EUROPEAN OPERATING
SEGMENT (PP)
OPERATIONAL RESULTS FINANCIAL RESULTS AND TRENDS
Financial and Operational Review
1
includes sausages and convenience foods
2
pps – percentage points

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38
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
CURRENT GROUP FINANCIAL POSITION AND CASH FLOW
(IN MLN. US$, UNLESS
INDICATED OTHERWISE)
2021 2020
Cash from operations 370 225
Change in working capital (245) (154)
Net cash from operating activities 125 71
Cash used in investing activities (100) (129)
Net cash outflow on acquisition of subsidiaries (2) -
CAPEX
1
(143) (79)
Cash used in financing activities
106 (21)
Dividends (71) (31)
TOTAL FINANCIAL ACTIVITIES 35 (52)
TOTAL CHANGE IN CASH
2
60 (110)
Cash flow from operations before changes
in working capital in 2021 increased to
US$ 370 million (2020: US$ 225 million).
The increase in working capital during 2021
compared to 2020 is mostly related to higher
investments in the stock of corn designated for
internal use, mainly following higher yields in
2021 as well as higher investment in sunflower
seeds and increased grain prices.
During 2021 total CAPEX amounted to US$ 143
million, mainly related to expansion of Perutnina
Ptuj production facilities and modernization
and cost optimisation projects as well as the
development of new culinary products.
1
Calculated as cash used for purchases of property, plant and equipment plus cash used for purchases of
other non-current assets.
2
Calculated as Net Cash from operating activities plus Cash used in investing activities plus Total financial
activities.
DEBT STRUCTURE AND LIQUIDITY
(IN MLN. US$, UNLESS
INDICATED OTHERWISE)
31
DECEMBER
2021
31
SEPTEMBER
2021
31
DECEMBER
2020
TOTAL DEBT
3
1,505 1,451 1,462
LT Debt
3
1,489 1,431 1,453
ST Debt
3
126 20 36
Trade credit facilities
4
(110) - (27)
Cash and cash equivalents (275) (287) (218)
NET DEBT
3
1,229 1,164 1,244
LTM ADJUSTED EBITDA
3
648 558 340
Net Debt / LTM Adjusted EBITDA
3
1.90 2.09 3.66
3
Net of IFRS 16 adjustments: as if any lease that would have been treated as an operating lease under IAS
17 as was in eect before 1 January 2019, is treated as an operating lease for purposes of this calculation.
In accordance with covenants in MHP’s bond and loan agreements, these data exclude the eects of IFRS
16 on accounting for operating leases.
4
Indebtedness under trade credit facilities that is required to be repaid within 12 months of drawdown
should be excluded for purposes of this calculation.
As of 31 December 2021, the share of long-
term debt in total outstanding debt is 99%. The
weighted average interest rate was below 7%.
As of 31 December 2021, MHP’s cash and cash
equivalents amounted to US$ 275 million.
Net debt decreased to US$ 1,229 million,
compared to US$ 1,244 million as of
31 December 2020.
The Net Debt / LTM Adjusted EBITDA (net of
IFRS 16) ratio declined from 3.66 at 31 December
2020 to 1.90 as of 31 December 2021, well
below the defined limit of 3.0 to 1. As a hedge
for currency risks, revenue from the exports
of grain, sunflower and soybean oil, sunflower
husks, and chicken meat which are denominated
in US Dollars and Euros, are more than
sucient to cover debt service requirements.
Export revenue for 2021 amounted to
US$ 1,265 million or 53% of total revenue
(US$ 1,016 million or 53% of total revenue for
2020).
Financial and Operational Review

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39
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
DIVIDENDS
Taking into account the current uncertainties
following the Russian invasion of Ukraine,
and the resulting need to preserve liquidity
to support the Company’s ongoing business
operations and to help sustain national food
security, the Board of MHP SE has decided that
no final dividend will be paid.
SUBSEQUENT EVENTS
On 21 March 2022, MHP issued a Consent
Solicitation Memorandum seeking the consent
of bondholders to defer by 270 days payment of
the coupons of its three outstanding Eurobonds
(2024, 2026 and 2029) which were due to be
paid in March-May 2022. On 31 March 2022,
the Company announced the results Consent
Solicitation which was completed ahead of
schedule following receipt of approval from a
substantional majority of holders of each of its
Eurobonds.
OUTLOOK
Until the Russian invasion commenced on the
24th February, 2022 had started well for MHP,
with production going to plan and strong global
prices for poultry and agricultural commodities.
Since 24 February, MHP and its entire Ukrainian
workforce have responded to the dramatic
changes in circumstances with alacrity and
considerable success to date in maintaining
production and sales, albeit at reduced levels.
In spite of considerable ongoing logistics
challenges, poultry production has already
recovered to about 85% of normal capacity
and in the second half of the year, we hope to
harvest grain crops from the 90% of our land
where sowing is now in progress, with excellent
early growing conditions. We expect shortly
to recommence production and export of
vegetable oils and if current logistics trials are
successful, to at least partially restore poultry
exports.
Due to global shortages, which are expected
to continue into 2023, prices of both poultry
and grain are expected to remain at high levels
at least for the rest of 2022, although for MHP
the positive eect of higher prices will be partly
oset by strong cost inflation, for example in
utilities, energy and essential commodities, in
addition to more costly logistics solutions.
With the recent strong support of holders of
our Eurobonds and our bankers, the Group
is currently adequately funded to maintain
operations and business continuity.
There remains extreme uncertainty about how
the war in Ukraine will progress and the eects
this could have on MHP’s operations over the
coming months. As a result and in spite of the
Group’s success in maintaining operations thus
far, at this stage it is not possible to provide
guidance as to how the year may turn out.
Financial and Operational Review

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STATEMENTS
SHAREHOLDER
INFORMATION
Measures of Financial Performance
MEASURES OF
FINANCIAL PERFORMANCE
Adjusted EBITDA, LTM Adjusted EBITDA and
Segment Adjusted EBITDA are presented in this
Report because the Directors consider them to
be important supplemental measures of the
Group’s financial performance. Additionally, the
Directors believe these measures are frequently
used by investors, analysts and stakeholders
to evaluate the efficiency of the Group’s
operations and its ability to employ its earnings
for the repayment of debt, capital expenditure
and working capital requirements. MHP defines
Adjusted EBITDA as profit for the year before
income tax expense, finance costs, finance
income, depreciation and amortisation expense,
impairment of property, plant and equipment,
net foreign exchange gain/loss, and net other
expenses. Depreciation and amortisation
expenses are components of both cost of sales
and selling, general and administrative expenses
in the consolidated financial statements.
The introduction of IFRS 16 on Leases from
January 2019 has caused adjustments to
the financial statements. MHP has chosen to
present Adjusted EBITDA for 2020 and 2021
both before and after adjustment for IFRS 16.
LTM Adjusted EBITDA (net of IFRS 16) is defined
as Adjusted EBITDA (net of IFRS 16) for the
prior 12 consecutive months ending on such
date of measurement; LTM Adjusted EBITDA
is сalculated as if acquisitions of subsidiaries
had occurred on the first day of the prior 12
consecutive months ending on such date of
measurement.
LTM Adjusted EBITDA excludes the eects of
IFRS 16 on accounting for operating leases.
Adjusted EBITDA is derived by adjusting
EBITDA (as defined above) for losses/gains on
impairment/reversal of impairment of property,
plant and equipment, net losses on disposals
of subsidiaries, other expenses, net and foreign
exchange (loss)/gain. The Group believes that
this measure is more useful in evaluating the
financial performance of the Company and its
subsidiaries than traditional EBITDA due to the
exclusion of items that Management considers
not to be representative of the underlying
operations of the Group.
The Group’s Segment measure in the
consolidated financial statements is defined
as “Segment result” and represents operating
profit by Segment before unallocated corporate
expense, being the Segment measure reported
to the chief operating decision maker for
the purposes of resource allocation and
assessment of Segment performance. Within
the Management Report, the reported Segment
result is adjusted for the amount of depreciation
and amortisation per Segment in order to
present “Segment Adjusted EBITDA” to external
users, which MHP feels is a more commonly-
used external metric familiar to investors.
Net debt is defined as bank borrowings, bonds
issued and lease obligations less cash and cash
equivalents. Net Debt (net of IFRS 16) is defined
as Net debt less the eects of lease liabilities
recognised under IFRS 16. The Group believes
that net debt is commonly used by securities
analysts, investors and other interested parties
in the evaluation of a company’s leverage.
In MHP’s bond and loan agreement covenants
the definitions Adjusted EBITDA, LTM Adjusted
EBITDA and Net debt exclude the eects of IFRS
16 on accounting for operating leases. They are
calculated as if any lease that would have been
treated as an operating lease under IAS 17 (as
was in eect before 1 January 2019), is treated
as an operating lease.
Adjusted EBITDA is not a measure of MHP’s
operating performance under IFRS and should
not be considered as an alternative to profit
for the year, operating profit, Segment result
or any other performance measures derived
in accordance with IFRS or as an alternative
to cash flow from operating activities or as a
measure of MHP’s liquidity. Such measures
presented in this Annual Report may not be
comparable to similarly titled measures of
performance presented by other companies,
and should not be considered as substitutes for
the information contained in the consolidated
financial statements.
MHP HAS INCLUDED CERTAIN MEASURES IN THIS REPORT THAT ARE NOT MEASURES OF
PERFORMANCE UNDER IFRS, INCLUDING EARNINGS BEFORE INTEREST, TAXATION,
DEPRECIATION AND AMORTISATION (“EBITDA”) AND LAST TWELVE MONTHS’ EBITDA
(“LTM EBITDA”) BOTH AT A CONSOLIDATED AND AT A SEGMENT LEVEL.

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SHAREHOLDER
INFORMATION
RECONCILIATION OF ADJUSTED EBITDA
US$ THOUSAND 2021 2020
Profit for the year from continuing
operations
396,795 -131,575
Income tax 6,914 -5,132
Finance cost 150,424 144,257
Finance income -10,531 -13,584
Depreciation and amortizattion
expense
192,858 192,103
EBITDA 736,460 186,069
Loss on impairment of property,
plant and equipment
10,607 1,730
Other expenses 2,867 3,491
Forex exchange gain -40,466 203,664
ADJUSTED EBITDA 709,468 394,954
ADJUSTED EBITDA
(net of IFRS 16)
647,814 340,282
Сalculation of net debt was aligned with definitions used for the purpose of assessment of compliance with debt
covenants provided in the respective loan agreements. Thus, the accrued interest which has been included previously
as part of the carrying amount of bank borrowings, bonds issued and finance lease obligations has been excluded
from the amount of total debt.
As of 31 December 2021 and 2020, net debt was as follows:
RECONCILIATION OF NET DEBT
US$ THOUSAND 2021 2020
Bank borrowings 225,062 104,396
Bonds issued 1,376,820 1,370,999
Lease obligations 281,250 198,499
Total debt 1,883,132 1,673,894
Cash and cash equivalents -275,237
-217,579
Net debt 1,607,895
1,456,315
Eect of IFRS 16 -268,919 -184,795
Trade credit facilities -110,086 -27,138
Net debt (net of IFRS 16) 1,228,890
1,244,382
Measures of Financial Performance

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SHAREHOLDER
INFORMATION
Segment results represent operating profit, as adjusted for unallocated corporate expenses, which is reconciled to Segment Adjusted EBITDA before unallocated expenses by adding back Segment depreciation as
illustrated in the following table:
SEGMENT PERFORMANCE
YEAR ENDED 31 DECEMBER 2021
US$ THOUSAND
POULTRY &
RELATED
OPERATIONS
SEGMENT
GRAIN
GROWING
SEGMENT
MEAT-PROCESSING &
OTHER AGRICULTURAL
OPERATIONS SEGMENT
EUROPEAN OPERATING
SEGMENT
ELIMINATIONS CONSOLIDATED
External sales 1,607,067 188,344 176,264 400,587 - 2,372,262
Sales between business
segments
67,752 312,277 522 - -380,551 -
Total revenue 1,674,819
500,621 176,786 400,587 -380,551 2,372,262
SEGMENT RESULTS 170,424 325,812 4,339 48,136 - 548,711
Depreciation and
amortisation
96,482 71 377 6,245 17,436
-
191,540
Segment adjusted EBITDA
before unallocated
expenses
266,906 397,189 10,584 65,572
-
740,251
Unallocated expenses - - - - - -32,101
Unallocated depreciation
and amortisation
- - - - - 1,318
ADJUSTED EBITDA - - - - - 709,468
Measures of Financial Performance

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SHAREHOLDER
INFORMATION
Principal Risks and Uncertainties
PRINCIPAL RISKS
AND UNCERTAINTIES
The environment and markets in which we operate are dynamic and subject to constant change. We must be able to respond to these changes, taking
appropriate levels of risk to protect our market position and to capitalise on opportunities. A failure to manage these changes and risks could have an
adverse impact on our business and on the achievement of our strategic goalsand financial performance. We have integrated our risk management
processes into our strategy and embedded them throughout the Company, thereby aligning risk management, strategy and performance across all entities,
departments and functions. This enables us to make better business decisions.
RISK MANAGEMENT FRAMEWORK
To understand our risk profile and align it with our
objectives and decision-making processes, we
operate a global risk framework based upon the
recommendations in the COSO (the Committee
of Sponsoring Organisations of the Treadway
Commission) Enterprise RIsk Management
Framework. The COSO Framework defines how to
identify, classify, assess and manage the risks that
MHP faces in order to provide reasonable assurance
regarding the achievement of the Company`s
strategy and objectives. The implementation
and functioning of our Risk Management Policy
is supported by training programmes for
management and employees.
THESE FIVE STEPS ENABLE CONTINUOUS ASSESSMENT AND
IMPROVEMENT OF THE RISK MANAGEMENT FRAMEWORK
RISK OVERSIGHT
The Audit & Risk Committee monitors the eectiveness of the Company’s risk management and control systems through regular updates from Management,
reviews of the key findings of the external and internal auditors, and an annual review of the risk management process and risk matrix. Results are reported
regularly to the Board, which has overall responsibility for risk management. The Internal Audit function provides objective assurance to the Management
team and to the Audit & Risk Committee on the eectiveness of risk management and helps Management to continuously improve its risk management
framework and processes. The Company’s approach to the identification and assessment of risks, and the response to risks, is based on best business
practices and international COSO Enterprise Risk Management standards.
MANAGERS ENCOURAGE
OPEN COMMUNICATION
AND PROMOTE AND
SUPPORT DISCLOSURE
AND RISK MANAGEMENT
DISCUSSIONS
ENCOURAGING THE
IDENTIFICATION OF
RISKS
EVERY EMPLOYEE SHARES
THE RESPONSIBILITY FOR
MANAGING RISK
EMBEDDING RISK
MANAGEMENT
WITHIN EVERY ROLE
AND FUNCTION
CONTINUOUS
IDENTIFICATION AND
ASSESSMENT OF RISKS
PROCESS OWNERS
REGULARLY LOOK FOR
NEW OPERATIONAL RISKS,
REASSESS THE STATUS
OF KNOWN RISKS, AND
RE-EVALUATE OR UPDATE
PLANS TO PREVENT OR
RESPOND TO PROBLEMS
ASSOCIATED WITH THESE
RISKS
IDENTIFY
RISK
1
2
MEASURE
POTENTIAL IMPACT
3
MANAGE RISK
4
MONITOR RISK
5
COMMUNICATION
AND REPORTING

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THE PRINCIPAL RISKS AND UNCERTAINTIES THE GROUP IS FACING
ARE SET OUT IN THE TABLE BELOW
1
PRINCIPAL RISK HOW WE MANAGE THE RISK
WAR RISKS
Since the Russian invasion on 24
February 2022 and subsequent
large-scale war in Ukraine, MHP has
been facing significant uncertainties
including the risk of further military
action.
Specific risk factors include:
• Destruction of fixed assets
• Loss of access to leased land,
oces and production facilities in
the occupied territories
• Loss of storage facilities and
stocks of produced goods and
inventories
• Absence or loss of employees
resulting in disruption of business
processes
• Disruption of logistics routes in
Ukraine
• Inability to conduct export
activities
• Potential cyber attack, loss of
data and disruption of business
processes
• Temporary unavailability of
banking services (processing of
payment transactions)
• Inability to attract new loans
• A large combination of the above
factors could impair the Group’s
ability to service its debt
Most of those threats cannot be be influenced by MHP. However, we have designed response plans for minimising, where feasible, the potential impact of such risks.
In particular:
• we have ensured that there is no concentration of critical employees in one location, with back-up of critical functions organised
• employees trained on how they should behave and protect themselves in the war period
• employee motivation schemes changed to recognise and reward employees who ensure continuity of production and logistics
• our premises are equipped with fire alarm and security systems
• detailed contingency plans designed to respond to cyber attack and unavailability of IT systems
• supply chains adapted to the new constraints and actions taken to ensure adequate stocks of all critical resources
• sucient credit lines were in place before the invasion to cover liquidity risks
• exports are being relaunched through Europe following the blockage of Ukrainian ports since the beginning of the war
• actions taken to preserve liquidity so that the Group can continue to meet its obligations are described in Note 4
1
As of the date of the 2021 Annual Results release, 05 May 2022
Principal Risks and Uncertainties

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PRINCIPAL RISK HOW WE MANAGE THE RISK
BUSINESS RISKS
Fluctuations in prices for grains
and related products required for
production input
`MHP drives cost eciency across all its businesses, supported by its vertically-integrated business model. MHP’s grain growing operations produce internally 100% of the
corn required for poultry feed production. The Company adopts innovative approaches for improving feed recipes and the structure of feed so as to optimise cost and
increase the conversion ratio at the same time.
Fluctuations in demand for and market
prices of chicken meat
Demand for chicken in Ukraine is expected to remain strong and to have further growth potential as beef and pork are mostly produced by households and small farms
and are far more expensive to produce and purchase than chicken. Chicken meat is the most aordable kind of meat from both a price and diet perspective. MHP products
are available for purchase through dierent sales channels at all times and the Company oers competitive trade terms to its customers. MHP’s domestic strategy and in
particular its focus on higher value-add products are drivers for increasing the Company’s profitability from chicken meat sales in Ukraine.
As far as possible, in international markets, MHP continues to execute upon its strategy of geographic diversification of exports combined with product mix optimisation and
a focus on customised products for new potential markets.
Failure to implement growth strategy
and expansion into export markets
MHP has in place a long-term strategy for the Group’s expansion into diversified export markets. Although there are varying levels of uncertainty regarding MHP’s export
markets, MHP’s share of its key poultry markets remains relatively low (less than 10%) allowing MHP to redistribute volumes between markets without disruption and to grow
its presence gradually; this will be partly through growth in population and consumption per capita and partly through oering better service and quality to our customers.
To reduce the impact of any disruptions to trade flows in future, MHP intends to continue to execute its strategy of geographic diversification.
Outbreaks of Avian Influenza and other
livestock diseases
To ensure the well-being of livestock at MHP’s facilities, the Company has implemented high biosecurity standards and systems supplemented by a set of preventive
veterinary-sanitary and hygiene measures, including:
Ongoing monitoring of Avian Influenza cases worldwide followed by rigorous assessment of MHP’s existing biosecurity systems based on identifying the causes of those
cases;
Geographic separation of poultry-rearing facilities with a significant distance between each facility;
Where any infected areas are identified, immediate actions are taken to limit the access of all visitors to MHP facilities;
Constant monitoring of poultry conditions, including analysis of indicators of poultry well-being and health and investigation of the quality of raw materials (litter, food,
water) and products (poultry carcasses); and
Monitoring compliance with biosafety rules.
MHP is also assisting all other poultry producers (mainly egg layers) in the Vinnytsia region to strengthen their own biosecurity.
Moratorium on the sale of agricultural
land in Ukraine
MHP supports the opening of the land market and free competition in this area. The Group estimates the risk level to be stable, due to MHP’s long-term land lease
agreements, and continuous monitoring of the situation in the regions in which the Group operates. It is expected to have no significant impact on its land portfolio or
business model.
Principal Risks and Uncertainties

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SHAREHOLDER
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PRINCIPAL RISK HOW WE MANAGE THE RISK
Occurrence of a significant health and
safety incident
MHP maintains robust environmental and health and safety policies, management systems and procedures in line with best practice and legal requirements. These are
regularly reviewed and updated, and employees participate in frequent training and development activities.
Occurrence of a material product
quality or product safety incident
MHP prioritises product safety and quality in line with international best practice and applicable regulations. It maintains robust quality and safety management systems
and has an excellent track record in this area.
Fluctuations in commodity prices such
as gas, fuel and energy
MHP tightly monitors and controls its gas, fuel and energy costs. Energy price risks are mitigated by a priority focus on developing renewable sources of energy and a
continued increase in the use of co-generation and alternative energy technology. The processing of sunflowers results in the production of large volumes of husks that
are burned to generate steam heat for fodder complexes.
Unfavourable weather conditions MHP’s management team constantly uses modern technology and implements improvements year-on-year to minimize the impact of extreme weather change.
Principal Risks and Uncertainties
Lack of highly-qualified sta at
strategic level and production
enterprises
MHP works to maintain positive relationships with employees and strives to build upon its reputation as a high-quality, responsible employer of choice. As part of this, MHP
provides a number of programmes designed to enrich its employees and the broader community including:
• education and professional programmes for the younger generation;
• “Personnel Reserve” and “New Horizon” training programmes for prospective and high-performing employees respectively;
• a strategic action plan to build and support schools in regions where its facilities operate; and
• development of a digitalisation strategy that is in the process of implementation and focusses on automating business processes and decision making (including artificial
intelligence).
Outdated equipment and technology
A digital transformation strategy, including the implementation of ERP, is in place across all entities within the Group focussing on the upgrades, optimisation and
automation of key business processes. Experienced and competent internal project managers and subcontractors are in place to direct the successful implementation of
the digitalisation strategy.
MHP has consistently invested in technology for the automation of business processes and improvement in productivity.
Inecient procurement and an
increase in production costs
MHP strives to continually improve its procurement procedures and production processes. The procurement of strategic items is centralised with a high level of regulation
and control. KPIs are set and are closely monitored with a view to decreasing the costs of production.

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SHAREHOLDER
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Principal Risks and Uncertainties
PRINCIPAL RISK HOW WE MANAGE THE RISK
ENVIRONMENTAL RISKS
Global climate change
MHP aims to conduct all of its activities in an environmentally-responsible manner and to meet the global challenge presented to everyone by climate change.
MHP achieves this by:
• reducing its the total energy consumption year-on-year;
• planting tree saplings together with communities;
• replacing fossil fuels with renewable energy (biogas, solar energy, straw, sunflower husk);
• growing rapeseed and maize for biofuel production, which are exported under ISCC contracts https://www.iscc-system.org after the relevant Certification Audits;
• calculating greenhouse gas emissions annually.
A key tenet of the Company’s Sustainable Environmental Policy is to become carbon neutral by 2030. In 2021, MHP began partnering with independent third party Alltech
ECO2 which will audit ongoing greenhouse gas emissions and advise on potential opportunities to reduce greenhouse gas emissions further. There is also a target to
achieve carbon accreditation with the Carbon Trust.
Irrational water use
To ensure rational water consumption:
• all water wells and shafts are certified and equipped with water meters, which are regularly checked;
• the first zone of the Sanitary Protection zone for each underground water supply source is calculated in accordance with the legislation and enclosed by a fence;
• for each enterprise of the Group the calculation of normative water consumption with definition of monthly limits of water consumption is made;
• for each enterprise of the Group a register of wells and mine wells for water is created, which is updated annually;
• for each of the sources of water intake, the limits set by the state are strictly observed.
To prevent pollution of surface waters and groundwater aquifers, there is the following list of measures:
• laboratory quality control of wastewater treatment at biological treatment facilities is performed at each stage, according to the Sampling Schedules developed at the
enterprises;
• places of storage of waste and oil products are equipped in such a way as to exclude pollution of ground waters;
• waterproofing of all places for temporary storage of sewage is executed; and
• due to the reduction of water consumption per bird, the amount of wastewater itself decreases.
MHP plans to replace those meters that have been in use far more than 10 years.
Deforestation and conversion of high-
carbon lands into agricultural land,
including drainage of peat bogs
MHP guarantees the absence of deforestation and the conversion of high-carbon lands to agricultural land through the following:
• the MHP land bank consists exclusively of lands on which there has been no conversion or deforestation;
• each field has its own agrochemical passport, which allows you to trace its history;
• each field was tested for deforestation and land conversion using the online tool Global Risk Assessment Services gras-system.org
• MHP Group companies undergo annual field inspections for deforestation and land conversion during the lnternational Sustainability and Carbon Certification Certification
Audit www.iscc-system.org
• MHP does not import soybeans, which guarantees that no deforestation has been carried out for its cultivation.
• In 2021, MHP stipulated in any soybean procurement contracts a separate clause requiring the supplier to report the region of origin of soybeans and to confirm that they
have been grown on land that has not been deforested or converted.

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SHAREHOLDER
INFORMATION
PRINCIPAL RISK HOW WE MANAGE THE RISK
Deforestation and conversion of
high-carbon lands into agricultural
land, including drainage of peat bogs
(continued)
MHP’s Corporate Sustainable Environmental Policy sets a number of objectives to contribute to sustainable development of the country at all locations, where the Company
has got its operations, such as:
• contribute to the overall fight against climate change, including striving to become a carbon neutral company by 2030;
• integrate sustainability considerations into all business decisions;
• ensure sustainability in procurement of goods and services with an emphasis on supplier diversity and environmental attributes; and
• comply with applicable environmental legislation and sustainability commitments and others.
FINANCE RISKS
Fluctuations in foreign exchange rates
The majority of MHP’s borrowings are denominated in US$. The resulting exposure is eectively hedged by the generation of around 53% of total revenue in US$ in 2021
from the export of sunflower and soybean oils, chicken meat and grain. The hard currency revenue generated is more than sucient for MHP to continue to service all
dollar-denominated loans and payments.
Fluctuations in interest rates
MHP monitors its interest rate exposure and analyses the potential impact of interest rate movements on its net interest expenses.
The majority of MHP’s debt portfolio is at fixed interest rates. MHP’s debt portfolio has an 99% / 1% share of fixed/floating interest rates. The majority of the Company’s debt
is in the form of Eurobonds issued at fixed interest rates. Bank borrowings are mostly from foreign banks or Ukrainian subsidiaries of international banks at rates lower
than those available from Ukrainian banks.
Credit risk
MHP has a diversified pool of customers. The amount of credit allowed to any one customer or group of customers is strictly controlled. Credit oered to major groups
of customers, including supermarkets and franchisees is, on average, between 5 and 21 days. To hedge this risk, MHP procedures require verification of counterparties’
solvency prior to the signing of an agreement. Policies and operating guidelines include limits in respect of counterparties to ensure that there is no significant concentration
of credit risk.
Credit risks are managed by security provisions included in agreements with customers. At foreign subsidiaries of MHP, an insurance company is involved to approve the
credit limit and to insure against risk of non-payment.
Liquidity risk
MHP maintains ecient budgeting and cash management processes to ensure that adequate funds are available to meet its business requirements. MHP adopts a flexible
CAPEX programme enabling capital projects to be deferred if necessary. MHP holds cash balances in hard currency on correspondent accounts and maintains an adequate
level of undrawn credit lines.
Inecient investments
MHP has developed and implemented procedures to ensure due process in this area. The Evaluation of Investment Projects procedure requires that the Investment
Committee approves investment projects. All of the Company’s investment projects are documented with a formal investment appraisal report and financial model which
are jointly approved by the Investment Committee. All major investment decisions require approval by the Board.
Principal Risks and Uncertainties

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PRINCIPAL RISK HOW WE MANAGE THE RISK
STAKEHOLDER RELATIONS RISKS
Local communities and NGOs
MHP is in regular dialogue with its local communities and other stakeholders in the regions in which it operates. The Company aims to conduct these relationships
sensitively and with mutual respect. It also prioritises the human rights of its local communities. MHP has designed and implemented stakeholder relations programmes in
line with good international practice. This activity includes regular meetings with local community representatives, roadshows to enable local people to meet the Company
and the design and maintenance of a variety of communication channels. MHP also supports, designs and conducts a number of projects in conjunction with local
authorities and local communities that aim to improve local standards of living and infrastructure.
MHP continued to develop its local stakeholder relations in 2021 following the successful implementation of a range of Corporate Responsibility projects including:
• The roll-out of educational programmes at all levels, from kindergarten to adult-learning;
• The development and encouragement of local entrepreneurship through new projects and programmes. Entrepreneurship is important for the development of regions
and local communities; it creates new jobs, develops infrastructure, and encourages innovation and the rational use of resources. MHP works in partnership with
entrepreneurs to develop and improve local communities; and
• The development of infrastructure and safety, which includes environmental safety, healthcare, product quality and safety, safety of buildings, structures and other
infrastructure.
Investor and other stakeholder
relations
MHP maintains an experienced and well-resourced communications and investor relations team that is supported by a national and international network of professional
advisors. The team is tasked with ensuring that MHP’s investor and wider communications activities are conducted in line with international good practice. The team also
ensures that information about the Company is distributed in a timely manner, is accurate and up-to-date. MHP also monitors external commentary about its activities to
ensure that any inaccuracies are addressed promptly. A qualitative measurement of the Company’s image is performed on a regular basis and monitored by its senior
management team and the Board.
COMPLIANCE RISKS
Legal and regulatory risk
MHP’s management team actively monitors regulatory developments in the countries in which the Group operates. MHP’s financial control framework has adopted tax and
treasury approaches fully in compliance with relevant local laws in the jurisdictions in which the business is registered. MHP pays its taxes in full in all jurisdictions in which it
operates. Moreover, MHP is consistently developing and integrating into its business practices standards such as the Market Abuse Regulation and sustainability reporting.
Bribery and corruption
MHP maintains robust anti-bribery and corruption policies and procedures which are regularly reviewed and monitored by the Audit Committee. These include a Code of
Ethical Conduct and investigation procedures which all employees are required to adhere to, and address matters such as bribery, gifts, supplier and customer relations,
conflicts of interest and other areas of potentially corrupt activity. MHP operates a whistle blower hotline for the reporting of suspected bribery and corruption
Principal Risks and Uncertainties

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PRINCIPAL RISK HOW WE MANAGE THE RISK
COMPLIANCE RISKS
Failure to comply with the covenants
under loan agreements
MHP has developed and follows control procedures to monitor compliance with the covenants. In 2019, the Company implemented a “Procedure for consolidated leverage
ratio more than 3.0x“, which contains a roles and responsibility matrix, communication rules and a modelling tool, which is used before approval and actioning of transactions
which have limitations if the consolidated leverage ratio exceeds 3.0x.
BUSINESS CONTINUITY RISK
Failure of IT systems could materially
aect MHP’s business
A number of measures have been implemented across the Company to reduce the risk of IT system failure. These include: the implementation of additional business
continuity measures; the organisation of reserved data channels; moving services to the Cloud; and the establishment of an incident management process providing
continuous support for the business. In addition, the Information Security (“IS”) team performs regular audits of critical IT services in order to determine any IS weakness
and to perform penetration testing of Company vulnerabilities. It also increases employee awareness of IS risks and focusses on developing proper behaviours.
COVID-19
The Management team implemented a range of measures for preventing sickness and the spread of infection within the Company (remote working, additional medical
screenings, corporate transfers and protective masks etc.). At production facilities work is organised in shifts of small numbers of people that allows limited contact and
minimises the potential spread of infection. To assist employees who became infected, the Company provided paid-for medical support, both screenings and treatment.
MHP has developed and implemented flexible production and sales plans that redirect sales from closed channels to other markets and channels as required. This is a
continuous activity that is embedded into planning processes across the Group.
Principal Risks and Uncertainties

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STRATEGIC
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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
S172 STATEMENT
& STAKEHOLDER
ENGAGEMENT
Section 172 of the UK Companies Act 2006
requires each Director of the Company to act
in the way he or she considers, in good faith,
would most likely promote the success of the
Company for the benefit of its members as a
whole.
In this way, Section 172 requires a Director to
have regard, among other matters, to the:
•
likely consequences of any decisions in the
long term;
• interests of the Company’s employees;
• need to foster the Company’s business re-
lationships with suppliers, customers, and
other material stakeholders;
• impact of the Company’s operations on lo-
cal communities and the environment;
•
desirability of the Company maintaining a
reputation for high standards of business
conduct; and
• need to act fairly between members of the
Company.
In discharging its Section 172 duties, the Board
has regularly considered the factors set out
above and the views of key stakeholders. By
considering MHP’s objectives and commitment
to responsible business, together with its
strategic priorities, the Board aims to ensure
that its decisions are consistent, predictable, and
always in the best interests of the business.
Further details of the Board’s activities can be
found in the Governance section of this Report
on pages 62 to 87. This includes how the
Board reaches its decisions; the matters
discussed and debated during the year; the
stakeholder considerations that were central
to those discussions; and how the Board
fosters MHP’s relationships with customers,
suppliers and other stakeholders. Other
relevant information can be found at MHP’s main
corporate website at www.mhp.ua.
STAKEHOLDER ENGAGEMENT
Regular engagement, dialogue and feedback
with MHP’s material internal and external
stakeholders is an important element of the
success of the Company and the operation of
its business model. Understanding their views
informs and assists MHP’s decision-making
process and helps drive progress towards
the achievement of MHP’s aims, objectives
and strategy. The table on the following page
summarises MHP’s key stakeholders, their areas
of interest, how the organisation engages with
each stakeholder group, and highlights during
the year.
MHP regularly reviews its understanding of
each stakeholder group, their areas of interest
and its ongoing communications, reporting and
dialogue activities. MHP employs experienced
and qualified employee teams to conduct
these activities. They include members of
the Board, senior management, investor
relations staff, human resources personnel
and local stakeholder representatives. These
are supported when required by experienced,
professionally-qualified external advisors and
services.
“WE ARE COMMITTED TO CONTINUING TO DELIVER VALUE TO SHAREHOLDERS AND TO
GROWING VALUE FOR STAKEHOLDERS AND THE BROADER COMMUNITIES WHO DEPEND
ON AND SUPPORT MHP.”
S172 Statement & Stakeholder Engagement
51

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SHAREHOLDER
INFORMATION
OUR
STAKEHOLDERS
WHAT MATTERS TO THEM HOW WE ENGAGE WITH THEM 2021 HIGHLIGHTS
WORKFORCE
MHP’s dedicated and
experienced workforce
is the driving force
behind the achievement
of MHP’s aims and
objectives and taking
care of our people is our
top priority
• A shared vision for MHP’s long-
term su ccess;
• Learning and development
opportunities;
• Occupational health, safety and
wellbeing, including access to
healthcare and support;
• A conducive workplace featuring
diversity, inclusion, flexibility,
responsible business practice and
clear communication; and
• Fair and transparent employment
terms and conditions.
• Regular two-way communication;
• Clear communication of Company
and management goals;
• Training, education and mentoring;
• Programmes for the development of
innovative thinking;
• Corporate volunteering;
• Grievance mechanism; and
• Regular surveys.
COVID-19 support:
• Day-to-day communication and support, including the provision of COVID-19-related care for
employees and their close relatives and the coverage of costs in the event of hospitalisation;
• Mass vaccination programme support: as at the end of February 2022 75% of MHP’s
workforce had been vaccinated against COVID-19.
Health & safety:
• Launch of our comprehensive health programme whereby employees have access to a
medical examination, tests and advice free of charge. During 2021, 19,693 employees took
part;
• Conduct of a series of workshops and training sessions, including “Leadership in production
safety and anxiety management” and “Leadership in Security”. To date [480] employees and
[887] managers, including the CEO and other senior management, and other specialists] have
taken part in these programmes respectively.
Communication:
• Annual online ‘town hall’ meeting with employees led by the CEO and other members of the
senior management team at which employees can ask questions and provide feedback;
• Quarterly video blog with CEO and employees.
Training and development:
• Launch of “Leaders Hub 2.0” Programme for 30 high-potential employees who we see as
champions of change as the business transforms.
COMMUNITIES AND
NGO
s
MHP’s reputation and
business continuity are
supported by its aim
to be a proactive and
supportive
member of its local
communities and a good
neighbour
• Transparency, clear and regular
communication and opportunities
to engage;
• Mutual cooperation to reach social
targets;
• Development and support of local
infrastructure and services;
• A responsible and open approach
to environmental, health and safety
issues; and
• Local employment opportunities.
• Stakeholder Engagement Plan;
• Grievance mechanism;
• Regional recruiting programme;
• Medical assistance in the village
programme;
• Regular public hearings; and
• Regular investment in public infra-
structure in partnership with local
stakeholders.
COVID-19 support:
Support and education to local communities about the eects of the Pandemic and the ongoing
nationwide vaccination programme in Ukraine, in particular in rural areas where vaccination
rates remain lower.
Medical support:
• Transfer of medicines to healthcare facilities in partnership with LLC Pharma Start, a local
pharmaceutical manufacturer in Ukraine.
Partnership with local communities, including through the following programmes:
• “Village. Steps to development” (supporting entrepreneurship in local businesses);
• “Time to Act Ukraine!” (online training in 13 regions of Ukraine in which MHP enterprises are
present); and
• “JointFund Partnership Project” (helping communities solve their social, environmental and
economic problems).
Stakeholder engagement:
• Regular participation in local community meetings to understand local needs and
requirements;
• Completion of EBRD / IFC mediation process and commencement of the audit process.
S172 Statement & Stakeholder Engagement

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OUR
STAKEHOLDERS
WHAT MATTERS TO THEM HOW WE ENGAGE WITH THEM 2021 HIGHLIGHTS
CUSTOMERS,
BUSINESS
PARTNERS AND
SUPPLIERS
MHP’s ongoing and
uninterrupted business
continuity relies on the
strength and
maintenance
of its relationships with its
customers, suppliers and
business advisors
• Fair business conduct, terms and
conditions;
• MHP’s approach and performance
relating to biosecurity, product
quality, environmental, health and
safety matters; and
• Transparency, clear communication
channels and opportunities to
engage.
• Interaction via tender platform;
• Dedicated sta teams to interact
with customers, suppliers and busi-
ness advisors;
• Provision of questionnaire facilities;
and
• Participation in regular customer
due diligence processes.
Customer development:
• Establishment of culinary centre in Kiev enabling collaboration with customers to develop
culinary products and solutions.
Business conduct:
• Signature of statement of partnership with 40 major suppliers focussed on price and quality
and on helping Ukrainian suppliers to grow;
• Engagement with business partners via our Code of Business Partners Conduct & Integrity
Declaration process, including know your customer (KYC) and customer due diligence (CDD)
standards;
• Worked closely with suppliers to ensure compliance with MHP’s business partner code
addressing matters such as environmental and social standards.
SHAREHOLDERS,
FINANCIERS AND
THE INVESTMENT
COMMUNITY
MHP’s ongoing access
to capital and liquidity
depends on maintaining
strong and lasting
relationships with
investors, debt providers,
financiers and financial
analysts
• Financial and share / bond price
performance;
• Credit rating;
• Strategy;
• Risk management;
• Environmental, social and
governance (“ESG”) approach and
performance;
• Transparency, regular and
proactive communication and
reporting;
• Sustainalytics rating; and
• Regular communication from
and engagement with senior
management and the Board.
•
Regular provision of conference calls
for the investment community;
• Quarterly results announcements;
•
One-to-one meetings (both in-person
and ‘virtually’) with investors and fi-
nanciers conducted by the Head of
Investor Relations and / or with se-
nior management and Board mem-
bers;
• Annual general meeting;
• Dedicated IR section on the Compa-
ny’s website;
•
Annual financial and non-financial
reports; and
• Investor surveys.
Communication:
• Regular information on events, including the Pandemic, Avian Influenza outbreaks, and the
dynamic geopolitical situation;
• Virtual roadshows and virtual conference participation to maintain investor communication
during the Pandemic.
Responsible business strategy communication:
• Conduct of ESG virtual roadshows by the Head of Investor Relations and the Executive
Chairman;
• Regular communication with specialist ESG agencies e.g. Sustainalytics.
Investor perception study:
• Regular conduct of investor perception studies (in September 2021), the results and
feedback from which are reported to the Board and factored into decision making.
GOVERNMENTS
AND
REGULATORS
MHP’s licence to
operate is dependent
on its relations with
governments and
regulators and operating
within the applicable laws
and regulations
• Adherence to applicable laws and
regulations;
• Support and cooperation with local
(Ukraine and also within those
countries in the EU, UK and MENA)
economic development agencies;
• Investment into infrastructure,
education and medical facilities;
and
• Transparency, clear communication
channels and opportunities to
engage.
• Regular meetings with local govern-
ments;
• Participation in local infrastructure,
health and education projects; and
• Close cooperation with local
regulators over matters such as
maintenance of strict bio-security,
health and safety and environmen-
tal matters.
COVID-19 support:
• Regular dialogue to support local and national eorts to address the Pandemic and Avian
Influenza outbreaks;
Support of Ukrainian responsible business strategy:
• Participation with and support of Ukrainian Business & Trade Association and government
departments at COP 26 event examining how Ukraine aims to meet the sustainability goals
and the country’s role in supporting the drive to net zero across the whole of Europe by
2050.
MEDIA
An important element
of all of MHP’s key
stakeholder
relations is that the
media reports timely and
accurate information
about its activities
• Receipt of timely, complete and
up-to-date news and information
about MHP’s activities;
• Contact information for the media;
and
• Transparency, clear communication
channels and opportunities to
engage.
• Company websites;
• Regular distribution of Company
news and information;
• Availability of senior management
for media interviews and briefings;
and
• Site-visits for the media.
Social media
• Regular communications to support local and national eorts;
S172 Statement & Stakeholder Engagement

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54
STRATEGIC
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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
CORPORATE
RESPONSIBILITY
THIS SECTION OF THE ANNUAL REPORT IS PROVIDED TO GIVE CURRENT AND
PROSPECTIVE SHAREHOLDERS AND OTHER STAKEHOLDERS AN OUTLINE
UNDERSTANDING OF MHP’S APPROACH TO CORPORATE RESPONSIBILITY MATTERS.
IT REPORTS HOW THIS ASPECT OF THE BUSINESS IS INTEGRATED INTO ITS
OVERALL STRATEGY AND POLICY INFORMATION. IT ALSO INCLUDES A SUMMARY
OF MANAGEMENT STRUCTURES, GREENHOUSE GAS EMISSIONS INFORMATION AND
COMMUNITY CASE STUDY INFORMATION. AS IN PREVIOUS YEARS, THE FORTHCOMING
NON-FINANCIAL REPORT WILL CONTAIN FURTHER INFORMATION ABOUT THIS ASPECT
OF MHP’S BUSINESS AND WILL BE PUBLISHED LATER IN 2022. THIS WILL APPLY THE
LATEST APPLICATE GLOBAL REPORTING INITIATIVE (GRI) FRAMEWORK.
KEY FOCUS AREAS
MHP’s approach to responsible business focuses on eight key areas, which are illustrated in this
table, highlighting MHP’s key areas of impact and opportunity.
STAKEHOLDER
ENGAGEMENT
1. Commitment to transparency
2. Workforce dialogue and
communications
3. Investment and financial community
engagement
4. Provision of resources for the media
BUSINESS CONDUCT
1. Anti-bribery and corruption
2. Regulatory and legal compliance
3. Supplier and customer
relationships
4. Product labelling and pricing
5. Data protection and information
security
OUR PEOPLE
1. Workplace diversity
2. Equal opportunities
3. Training and development
4. Fair working conditions
5. Approach to organised labour
EMPLOYEE HEALTH AND
SAFETY
1. Occupational health
2. Accident prevention
3. Provision of healthy workplaces
4. Employee health and well being
5. Addressing COVID-19

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SHAREHOLDER
INFORMATION
POLICY FRAMEWORK
MHP’s corporate responsibility framework is
regularly reviewed by the Board and will be
developed over time supervised by the recent-
ly formed International Government Relations
and Public Aairs Board Committee on behalf
of the Board.
MHP’s related policies form part of the Cor-
porate Governance Charter which is avail-
able for download from the holding compa-
ny website (mhp.com.cy). They comprise
the following policy statements and address
all of the key focus areas in the table on
page 66. MHP’s policies also align the
organisation with the appropriate industry,
regulatory and international standards and
guidelines.
• Share dealing code
• Inside information disclosure policy
• Health and safety policy
• Environmental and sustainability policy
• Corporate social responsibility policy
• Charitable donations policy
• Anti-bribery and corruption policy
• Related party transaction policy
• Risk management policy
• Internal audit policy
• Whistleblowing policy
• Human resources policy
KEY FOCUS AREAS (CONTINUED)
PRODUCT QUALITY AND
SAFETY
1. Maintenance of biological safety
standards
2. Product hygiene
3. Product quality
4. Scientific analysis
5. Quality of raw materials
PLANET
1. Greenhouse gas and atmospheric
emissions
2. Biodiversity management
3. Water use and discharges to water
4. Reuse, recycling and waste
management
5. Energy use
PROSPERITY AND
COMMUNITIES
1. Community partnerships
2. Management of eects of business
activity
3. Local infrastructure investment
4. Supporting local economic
development
5. Being a good neighbour
ANIMAL WELFARE
1. Antibiotic free programme
2. Maintenance of appropriate living
conditions
3. Constant access to balanced food
and fresh water
4. Veterinary supervision
5. High-quality bedding materials

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SHAREHOLDER
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MANAGEMENT SYSTEMS
MHP’s policy framework is supported by com-
prehensive corporate responsibility manage-
ment systems which have been developed in
line with industry best practice and interna-
tional standards. Board level management of
these systems is supervised in the main by the
International Government Relations and Public
Aairs Committee. The Committee regularly
reviews this structure in line with the aim of
maintaining a programme of continuous im-
provement and achieving the highest industry
standards. Highlights are recorded below and
further information is recorded within the forth-
coming Non-Financial Report.
STAKEHOLDER
ENGAGEMENT
MHP employs experienced fully-resourced workforce teams
and retains knowledgeable specialist advisors to conduct its
communications and dialogue with its stakeholders including
investors, workforce, the media, local communities, governments
and regulators.
BUSINESS
CONDUCT
MHP’s Ethics and Compliance programme is closely monitored by
the Board and the internal Compliance Committee. It is managed by
a qualified workforce team that comprise MHP’s Compliance Oce.
The team works closely with senior management to ensure that
MHP’s policies and codes and adhered to.
OUR PEOPLE
MHP’s HR function and management systems are aligned with
the requirements set by the Ukrainian legislation and international
best practices to the extent practical regarding strategic workforce
planning, ecient human resources management, talent acquisition
management focus on and personal development.
EMPLOYEE
HEALTH &
SAFETY
MHP Group companies implement risk based approaches to
continuously develop the health care management system and
occupational safety in accordance with the requirements of
international occupational health safety standards. In-house
occupational health and safety audits are regularly conducted at
MHP’s enterprises in accordance with the in-house procedure which
was developed and approved in 2017.
PRODUCT
QUALITY &
SAFETY
This aspect of the business is of paramount importance to MHP and it is
proud of its exemplary record in this area. The Company’s management
systems use the latest technologies and are certified for compliance with
key internationally recognised standards of food safety including BRC
Food Safety DSTU ISO 22000, Global GAP, basic principles of Good
Manufacturing Practice (GMP), and requirements of the HACCP system
(Hazard Analysis and Critical Control Points).
PLANET
MHP’s management approach is focused on improving operational
eciency, encouraging accountability and remaining compliant with all
applicable environmental regulations. Every MHP facility has a full-time
environmental ocer who oversees the environmental performance and
reports to the Director. The Chief Environmental Ocer oversees the
environmental performance of MHP’s facilities. In 2022 MHP will begin
the process of obtaining ISO 50001 certification at its production sites.
PROSPERITY
AND
COMMUNITIES
In the course of 2020 MHP refined its community development approach
by centralising its activities. MHP works in partnership with other large
businesses, international donors, as well as national Ukrainian charities
in the development of its community projects and to share and develop
expertise. MHP’s approach is framed by its Charitable Aid Policy, a
Community Engagement procedure and a Stakeholder interaction plan.
EMPLOYEE
HEALTH &
SAFETY
Key elements of MHP’s animal welfare approach include; an antibiotic
reduction strategy (antibiotics can be part of the therapy under the
stewardship of the state veterinarians only); floor rearing with no use
of caged systems; preventing the use of equipment and inventory
that may injure animals when handling them; stocking densities in line
with EU animal welfare standards; provision of veterinary care only by
persons with the relevant professional qualifications; a ban on use of
anaesthetics and analgesics and prohibition of all surgical interventions;
prohibiting the use of antimicrobial agents recognised by the WHO as
critical to human medicine; prohibiting the use of any growth promoters;
use of state-of-the-art technologies with the ability to monitor animal
conditions and fostering humane treatment of animals among
employees, partners, customers and other stakeholders.

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SHAREHOLDER
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GREENHOUSE GAS
EMISSIONS
MHP’s greenhouse gas emissions
data encompasses all of its operations
that are under MHP’s financial control.
The calculation applied the following
methodologies.
•
Global Warming Potential (GWP)
from IEA – CO2 emissions from Fuel
Combustion Highlights (2013 edition)
•
IPCC Fifth Assessment Report
(Intergovernmental Panel on Climate
Change)
• IFC Carbon Emissions Tool (CEET) ifc.
org
The data has not been externally verified
although MHP will consider taking this
step in the future.
EMISSION
TYPE
2021
(TONNES
CO2E)
2020
(TONNES
CO2E)
% CHANGE
Scope 1
Ukraine (non-
biogas)
373,673 321,428
Increased by
16.25%
SCOPE 2
Ukraine
(location
based)
237,776 232,301
Increased by
2.36%
SUSTAINABLE
AGRICULTURAL
PRACTICES
MHP’s sunflower, soya, maize and wheat
production activities prioritise environ-
mental best practice, responsible man-
agement of biodiversity, carbon footprint
reduction and the increase of yields.
As part of these commitments the Com-
pany has been developing its systems
over time through the use of innova-
tion, best practice industry technology
and ensuring that its team is staed by
knowledgeable professionals with the
required experience and expertise.
Examples of MHP’s approach in 2021
and beyond include:
•
Regular monitoring and testing of
ground soil to improve the environ-
mental results of its activities, support
biodiversity, increase environment pro-
tection and production eciency;
•
Maximum observance of optimal sow-
ing dates, reduction of sowing rates
and selection of maize hybrids that
protect soil moisture levels;
• Annual increase of areas under Strip-
Till technology (over 4000 hectares
in 2021) to improve soil management
practices;
•
Changing the direction of tillage to
increase soil loosening in more than
half of the cultivated areas;
• Testing of technologies to reduce the
carbon footprint of agricultural ac-
tivities in conjunction with Syngenta
(about 12,000 hectares);
•
Successful pilot implementation of
the use of drones in plant monitoring
and protection activities to increase
efficiency and reduce carbon foot-
print. This project will be significantly
upscaled from 2022; and
•
A commitment to increase the use
of technology and innovation in
MHP’s farm management systems
including the use of advanced al
-
gorithms, machine learning and
artificial intelligence capabilities
to enable efficiency, reduce emis-
sions and protect the environment.

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COMMUNITY DEVELOPMENT,
LOCAL ENVIRONMENTAL,
CULTURAL AND DIALOGUE
ACTIVITIES IN 2021
MHP’s community development, environmen-
tal, cultural and dialogue activities delivered in
partnership with a number of government and
business partners resulted in the delivery of a
wide variety of projects during the year. Some
prominent examples are recorded below.
Partnership forum events
MHP held five partnership forum events in
2021 which were attended by a variety of
stakeholders.
The aim was to facilitate working arrangements
with the Ukrainian authorities for community
development projects involving the local com-
munity, business and government. They were
attended by around 400 people.
Local stakeholder co-operation agreements
99 co-operation agreements were signed
with local self-government bodies in the
areas of Ukraine where MHP operates. These
will benefit communities located in more than
700 settlements in 13 regions and address
matters such as local healthcare, education and
infrastructure.
Meeting individual local residents
The aims of these meetings are to encourage
dialogue and to address any concerns and sug-
gestions that members of the local community
may have concerning MHP’s activities. In 2021
3,693 people engaged in dialogue with MHP
using its local dialogue mechanisms.
Microgrants Competition for Community
Developments
The aim is to motivate members of the local
community to address economic, environmen-
tal and social issues in and around the town
of Ladyzhyn in south-west Ukraine. MHP’s
competition which focused on project man-
agement training, financial management and
community involvement selected 12 winners
that were awarded a grant of up to UAH
50,000. 9 projects were been implemented by
the end of 2021.
Waste management events
130 local waste removal events were held
in April and May with members of the local
community. They were attended by more than
7,500 residents of the communities that reside
in nine dierent regions of Ukraine.
They included 720 employees of the MHP
group, who volunteered to participate in the
clean-up activities.
Additionally MHP organised 13 EcoFes-
tival events within different Ukraine loca
communities to promote issues such as
responsible household waste management in
partnership with local authorities.
Open air cinema events
MHP partnered with other businesses and
local authorities to deliver a national tour of
Ukrainian cinema for areas in the country that
are deprived of cultural facilities. It showcased
38 Ukrainian films at 122 screening,
The tour started in June and ended in August.
It visited 10 regions and 350 settlements, was
staed by 500 volunteers (316 from MHP) and
attended by approximately 50,000 people.
Cleaning the Rosava river bed
This project aims to improve the hydrolog-
ical condition of river Rosava in Ukraine
and was initiated by the local community.
MHP supported the purchase of a dredger to
enable it to take place. The total cost of the
project is UAH 3.27 million.

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OCCUPATIONAL HEALTH AND
SAFETY DEVELOPMENTS IN
2021
A clear priority for the occupational health and
safety team in 2021 was continuing to address
the COVID-19 pandemic. MHP continued to
support employees and their families with
compensation and access to treatment for
those aected.
MHP also conducted a mass vaccination
programme in which 75% of employees in
Ukraine have participated. Additionally the
health and safety team dealt with around 11,000
communications from the workforce about the
Pandemic.
A new occupational health programme,
“Corporate Health of MHP employees” was
introduced in 2021. This included a “Health
Month” project where personal health
examinations for 19,693 employees were
delivered and advice was provided by
specialists free of charge.
Occupational safety is a natural priority.
Particular attention is paid to workforce
protection and the maintenance and
development of an MHP-wide safety
culture. Features in 2021 included a series
of management training events called
“Leadership in Security”. These were attended
by the company’s CEO Yuriy Kosyuk and the
entire top management of MHP. In total 887
managers and health and safety specialists
participated during the year.
Safety audits were conducted at each of
MHP’s enterprises. These identified and
addressed over 2,300 improvements which
led to a reduction in the risk of injuries and
accidents at work to preserve employee
health. 46 internal investigations of various
types of health and safety incidents were also
conducted. These identified the root causes
of each incident to ensure that they were not
repeated.
Over 15,000 employees were involved in safety
training of employees directly at the workplace.
This training was conducted in a new format
called “Safety Stop Hour”, aimed at raising
workforce awareness of the importance of
assessing risks before starting work.
PROVISION OF HUMANITARIAN
AID
Following the Russian invasion on 24 February
2022, the management and workforce
recognised that, as one of the country’s major
food producers, it was essential that we
prioritised our role in supporting the wellbeing
of the Ukrainian people.
Our eorts have focussed on the people who
are located in those regions where hostilities
have taken place or are still taking place.
In particular we aim to support:
• Defenders and rescuers;
•
People living in communities that have been
isolated by the conflict;
• People being cared for in hospitals and oth-
er medical facilities and the sta that work
there;
•
Organisations that support the welfare of
children and older people; and
•
People who have lost their homes and liveli-
hoods due to the conflict.
MHP has been providing humanitarian aid
(mainly through food supply) despite the
obvious logistical challenges across all regions
of Ukraine. Up to 11 April this included the
provision up to 11,000 tonnes of free-of-charge
poultry products. The total value of this and
further aid (other food, equipment, cars, diesel
and dierent materials) provided up to this date
was approximately UAH 575 million.
Many of our employees have been providing
this support despite the significant diculties
and disruptions caused by the conflict and
often at considerable personal risk. The
management team is proud of and humbled by
the contribution that everyone has made.
MHP will continue to provide humanitarian aid
activities for as long as the conflict continues.
The Company is therefore working closely with
the national government and local authorities
to ensure, as far as possible, food security for
everyone in Ukraine.

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
NON-FINANCIAL
INFORMATION
STATEMENT
MHP’S COMMITMENT TO TRANSPARENCY
MHP IS COMMITTED TO TRANSPARENT REPORTING AND DISCLOSURE OF ITS
FINANCIAL AND NON-FINANCIAL PERFORMANCE, RISKS AND OPPORTUNITIES
WHERE THIS INFORMATION IS RELEVANT TO SHAREHOLDERS AND OTHER KEY
STAKEHOLDERS.
MHP IS PROVIDING THIS INFORMATION TO ALIGN THE INFORMATION WITHIN
THIS REPORT WITH THE REPORTING REQUIREMENTS CONTAINED IN SECTIONS
414CA AND 414CB OF THE COMPANIES ACT 2006.
THIS INFORMATION IS PROVIDED TO ASSIST READERS OF THIS REPORT TO
UNDERSTAND MHP’S APPROACH, POLICIES AND PERFORMANCE IN
CONNECTION WITH NON-FINANCIAL MATTERS. IT ALSO AIMS TO HIGHLIGHT
WHERE FURTHER RELEVANT INFORMATION, OTHER THAN THAT DISCLOSED
WITHIN THIS REPORT, CAN BE ACCESSED.
Non-Financial Information Statement

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SHAREHOLDER
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OTHER REPORTING
REQUIREMENTS
POLICIES AND STATEMENTS OF APPROACH,
DUE DILIGENCE AND OUTCOMES
RISKS, RISK MANAGEMENT AND ADDITIONAL
INFORMATION
NON-FINANCIAL PERFORMANCE
INFORMATION
Environmental matters • Sustainable environmental policy
• Sustainability Strategy is under development
• Action Plan Is under development
• Global climate change
• Irrational water use
•
Deforestation and conversion of high-carbon lands into
agricultural land, including drainage of peat bogs
• Direct greenhouse gas emissions (Scope 1)
• Indirect greenhouse gas emissions (Scope 2)
• Resource eciency
• Energy management
• Energy consumption
• Water management
• Waste management
Employees • Personnel policy
• Corporate occupational health and safety policy
• Occurrence of a significant health and safety incident
•
Lack of highly-qualified staff at strategic level and
production enterprises
• COVID-19 and other pandemics
• Human rights
• Male/female ratio
• Development programmes
• MHP Innovation Lab
• Health of employees
• Training and education
• Personnel assessment
Other social matters
• Code of Ethical Conduct
• Procedure of engagement with nongovernmental
organizations
• Corporate philanthropy & charity policy
• MHP Community Relations Procedure
• Land use policy
• Stakeholders engagement plan
•
A deterioration in local community relationships may
lead to disruption in day-to-day business activities, ad-
verse perceptions about MHP’s approach to human
rights, the environment and negative reputational ef-
fects
• Grievance mechanism
• Community projects realized
• Work of MHP’s Hromada Foundation
• The main projects of the Foundation
• Complaints and suggestions
Business conduct
• Code of Ethics
• Code of Business Partner Conduct
• Integrity Statement
• Ethics HelpLine
• KYC/CDD Procedure
• Conflict of Interest Management
• Antitrust & Fair Competition
• Bribery and corruption
• Legal and regulatory risk
• Compliance with legislation, business practice
requirements
• Interest in feedback from employees
• Transparent and mutually beneficial
cooperation with partners
• Zero tolerance to corruption
• Zero conflict of interest
• Adherence to highest standards of moral and
ethical principles
Non-Financial Information Statement

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GOVERNANCE
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SHAREHOLDER
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63 Corporate Governance Report
66 Board of Directors
73 Audit & Risk Committee Report
79 Nominations & Remuneration
Committee Report
82 International Government Relations
& Public Aairs Committee Report
84 Management Report

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CORPORATE
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ABOUT MHP
MHP was established on 30 May 2006.
According to the extract issued by the
Luxembourg Trade and Companies Register
on 8 August 2017, the Company converted
from a public limited liability company (“societe
anonyme”) into a European company (“Societas
Europaea”) eective the previous day.
Eective 27 December 2017, the Company’s
registered office and central administration
was transferred to Cyprus and the Company
is currently registered in the Cyprus Registry
for SE Companies, under number SE 27. The
Company’s registered oce is at 16-18 Zinas
Kanther Street, Agia Triada, 3035 Limassol,
Cyprus.
In December 2017, the Company adopted a new
Memorandum and Articles of Association to
comply with the provisions of Cyprus Companies
Law, Cap. 113, Council Directive 2001/86/EC of
8 October 2001 supplementing the Statute
for a European company with regard to the
involvement of employees, the SE Regulation
and the European Public Limited-Liability
Company Regulations 2006, as applicable in
Cyprus.
This new Memorandum and Articles of
Association can be found on the Group websites
(mhp.com.cy , mhp.ua ).
The Company’s corporate governance
structures, processes and procedures are
outlined in its Code of Corporate Governance
which can also be viewed on the Group
websites. The Company upholds and practises
the highest standards of corporate governance
with its shareholders, the Board of Directors,
personnel, business community and other
stakeholders including government and
regulatory agencies.
STATEMENT OF COMPLIANCE
WITH THE UK CORPORATE
GOVERNANCE CODE 2018
The Company has been steadily developing
its corporate governance processes and
procedures over recent years and aspires to
the achievement of best practice in line with
international standards. It regards the UK
Corporate Governance Code 2018 (available
from the Financial Reporting Council at
(frc.org.uk ) as the appropriate international
benchmark for its approach. MHP also complies
with the requirements of Cypriot law.
During 2021, MHP undertook further steps in
order to comply as far as practicable with the
UK Corporate Governance Code 2018. The
Company received approval by over 97% of its
shareholders for a new Directors’ Remuneration
Policy on 28 December 2021.
It is the opinion of the Board that during 2021
the Company complied with the principles and
requirements of the UK Corporate Governance
Code except in relation to the matters noted
below.
97%
OF SHAREHOLDERS
VOTED IN FAVOR OF THE
NEW DIRECTORS’
REMUNERATION POLICY
SHAREHOLDER
INFORMATION
63

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STATEMENT OF COMPLIANCE WITH THE UK CORPORATE GOVERNANCE CODE 2018 (continued)
PROVISION
NUMBER
PROVISION REQUIREMENT EXPLANATION
4
When 20 per cent or more of votes have been cast against the board recommendation for a
resolution, the company should explain, when announcing voting results, what actions it intends
to take to consult shareholders in order to understand the reasons behind the result. An update
on the views received from shareholders and actions taken should be published no later than
six months after the shareholder meeting. The board should then provide a final summary in the
annual report and, if applicable, in the explanatory notes to resolutions at the next shareholder
meeting, on what impact the feedback has had on the decisions the board has taken and any
actions or resolutions now proposed.
At the AGM held on 28 April 2021 over 20% of the Company’s shareholders voted
against the reappointment of John Grant, Non-Executive Director, and the ratification
and approval of director remuneration and payments to directors. Subsequently the
Board engaged in regular dialogue with its shareholders to understand their concerns
with a view to shaping the Company’s subsequent actions to ensure that they are
appropriately addressed. A new Directors’ Remuneration Policy was presented at
the EGM on 28 December 2021 and was approved by over 97% of the Company’s
shareholders. The Company is also continuing its search to strengthen the levels of
independence and diversity on the Board.
9
The Chair should be independent on appointment under the criteria outlined in Provision 10. On his appointment in 2017, the Chairman had served on the Board as a Non-Executive
Director since 2006. At the time of his appointment he was also employed by the
International Finance Corporation as a Senior Regional Consulting Agribusiness Industry
Specialist. This role ended over three years ago. After considering the Chairman’s
credentials, experience, expertise and independence of thought, it was the Board’s
view that the Chairman was independent at the time of his appointment. In 2018, at
the request of the Board, the Chairman agreed to support the Chief Executive Ocer
with certain specific strategic projects where his extensive knowledge and expertise
could be particularly helpful. Subsequently, in March 2019 his role was designated
as Executive Chairman and no longer independent. The Board is satisfied that these
arrangements are in the best interests of the Company, its shareholders and other
stakeholders.
10
The Board should identify in the annual report each Non-Executive Director it considers to be
independent. Circumstances which are likely to impair, or could appear to impair, a Non-Executive
Director’s independence include whether a Director has served on the Board for more than nine
years from the date of their first appointment. A clear explanation should be provided if the Board
nonetheless considers the Non-Executive Director to be independent.
John Grant has served as a Non-Executive Director of the Company since 2006 and is
the Senior Independent Director. The Board values his business perspective in view
of his extensive experience as a director of a wide range of major public companies
in a variety of business sectors and is satisfied that he possesses the necessary
independence of thought to be regarded as independent.
11
At least half the Board, excluding the Chair, should be Non-Executive Directors whom the Board
considers to be independent.
This requirement was not met for a short period following the resignations of Roger
Wills and Roberto Banfi at the start of 2021 (see Changes to the Board in 2021 below).
The Board continues its search to strengthen its independence and diversity.
19
The Chair should not remain in post beyond nine years from the date of their first appointment
to the Board. To facilitate eective succession planning and the development of a diverse board,
this period can be extended for a limited time, particularly in those cases where the Chair was an
existing Non-Executive Director on appointment.
The Chairman became a Non-Executive Director in 2006 and was appointed Chairman
in 2017 at which time the Board was satisfied of his independence of thought and
viewed the appointment as in the best interests of the Company, its shareholders and
other stakeholders. His subsequent adoption of executive responsibilities was also, and
continues to be, viewed as being in the best interests of these parties.

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PROVISION
NUMBER
PROVISION REQUIREMENT EXPLANATION
32
The board should establish a remuneration committee of independent non-executive directors, with a
minimum membership of three, or in the case of smaller companies, two. In addition, the Chair of the board
can only be a member if they were independent on appointment and cannot chair the committee. Before
appointment as Chair of the remuneration committee, the appointee should have served on the remuneration
committee for at least 12 months.
The Nominations and Remuneration Committee currently comprises Philip
Wilkinson and John Grant, Independent Non-Executive Directors, and John
Rich, Executive Chairman. John Rich chaired this Committee between 19
January 2021 and 8 September 2021 following the resignation of Roger Wills
from the Board. This was an interim measure, viewed by the Board as being
in the best interests of the Company and its material stakeholders. On 8
September 2021, Philip Wilkinson, Independent Non-Executive Director,
became Committee Chair and John Rich stepped down from chairing the
Committee and became a member.
36
Remuneration schemes should promote long-term shareholdings by executive directors that support
alignment with long-term shareholder interests. Share awards granted for this purpose should be released
for sale on a phased basis and be subject to a total vesting and holding period of five years or more. The
remuneration committee should develop a formal policy for post-employment shareholding requirements
encompassing both unvested and vested shares.
At the EGM on 28 December 2021, MHP’s shareholders approved a new
Directors’ Remuneration Policy which better aligned the interests of the
Executive Directors with those of shareholders. This document defers the
setting of Company policy in relation to long-term incentives, including share
awards, until a later date (not later than the end of 2023).
38
Only basic salary should be pensionable. The pension contribution rates for executive directors, or payments
in lieu, should be aligned with those available to the workforce. The pension consequences and associated
costs of basic salary increases and any other changes in pensionable remuneration, or contribution rates,
particularly for directors close to retirement, should be carefully considered when compared with workforce
arrangements.
Directors’ pensionable salaries are calculated on the basis of salary plus
performance related bonuses in line with local legislation and are in line
with general workforce arrangements, The Company plans to update the
Directors’ Remuneration Policy to specifically address this area not later than
the end of 2023.
40
When determining executive director remuneration policy and practices, the remuneration committee should
address the following:
• clarity – remuneration arrangements should be transparent and promote eective engagement with
shareholders and the workforce;
• simplicity – remuneration structures should avoid complexity and their rationale and operation should be
easy to understand;
• risk – remuneration arrangements should ensure reputational and other risks from excessive rewards, and
behavioural risks that can arise from target-based incentive plans, are identified and mitigated;
• predictability – the range of possible values of rewards to individual directors and any other limits or
discretions should be identified and explained at the time of approving the policy;
• proportionality – the link between individual awards, the delivery of strategy and the long-term performance
of the company should be clear. Outcomes should not reward poor performance; and
• alignment to culture – incentive schemes should drive behaviours consistent with company purpose,
values and strategy.
At the EGM on 28 December 2021, the Company’s shareholders approved
(over 97% in favour) a new Directors’ Remuneration Policy which had been
formulated with the assistance of Deloitte, MHP’s remuneration consultant.
In common with many companies from the region, MHP does not currently
disclose individual executive director remuneration data. This policy is
regularly reviewed and discussed with MHP’s shareholders.
STATEMENT OF COMPLIANCE WITH THE UK CORPORATE GOVERNANCE CODE 2018 (CONTINUED)

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John Rich is a highly experienced senior business
executive with a strong background in agribusiness
operations, development banking and investment.
Nationality: Australian
Joined the Board: 2006
Position: Member of the Nominations and Remuneration
Committee and member of the IGR & PA Committee
Career and prior experience highlights:
• Member of the Australian College of Veterinary Science
and a registered financial member of the Australian
College of Veterinary Surgeons;
• 1990-2003: Executive Director, Austasia Pty Ltd
(agribusiness conglomerate SE Asia);
• 1995-2002: Director AN-OSI Pty Ltd (supply chain
management for feedlot beef, poultry and dairy
operations SE Asia/China);
• 2006-2019 Senior Consulting Agribusiness Industry
Specialist IFC and Agribusiness consultant to IFC
invested clients until 2020;
• 2017-2021 Financial Board Advisor to ADM Capital and
Independent Non-Executive Director at three other
poultry-related companies;
Current roles:
• Managing Director of Australian Agricultural Nutrition
and Consulting Pty Ltd (AANC);
• Recently appointed to the Food and Agribusiness
Advisory Council of the London based Commonwealth
Development Corporation (CDC).
DR JOHN C RICH
EXECUTIVE CHAIRMAN
John Grant has extensive, board-level business
management, finance, strategy and operational
experience in a wide range of international businesses.
Nationality: British
Joined the Board: 2006
Position: Chairman of the Audit & Risk Committee
and member of the Nominations and Remuneration
Committee.
Career and prior experience highlights:
• Senior Independent Director, Augean plc, Melrose plc,
Pace plc and Wolfson Microelectronics plc;
• Non-Executive Director, National Grid plc, Corac
Group plc and the Royal Automobile Club Limited;
• Audit Committee Chairman: Augean plc, Melrose plc,
National Grid plc, Pace plc;
• Remuneration Committee Chairman: Augean plc,
National Grid plc
• 1992-1996: Finance Director, Lucas Industries plc,
LucasVarity plc;
• 1990-1992: Executive Deputy Chairman, Jaguar Cars;
• 1989: Director of Corporate Strategy, Ford Motor
Company.
Current roles:
• Current roles: Chairman, British Racing Drivers’ Club
Ltd
JOHN GRANT
SENIOR INDEPENDENT DIRECTOR
BOARD OF
DIRECTORS
DETAILS OF THE DIRECTORS THAT WERE
MEMBERS OF THE BOARD AT
31 DECEMBER 2021 ARE RECORDED BELOW.
Christakis Taoushanis is a highly experienced
international financier and senior manager.
Nationality: Cypriot
Joined the Board: 2018
Position: Member of the Audit & Risk Committee
Career and prior experience highlights:
• 30 years of banking experience including 4 years
at Continental Illinois National Bank of Chicago, 18
years at HSBC Group in Hong Kong and Cyprus,
and 8 years as Chief Executive Ocer at Cyprus
Development Bank.
Current roles:
• Non-Executive Director of various regulated and
listed companies;
• Advisor to a number of companies through the
private firm, TTEG & Associates.
CHRISTAKIS TAOUSHANIS
INDEPENDENT NON-EXECUTIVE
DIRECTOR
Philip Wilkinson has considerable experience in international
poultry industries.
Nationality: British
Joined the Board: 2020
Position: Chairman of IGR & PA Committee, Chairman of the
Nominations and Remuneration Committee, Member of the
Audit & Risk Committee.
Career and prior experience highlights:
• Commercial Director of Arla Foods;
• Poultry industry: Managing Director of Grampian Country
Food Group, in 2006 joined 2 Sisters Food Group; in 2015
joined Inghams, Australia;
• Dairy industry: awarded an OBE in 2003 for Services to the
Dairy Industry; Chairman of the National Dairy Council and
National Dairy Farm Assured Ltd.
Current roles:
• Director of Red Tractor Poultry Sector Board, the British
Poultry Council;
• Council Member of AVEC, Association of Poultry
Processors and Poultry Trade in the EU;
• Advisor to the Board of Alltech, USA;
• Advisor to the Board of eggXYt, Israel;
• Chairman of BetaBugs, Scotland.
PHILIP J WILKINSON OBE
INDEPENDENT NON-EXECUTIVE
DIRECTOR

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Yuriy Kosyuk has been Chief Executive Ocer of MHP since he
founded the Company in 1998.
Nationality: Ukrainian
Joined the Board: 2006 (joined MHP in 1998)
Career and prior experience highlights:
• 1992: graduated as a process engineer in meat and milk
production from the Kyiv Institute of the Food Industry;
• 1995: founded the Business Centre for the Food Industry in
Kiev.
YURIY KOSYUK
CHIEF EXECUTIVE OFFICER
Viktoria Kapelyushnaya has considerable senior financial and
business management experience.
Nationality: Ukrainian
Joined the Board: 2006 (joined MHP in 1998)
Career and prior experience highlights:
• Diplomas in Processing Engineering (1992) and Financial
Auditing (1998) from the Kyiv institute of the Food Industry:
• Deputy and Chief Accountant at the Ukraine Business
Centre for the Food Industry (BCFI).
VIKTORIA KAPELYUSHNAYA
CHIEF FINANCIAL OFFICER
Andriy Bulakh is an experienced manager, auditor and
consultant.
Nationality: Ukrainian
Joined the Board: 2021 (joined MHP in 2020)
Career and prior experience highlights:
• Managing Partner and Head of Consulting (Deloitte
Ukraine);
• Master’s Degree in International Economic Relations,
Taras Shevchenko National University of Kyiv;
• Member of the Association of Chartered Certified
Accountants (ACCA).
ANDRIY BULAKH
DEPUTY CHIEF EXECUTIVE OFFICER
- PEOPLE

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DIRECTORS WHO SERVED
DURING 2021
The directors who served during the year
were:
• Dr John Rich
• John Grant
• Roger Wills (resigned 19 January 2021)
• Roberto Banfi (resigned 9 February 2021)
• Christakis Taoushanis
• Philip J Wilkinson OBE
• Yuriy Kosyuk
• Yuriy Melnyk (resigned 16 November 2021)
• Andriy Bulakh (appointed 28 December 2021)
• Viktoria Kapelyushnaya
CHANGES TO THE BOARD
IN 2021 AND PLANNED
DEVELOPMENTS
At 31 December 2021 the Board comprised the
Executive Chairman, Chief Executive Ocer,
Deputy Chief Executive Ocer - People, Chief
Financial Officer and three Independent
Non-Executive Directors. Details of the
Board’s composition are set out on pages 66
to 67
which contain biographical details of
the Directors. Changes to the Board during
the year are recorded below.
• On 19 January 2021 Roger Wills resigned
from the Board. John Rich was appointed
as Interim Chairman of the Nominations
and Remuneration Committee pending the
appointment of a new Committee Chair.
• On 9 February 2021 Roberto Banfi retired
from the Board. He continues to advise the
Company on a consultancy basis and is
retained as an advisor to the Board and its
committees.
• On 8 September 2021 Philip J Wilkinson OBE
was appointed to chair the Nominations and
Remuneration Committee. John Rich stepped
down simultaneously as Interim Chairman of
the Nominations and Remuneration Committee
and continues to serve as a member of the
Committee.
• On 16 November 2021 Yuriy Melnyk resigned
from the Board. He continues to serve MHP as
Deputy CEO.
• On 28 December 2021 the shareholders
approved the appointment of Andriy Bulakh,
as an executive director to the Board.
More information about the Board and
changes during the year can be found within
this section of the Annual Report and in the
Chairman’s Statement on pages 21 to 22.
In order to continue to satisfy the indepen-
dence requirements of the UK Corporate
Governance Code in relation to overall Board
independence, further develop Board and
Board Committee independence, diversity and
to develop the Board’s breadth of experience
and skills, a search for a new Independent
Non-Executive Director is being conducted
using the services of an experienced execu-
tive search firm. This process is being led by
the Senior Independent Director. Although,
following a thorough search process, an
appointment was imminent in February 2022,
this has been deferred until the situation in
Ukraine stabilises.
BOARD MEETING ATTENDANCE
The Board conducted nine meetings during
2021. All the Non-Executive Directors and
the Chairman attended these meetings. The
Chief Executive Officer attended three of
the meetings where the most material and
strategic decisions were discussed.
As a result of COVID-19 restrictions and
in common with many listed multinational
companies, the majority of Board meetings
during 2021 were conducted using conference
call facilities. The Board of Directors also
approved certain decisions through 13 circular
resolutions.
DIRECTOR
JOHN RICH
JOHN
GRANT
PHILIP
WILKINSON
CHRISTAKIS
TAOUSHANIS
YURIY
KOSYUK
VIKTORIA
KAPELYUSHNAYA
YURIY MELNYK
(resigned 16
November 2021)
ANDRIY BULAKH
(appointed 28
December 2021)
ROGER WILLS
(resigned January
2021)
ROBERTO BANFI
(resigned February
2021)
MEETINGS
ATTENDED/
MEETINGS INVITED
9/9 9/9 9/9 9/9 3/9 8/9 4/6 1/1 1/1 3/3

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PRINCIPAL RESPONSIBILITIES
OF THE BOARD
The Board is responsible for the overall
conduct of the Company’s business and has
the powers, authorities and duties vested in it
by and pursuant to the relevant Cyprus laws
and regulations and the Articles of Association
of the Company. MHP’s Articles of Association
can be viewed at the corporate website
(mhp.com.cy ).
The Company has a unitary governance
structure and the Board is the ultimate
decision-making body, except for the powers
reserved for the Shareholders’ Meeting by law
or as specified in the Articles of Association
(see also Board of Directors on pages 66 to
67 ).
The Board has a schedule of matters that
are assigned to it for discussion, debate and
approval in line with the requirements of the
UK Corporate Governance Code.
These include:
• MHP’s strategy, aims and objectives and
review of performance against those goals;
• Mergers and acquisitions strategy;
• Sustainability and responsible business (or
“ESG”) strategy and KPIs;
• Budgets, financial and operational targets;
• Annual, half yearly and quarterly financial
results;
• Annual report and accounts;
• Dividend policy;
• Appointments to the Board and removal of
Board members;
• Remuneration of Directors;
• Senior management appointments, removals
and remuneration arrangements;
• Appointments to Board committees;
• Board and senior management succession
planning;
• Approval of major capital expenditure projects,
acquisitions and divestments;
• Significant variations in borrowings or
borrowing facilities;
• Financial and risk management policies and
procedures; and
• Appointment and removal of the Company
Secretary.
ROLE OF THE CHAIRMAN
The Board elects the Chairman from members
that meet the Board’s criteria following the
preparation of a job specification by the
Nominations and Remuneration Committee.
The Company’s Corporate Governance
Charter excludes the CEO from becoming
Chairman.
The Chairman, John Rich, is responsible for
the proper and efficient functioning of the
Board. The Chairman determines the calendar
of Board meetings and the agenda of the
Board’s meetings after consultation with the
CEO. Prior to each meeting, the Chairman
prepares a report and ensures that Directors
receive complete and accurate information
and, to the extent appropriate, a copy of any
presentation to be made at the Board meeting.
The Chairman will also make sure that there
is sufficient time and debate for making
decisions.
The Chairman is also responsible for ensuring
that new Directors receive a complete and
tailored induction to the Company prior to
joining the Board and that existing Directors
continually update their skills and the
knowledge and familiarity with the Company
required to fulfil their role both on the Board
and on Board Committees. The Chairman
represents the Board to shareholders and the
public and chairs Shareholders’ Meetings.
The Chairman serves as the interface between
the Board and major shareholders of the
Company on matters of corporate governance.
RELATIONSHIP BETWEEN THE
CHAIRMAN AND THE CEO
A clear division of responsibilities is
maintained between the Chairman and the
CEO. The CEO may not carry out the duties
of the Chairman and vice versa except in
extraordinary circumstances limited to no
more than 12 months.
The Chairman is required to maintain close
relations with the CEO by giving him support
and advice while respecting the executive
responsibilities of the CEO. The CEO provides
the Chairman with all the information required
to carry out the role.
ROLE OF THE CEO
The CEO, Yuriy Kosyuk, reports direct to the
Board. The CEO is entrusted by the Board with
the day-to-day management of the Company
within the strategic parameters established
by the Board.
The CEO oversees the organisation and e-
cient day-to-day management of subsidiaries,
aliates and joint ventures.
The CEO is responsible for the execution
and management of the outcome of all Board
decisions. The CEO is delegated powers that
are not exclusively reserved to the Board or
to the Shareholders’ Meetings. The CEO can
delegate authority for daily management to
subordinate executives but will retain ultimate
accountability to the Board for the actions
which are conducted during the performance
of the role and the actions of delegates.
ROLE OF THE SENIOR
INDEPENDENT DIRECTOR
John Grant has been designated as the
Board’s Senior Independent Director since
2014. The Senior Independent Director acts
as an advisor to the Chairman, is responsible
for coordinating the annual evaluation of the
Chairman and acts as an intermediary for
the other Directors and shareholders when
required. He provides an alternative point of
contact for shareholders on matters where the
usual channels of communication are deemed
inappropriate.
In 2021, the Senior Independent Director
did not receive any requests directly from
shareholders/stakeholders but participated
in a number of meetings organised by the
Company or investment banks. Many of
these meetings concerned the proposed new
Directors’ Remuneration Policy which was
passed by shareholders (over 97% voted in
favour) at the EGM on 28 December 2021.

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ROLE OF THE NON-EXECUTIVE
DIRECTORS
The Non-Executive Directors bring an external
perspective to Board discussions. They oer
specialist advice, constructive challenge and
strategic guidance to the Executive Directors
as well as holding them to account.
MHP benefits from the broad range of skills
and experience that the Non-Executive
Directors provide from dierent businesses
and fields.
NON-EXECUTIVE
INDEPENDENCE
The independence of each of the Non-
Executive Directors is considered on
appointment.
Each year, the Nominations and Remuneration
Committee (“NRC”) and the Board consider
the facts and circumstances relating to
Director independence (and throughout the
year, as appropriate). This process includes
an assessment of whether each Non-Executive
Director is independent of Management and
any business or other relationships that could
materially interfere with his or her exercise
of objective, unfettered and independent
judgement or his or her ability to act in the
best interests of the shareholders. In making
its decision, the Board considers relationships
with Management, major shareholders,
associated companies and other parties with
whom the Company conducts business.
At 31 December 2021, the Board had seven
directors, three of whom are classified by the
Board as independent.
John Grant has served as a Non-Executive
Director of the Company since 2006 and
has been Senior Independent Director since
2014. He has therefore served on the Board
for more than nine years from the date of his
first appointment.
He has had extensive experience over many
years as an independent non-executive
director of a wide range of public and private
companies covering a variety of business
sectors. He has been Senior Independent
Director, and has chaired the Audit and/or
Remuneration Committees of several major
public companies. The Board values his broad
business perspective and experience and
continues to be satisfied that he possesses
the necessary independence of character and
judgement to be regarded as independent.
Christakis Taoushanis and Philip Wilkinson
were also viewed as Independent Non-
Executive Directors. John Rich was viewed
by the Board as independent on appointment
as Chairman in 2017 but is now not viewed
as independent and designated as Executive
Chairman because of his subsequent
performance of certain executive management
functions. Accordingly, in March 2019, he
resigned from the Audit Committee.
His interim appointment during the year
as Chairman of the Nominations and
Remuneration Committee ended in September
2021.
ROLE OF THE COMPANY
SECRETARY
The Company Secretary ensures that the
Board receives appropriate and timely
information and provides advice and support
to the Chairman, the Board, Board Committees
and senior management on regulatory and
governance matters. All Directors have
direct access to the advice and services of
the Company Secretary. Directors may also
obtain independent advice as required at the
Company’s expense.
APPOINTMENT AND
RE-APPOINTMENT OF
DIRECTORS
There is a formal and rigorous procedure
for the appointment of new Directors. The
shareholders shall have power at any time,
and from time to time, to appoint any person
to be a Member of the Board, to fill a casual
vacancy through EGM. Any Member of the
Board so appointed shall hold oce only until
the next following annual general meeting,
and shall then be eligible for re-election.
The process for new appointments is led
by the Nominations and Remuneration
Committee which makes a recommendation
to the Board.
The Board may appoint any Director to hold
any employment or executive oce and may
revoke or terminate such appointment. In line
with the UK Corporate Governance Code, all
members of the Board are subject to annual
re-election by a majority of shareholders at the
Annual General Meeting.
Directors may be re-elected an unlimited
number of times. Shareholders may, by
ordinary resolution, also appoint a person as
a Director or remove any Director before the
expiration of their period in oce.
DIVERSITY AND INCLUSION
MHP values its distinctive culture and, in
particular, its proactive approach to creating
senior management and development
opportunities for women. MHP believes that
diversity and inclusion support innovation,
continuous improvement and increase
eciency. The Board is also mindful of the
recommendations contained within the FTSE
Women Leaders Review (diversity) and Parker
(gender) Reviews.
The FTSE Women Leaders Review is an
independent, business-led framework
supported by the UK Government, which sets
recommendations for companies to improve
the representation of Women on Boards and
in Leadership positions. The Review builds on
the Hampton-Alexander and Davies Reviews.
The Board and the Nominations and
Remuneration Committee considered diversity
and inclusion matters as part of the regular
assessment of Board eectiveness and the
appointments process (see also the NRC
report on pages 79 to 80
). The Board
has determined that it will not set specific
targets with respect to Board diversity but
recognises the benefits that this brings to its
eectiveness. It is committed to promoting
diversity throughout the business.
MHP is also committed to ensuring that
equality is preserved within its remuneration
arrangements for all its workforce throughout
the business. More details will be included in
the forthcoming Non-Financial Report.

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Corporate Governance Report
71
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
BOARD EFFECTIVENESS
At the end of each year, the Board and
Committees undertake an assessment of
their own eectiveness. In parallel, the Non-
Executive Directors meet to discuss and
evaluate the performance of the Executive
Chairman. The results are considered by
the Board at the first Board meeting of the
following year.
DIRECTORS AND OFFICERS
LITIGATION STATEMENT
No member of the Board of Directors or of
MHP’s senior Management has, for at least
five years:
• Any convictions relating to fraudulent
offences;
• Been a senior manager or a member of the ad-
ministrative or supervisory bodies of any com-
pany at the time of, or preceding, any bank-
ruptcy, receivership or liquidation; or
• Been subject to any ocial public incrimination
and/or sanction by any statutory or regulatory
authority (including any designated profes-
sional body) nor ever been disqualified by a
court from acting as a member of the adminis-
trative, management or supervisory bodies of
a company, or from acting in the management
or conduct of the aairs of a company.
DIRECTORS’ INTERESTS
The interests of Directors in MHP’s GDRs at
31 December 2021 are shown in the table
below.
DIRECTOR
JOHN
RICH
JOHN
GRANT
NUMBER
OF GDRS
HELD
25,000 17,000
RELATED PARTY
TRANSACTIONS
In July 2020 the Board approved a Related
Party Transactions Policy, which tightened
controls over all related party transactions.
Full information on loans made to and repaid
by WTI Trading Limited is disclosed in the
Management Report on pages 84 to 87 and
in Note 32 to the Consolidated Financial
Statements on page 97.
Loans to WTI Trading Limited were repaid in
full in December 2021.
CONFLICTS OF INTEREST
The Board has formal procedures in place to
manage conflicts of interest. Each Director
is required to inform the Board of any other
directorship, oce or responsibility, including
executive positions that are taken up outside
the Company during the term of oce.
If, in the opinion of the Board, a conflict of
interest exists, the relevant Director does
not participate in discussions and will abstain
from a Board vote on the affected matter.
The Company’s Conflict of Interest Policy
covers any transactions involving conflicts
of interest (whether actual or potential) of
MHP’s Management team members, including
Directors of subsidiaries and branches (“key
management”):
• MHP’s line managers who have authority to
authorise transactions on behalf of MHP (“line
managers”); and
• Other MHP employees who are authorised
to internally approve any decisions as
significant transactions based on internal
policies and instructions (“responsible
employees”) or who have power to influ-
ence such decisions.
CONFIDENTIAL INFORMATION
All Board Directors are required to keep
confidential information received in their
capacity as Directors and may not use it for
any other purpose than for fulfilling their remit.
INFORMATION AND
PROFESSIONAL
DEVELOPMENT
The Board ensures that Directors, especially
Non-Executive Directors, have access to
independent professional advice at the
Company’s expense where they judge it
necessary to discharge their responsibilities
as Directors. Board Committees are also
provided with sufficient resources to
undertake their duties.
All Directors have access to the advice
and services of the Company Secretary,
who is responsible for ensuring that Board
procedures are complied with.
The Chairman is responsible for ensuring that
the Directors receive accurate, timely and
clear information. The Company’s Executive
Management team is obliged to provide
such information and Directors may seek
clarification or amplification where necessary.
The Chairman ensures that Directors
continually update their skills, knowledge and
understanding of the Company’s activities in
order to fulfil their role eectively both on the
Board and on Board Committees.
OTHER PROFESSIONAL COMMITMENTS
Every Director is required to allocate the time and attention required for the
proper fulfilment of his or her duties. This commitment includes limiting the
number of other professional commitments to the extent required.

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
Corporate Governance Report
INTERNAL CONTROL AND RISK
MANAGEMENT
The Board of Directors is ultimately
responsible for the Company’s governance,
risk management, internal control environment
and processes and reviews their eectiveness
at least annually. Once identified, risks
are evaluated to establish their potential
financial or non-financial impact and the
likelihood of their occurrence. For risks
assessed as significant, a mitigation action-
plan is determined by the relevant operational
business management team.
The summary of key risks is regularly
discussed with MHP’s Management team and
reported at least annually to the Board through
the Audit & Risk Committee. The Company has
an independent risk and process management
department whose activities are overseen by
the CFO and reported to the Audit & Risk
Committee.
The Directors, Management and employees
follow principles of responsible business
that are in line with the Company’s approved
Conflict of Interest Policy.
A summary of the Company’s framework
for managing risks, and the Company’s key
business risks together with the risk related
to war can be found on pages 43 to 50 of
this Report.
ENGAGEMENT WITH
STAKEHOLDERS
The Board recognises the importance of
regular, eective and constructive communi-
cations with its shareholders and maintains
a dedicated investor relations department to
facilitate this.
The principal opportunity for shareholders
to engage with the Board is at the Annual
General Meeting. MHP announces its financial
results on a quarterly basis. This information
is released through the appropriate regulatory
news services and recorded on the Company’s
website.
Each results announcement is accompanied
by a conference call with MHP’s finance and
investor relations team during which investors
and analysts have the opportunity to discuss
and ask questions about MHP’s performance.
During the year the Board and investor
relations team regularly engaged with
shareholders and financial analysts to
discuss matters relating to MHP’s strategy
and financial performance (a Board member
participated in 20% of meetings with
stakeholders).
The Company also conducted a survey of
investor opinion which enabled shareholders
and bondholders to confidentially report
their opinions about matters such as MHP’s
financial and non-financial performance,
strategy, information disclosure, investor
relations and quality of management.
Further information can be found in the S172
Statement & Stakeholder Engagement on
pages 51 to 53.
The Company also initiated and conducted a
series of meetings between shareholders and
the Senior Independent Director during the
second half of 2021 to discuss the proposed
new Directors’ Remuneration Policy prior
to the EGM which was conducted on 28
December 2021. This policy was passed by
over 97% of MHP’s shareholders at the EGM.
WORKFORCE ENGAGEMENT
MHP works closely with its workforce who
play an active role in the management of the
business through day-to-day dialogue and en-
gagement with the senior management team.
ANNUAL GENERAL MEETING
The next Annual General Meeting will take
place in June 2022 at 1pm at 16-18 Zinas
Kanther Street, Agia Triada, 3035 Limassol,
Cyprus. The 2022 AGM notice can, in due
course, be found within the investor relations
section at the Company’s website.
MHP ANNOUNCES ITS FINANCIAL RESULTS ON A QUARTERLY BASIS. THIS
INFORMATION IS RELEASED THROUGH THE APPROPRIATE REGULATORY
NEWS SERVICES AND RECORDED ON THE COMPANY’S WEBSITE.

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73
STRATEGIC
REPORT
BUSINESS
REVIEW
FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
GOVERNANCE
AUDIT & RISK
COMMITTEE
REPORT
The Audit & Risk Committee (the “Committee”) is responsible for the integrity of the Group’s financial
reporting and oversees its internal financial controls and risk management processes. The Committee also
makes recommendations to the Board on the appointment of external and internal auditors and oversees
their activities.
I am pleased to present this report which describes how the Audit & Risk Committee carried out its
responsibilities during the year and how it addressed significant issues relating to the Financial Statements.
John Grant
Chairman, Audit & Risk Committee
JOHN GRANT
CHAIRMAN, AUDIT
& RISK COMMITTEE
DIRECTOR
JOHN GRANT (Chairman) CHRISTAKIS TAOUSHANIS PHILIP WILKINSON
NO OF MEETINGS
5/5 5/5 5/5
Audit & Risk Committee Report

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
ROLE AND RESPONSIBILITIES
In March 2021, the Board renamed the Committee
(previously the Audit Committee) the Audit & Risk
Committee to emphasise the importance of its
role in overseeing and reporting to the Board
on the Company’s risk management processes,
although the Board retains overall responsibility
for risk.
The Committee’s role and responsibilities are
set out in its amended terms of reference, which
can be viewed on the Company’s website in the
Corporate Governance Charter (Annex C)
The Committee recognises its responsibility for
protecting the interests of all its stakeholders with
respect to the integrity of financial information
published by the Company and the eectiveness
of the audit.
COMPOSITION
The Committee comprises a minimum
of three non-executive directors, each
of whom is deemed by the Board to
be independent. The Chairman of the
Committee is John Grant, who has
significant and relevant financial experience
in a wide range of senior non-executive
roles including chairing audit committees
in a number of major international
businesses (see biography on page 66).
Christakis Taoushanis (see biography on
page 66) has been a member of the
Committee since November 2018. Philip
Wilkinson (see biography on page 66)
joined the Committee in June 2020. The
Committee Chairman invites the Chief
Financial Ocer, the Head of Internal Audit
and senior representatives of the external
auditor to attend meetings as appropriate.
The Committee has the right to invite
any other director or employee to attend
meetings as it considers appropriate.
MEETINGS
The Committee meets at least four times
a year. The scheduling of meetings is
intended to align with the financial reporting
timetable, enabling the Committee to
review the annual and quarterly financial
statements, to agree the audit plan in
advance of the full year audit, and to
maintain oversight of the Group’s internal
controls and processes throughout the
year. In 2021, the Committee met five
times; for timing reasons, an additional
meeting was held in December 2021 to
consider and approve the 2021 external
audit plan. The attendance of members at
these meetings is shown in the table above.
During the year, because of COVID-related
travel restrictions, a number of Committee
members and invitees necessarily attended
certain meetings by video conference.
The Committee meets with the external
auditors at least once a year in the absence
of Management. In 2021, this meeting took
place in March following the review of Ernst
& Young’s report on their audit of the full
year financial statements.
THE COMMITTEE IS
RESPONSIBLE SPECIFICALLY
FOR:
•
reviewing and monitoring the integri-
ty of the Group’s financial statements,
including the Annual Report and Interim
Report, and any formal announcements re-
lating to financial performance;
•
reviewing and reporting to the Board on
significant reporting issues and the judge-
ments they contain;
•
overseeing the Company’s processes for
monitoring and managing risk through-
out the Group and reporting to the Board
on the eectiveness of those processes,
including the emergence of potential new
risks;
• keeping under review the eectiveness of
the Company’s financial reporting and inter-
nal control systems;
•
reviewing and assessing annually the inde-
pendence, objectivity and eectiveness of
the external auditors, making recommen-
dations to the Board regarding the appoint-
ment, re-appointment and replacement of
external auditors and the terms of their
engagement, and approving the external
audit plan;
•
reviewing policy and practice regarding the
provision of non-audit services by the ex-
ternal auditor;
•
monitoring and evaluating the eective-
ness of the internal audit function and
approving the internal audit plan;
•
ensuring compliance with relevant
accounting standards and consistency of
accounting policies, and challenging Man-
agement on the validity of assumptions un-
derlying accounting judgements;
•
reviewing, challenging and reporting to
the Board on the going concern assump-
tion and the basis of the longer-term
viability assessment;
•
reviewing the Annual Report and finan-
cial statements to ensure they are fair,
balanced and understandable and
advising the Board accordingly; and
•
r eviewing and overseeing the adequacy
of arrangements for employees to
raise concerns in accordance with the
Company’s whistle-blowing policy.
Audit & Risk Committee Report

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
KEY ACTIVITIES DURING THE
YEAR
In addition to matters relating to the 2021
financial statements (see below), other key
activities addressed by the Committee during
the year included:
• recommending for approval by the Board revi-
sions to the Committee’s Terms of Reference,
in particular to reflect increased emphasis on
overseeing the Company’s risk management
processes;
• considering the potential impact of COVID-19
and the associated risks. Although potential
-
ly material, the Committee was satisfied that
adequate protection and control measures
had been put in place to protect MHP’s work
-
force and ensure continuity of supply and
production;
• considering the eect of COVID-19, and re
-
sulting absences from work, on the adequacy
of resources committed to the Internal Audit
function, taking account also of diculties in
recruiting adequately trained and experienced
sta in Ukraine, and agreeing appropriate
revisions to the internal audit programme;
• keeping under review the Group’s key risks,
including the increasing risk of potential
cyber-attacks, and the eectiveness of the
Group’s risk management and internal control
programmes;
• approving the scope of work for Internal Audit
in 2022;
• considering the Group’s readiness for
increased reporting requirements, particularly
in relation to climate change and sustainability;
• keeping under review the status of loans to
related parties and confirming that loans to
WTI Trading Limited had been repaid in full by
year-end, as anticipated;
• discussing the results of the annual assess
-
ment of the Committee’s eectiveness and
agreeing areas for potential improvement.
SIGNIFICANT ISSUES RELATING
TO THE 2021 FINANCIAL
STATEMENTS
The Committee undertook the following recur-
ring activities in relation to the 2021 financial
statements:
• considered and approved the auditor’s
independence and fee;
• reviewed and agreed the scope of work to be
undertaken in respect of the 2021 accounts by
the external auditor;
• considered the external auditor’s review of the
interim financial report and their report on the
audit of the full year results;
• reviewed the annual and quarterly financial
statements and Annual Report to ensure they
were fair, balanced and understandable and
provided the information necessary for share
-
holders to assess the Company’s position and
performance, business model and strategy,
and advised the Board accordingly;
• considered the processes in place for the
valuation of assets, including the reasonable-
ness and consistency of assumptions; and
• reviewed the eectiveness of the Company’s
risk management and internal controls.
In addition, the Committee gave particular
consideration to the following significant
issues and risks relating to the 2021 financial
statements (see table on next page).
Audit & Risk Committee Report

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
SIGNIFICANT ISSUE OR RISK CONSIDERED HOW THIS WAS ADDRESSED BY THE COMMITTEE
REVENUE RECOGNITION
There is а presumed risk of misstatement on revenue recognition due to fraud.
The Committee discussed revenue recognition processes with Management, reviewed with the Head
of Internal Audit the results of an internal audit of controls over accounting and financial reporting and
discussed the audit work conducted by Ernst & Young. It was satisfied that adequate processes and
controls were in place to manage the risk of revenue misstatement.
VALUATION OF BIOLOGICAL ASSETS AND AGRICULTURAL PRODUCE
Forecasting models used to determine the fair value of biological assets and agricultural produce require extensive
management judgements and the use of complex models.
The Committee reviewed the assumptions and judgements applied by Management and confirmed that
Ernst & Young had verified the reasonableness of input data and the accuracy of calculations.
VALUATION AND IMPAIRMENT OF GOODWILL AND NON-CURRENT ASSETS
Testing of impairment of goodwill is inherently subjective as calculation of value in use of the relevant cash generating unit
(“CGU”) or asset requires judgements and assumptions regarding future cashflows and the appropriate discount rate.
The Committee challenged Management’s assumptions and analysis underlying their review of potential
impairment in respect of Perutnina Ptuj, acquired in February 2019, and reviewed the audit work
undertaken by Ernst & Young. The Committee was satisfied that no impairment of goodwill or non-current
assets was required.
REVALUATION OF PROPERTY, PLANT AND EQUIPMENT
Accounting standards require revaluation of property, plant and equipment to be performed with sucient regularity to
demonstrate that the carrying values do not dier materially from fair values.
The Committee accepted Management’s recommendation that revaluations would be performed for
all fixed asset groups other than buildings, utilities and infrastructure. It reviewed the methods and
assumptions adopted by Management and independent appraisal experts to calculate fair values and
ensured that disclosures in the financial statements were appropriate.
LOANS TO RELATED PARTIES
As at 31 December 2020, the Group had extended loans of US$ 67.4 million to its majority shareholder, WTI Trading Limited.
The Committee confirmed that loans to WTI Trading Limited had been repaid in full, both as to principal and
interest, prior to 31 December 2021 and that no other material loans to related parties were outstanding.
See also Note 32 to the Financial Statements.
COMPLIANCE WITH BOND AND BANK COVENANTS
Continued compliance with covenants included in bond and bank debt agreements is an important ongoing focus for the
Committee. If the Consolidated Leverage Ratio of Net Debt to LTM-adjusted EBITDA (as defined in the Eurobond agreement)
exceeds 3.0 to 1 the Group is not permitted to make certain restricted payments or to pay dividends in excess of $30 million.
The Committee verified that the Consolidated Leverage Ratio had declined from 3.66 to 1 as at
31 December 2020 to 1.90 as at 31 December 2021. As the Consolidated Leverage Ratio had been below
3 to 1 since 30 June 2021, no restrictions have been in eect since publication of the Group’s six-month
results on 9 September 2021.
With regard to future compliance, the Committee confirmed that Management had performed appropriate
stress tests, taking account of potential changes in macro-economic conditions and the potential impact
of external events, and that these tests had been satisfied.
The Russian invasion of Ukraine on 24 February 2022 resulted in material uncertainty as to the ability of MHP to continue
operating its Ukrainian poultry production facilities and to sow and harvest crops as planned, and therefore its ability to
continue as a Going Concern for the foreseeable future.
The Committee worked closely with Management to ensure all practicable measures were taken
immediately following the invasion to enable the Company to continue to operate and to preserve cash as
far as possible. The Committee supported Management in seeking agreement from bondholders to defer
for 270 days the first semi-annual interest payments on the Group’s three Eurobond issues and requesting
similar support from its lending banks. Strong support was received from bondholders and banks in mid-
March 2022. Following the success of Management and the entire MHP workforce in maintaining poultry
operations to date at close to full capacity, and initiating sowing of summer crops on most of MHP’s land,
the Committee reviewed updated financial forecasts and accepted Management’s assessment that, while
material uncertainties remain, there is high confidence that the Group will be able to meet its financial
obligations for the foreseeable future. It therefore agreed that it is appropriate for the 2021 accounts to be
prepared on a Going Concern basis.
Audit & Risk Committee Report

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
EXTERNAL AUDIT
NON-AUDIT SERVICES
A policy is in place covering engagement of the external
auditor for the supply of non-audit services to ensure that its
independence and objectivity are not impaired. This requires
the Audit Committee to approve all material non-audit services
in advance of the service being provided. Cumulative non-audit
fees are reviewed periodically at scheduled meetings of the
Committee. A breakdown of fees earned by the external auditor
for audit and non-audit services can be found in Note 8
to the Financial Statements.
It is the Committee’s intention to ensure future non-audit
services are provided by a number of dierent firms to ensure
both independence of the external audit and best quality and
best value provision of non-audit services.
AUDITOR INDEPENDENCE AND
OBJECTIVITY
The Committee has a policy and procedures in place to
ensure that auditor independence and objectivity are never
compromised. This includes approval requirements for
engagement of the external auditor for non-audit services,
periodic review of the cost of non-audit services provided by
the external auditor and requirements for rotation of the audit
partner every 7 years.
Each year, the auditor is required to provide to the Committee
evidence of how it believes its independence and objectivity
have been maintained.
Based on these requirements and procedures, the Committee
remains confident that auditor independence and objectivity
have been and will be maintained.
APPOINTMENT OF EXTERNAL AUDITOR
AND ASSESSMENT OF EFFECTIVENESS
Ernst & Young was appointed as the auditor of the Company
with eect from the 2020 financial year, replacing the previous
auditor Deloitte, following a comprehensive tender and
selection process in the fourth quarter of 2019.
The Committee assessed the eectiveness of Ernst & Young
following completion of their audit of the 2020 accounts and
concluded that it was satisfied with the quality, integrity and
eectiveness of their work.
7
REQUIREMENTS
FOR ROTATION OF
THE AUDIT
PARTNER EVERY YEARS
ERNST
& YOUNG
WAS APPOINTED AS THE
AUDITOR OF THE COMPANY
WITH EFFECT FROM THE 2020
FINANCIAL YEAR
Audit & Risk Committee Report

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
INTERNAL AUDIT RISK MANAGEMENT
AND INTERNAL
CONTROL
The Committee monitors the eectiveness of
the Company’s risk management and control
systems through regular updates from
Management, reviews of the key findings
of the external and internal auditors and
an annual review of the risk management
process and risk matrix. Results are
reported regularly to the Board, which has
overall responsibility for risk management.
The annual review covers key risks that
could potentially impact the achievement
of the Group’s strategic and financial
objectives. New risks and changes in
existing risks are identified on a continuous
basis.
A risk scoring system is used to help quantify
both the probability and potential impact of
each major risk after the eect of mitigating
actions, to assess residual risks against the
Company’s risk appetite and to prioritise
further risk management actions.
The Company’s approach to the
identification and assessment of risks, and
the response to risks, is based on best
business practices and international COSO
Enterprise Risk Management standards.
Please see also the Risk Management
section on page 43 of this Annual Report.
No incidents of significant control
weaknesses or failures were identified at any
time during the year to 31 December 2021.
John Grant
Chairman, Audit & Risk Committee
05 May 2022
The Company has an in-house Internal
Audit function whose primary purpose
is to provide independent assurance to
Management and the Committee, and
hence the Board, on the Company’s risk
management and control environment.
The internal audit remains free from
all conditions that threaten the ability
of internal auditors to carry out their
responsibilities in an unbiased manner.
Internal Audit coverage includes all
the Company’s operations, resources,
services and responsibilities to other
bodies, with no department or business
unit of the Company being exempt from
review.
Internal Audit responsibilities include:
•
examining and evaluating the
adequacy of the Company’s system
of internal control;
•
assessing the reliability and
accuracy of information provided to
stakeholders;
•
assessing compliance with statutory
and regulatory requirements;
• assessing compliance with Company
policies and procedures;
•
ensuring that the Company’s assets
are properly accounted for and
safeguarded;
•
assessing the efficiency and
eectiveness with which resources
are employed;
• liaising with external auditors in audit
planning and assisting the external
auditors as required; and
•
investigating any instances of fraud,
irregularity or corruption.
The Internal Audit programme is approved
annually by the Committee and the
Head of Internal Audit reports findings
periodically to the Committee.
At least annually, the Committee
considers the role and effectiveness
of the Internal Audit function, taking
account of the resources available and
required, the experience and expertise
of personnel and the quality of service
delivered. The Committee concluded that
the Internal Audit function is continuing
to deliver the level of service required,
notwithstanding the recent operational
challenges resulting from the COVID
pandemic.
COSO
ENTERPRISE RISK MANAGEMENT
Audit & Risk Committee Report

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STRATEGIC
REPORT
BUSINESS
REVIEW
FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
GOVERNANCE
PHILIP J
WILKINSON OBE
INDEPENDENT
NON-EXECUTIVE
DIRECTOR
NOMINATIONS AND
REMUNERATION COMMITTEE
REPORT
THIS REPORT DESCRIBES HOW THE NOMINATIONS AND REMUNERATION COMMITTEE
CARRIED OUT ITS RESPONSIBILITIES DURING THE YEAR.
THE NOMINATIONS AND REMUNERATION COMMITTEE (“THE COMMITTEE”) IS
RESPONSIBLE FOR MAKING RECOMMENDATIONS TO THE BOARD ON THE APPOINTMENT
OF DIRECTORS AND FOR DETERMINING THE REMUNERATION OF EXECUTIVE DIRECTORS.
ROLE AND
RESPONSIBILITIES
The Committee’s role and responsibili-
ties are set out in its Terms of Reference,
which can be viewed on the Company’s
website in the Corporate Governance
Charter (Annex E). Further details
regarding the Committee’s composition,
areas of focus in 2021 and diversity
approach are set out below.
COMPOSITION
The Committee comprises a minimum
of three Independent Non-Executive
Directors. The Chairman of the Com-
pany may also serve as a member.
Following Roger Wills’ resignation from
the Board and the Committee in Jan-
uary 2021, Dr John Rich was appoint-
ed Interim Chairman of the Committee
pending the appointment of a qualified
Independent Non-Executive Director as
Chairman. As such, Dr John Rich served
as Interim Chairman from January 2021
to September 2021. Philip J Wilkinson
OBE, an Independent Non-Executive
Director, was appointed as Chairman of
the Committee on 8 September 2021.
The Company Secretary acts as secre-
tary to the Committee. On occasion, the
Committee invites the Chief Executive,
the Chief Financial Ocer or Deputy
Chief Executive Ocer - People to at-
tend discussions where their input is
required.
MEETINGS
The Committee meets not less
than twice a year. During 2021, the
Committee met six times. Members’
attendance is shown in the table above.
MEMBER
JOHN RICH
(Interim Chairman from
January - September 2021)
JOHN GRANT PHILIP J WILKINSON OBE
(appointed Chairman from
September 2021)
ROGER WILLS
(resigned in January
2021)
NO OF MEETINGS
5/6 6/6 6/6 0/0
6
DURING 2021, THE
COMMITTEE MET
TIMES
Nominations And Remuneration Committee Report

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SHAREHOLDER
INFORMATION
AREAS OF FOCUS IN 2021
The principal matters considered by the
Committee during 2021 were as follows:
• Bearing in mind the composition and
balance of the Board, the search for a new
Independent Non-Executive Director contin
-
ued. There is an intention to bring additional
industry experience and improve the balance
of the Board. Although the process has been
delayed by COVID-related travel restrictions
and more recently by the Russian invasion of
Ukraine, we hope to make an appointment
when the situation in Ukraine stabilises.
• As reported last year, the Committee ap
-
pointed a remuneration consultant, Deloitte,
to conduct a comparative review of compen
-
sation of the Executive Directors and Senior
Management with a view to changing to a
more performance-related bonus scheme.
• The first outcome of this compensation
review is a new Directors’ Remuneration Pol-
icy, the full detail of which may be found on
the Company’s website. The Company con
-
sulted with shareholders and put the Policy
to an EGM in December 2021 where it was
overwhelmingly approved. This Policy will
be put to shareholders for approval at least
every three years.
• The second outcome of this review is ex
-
pected to be a new Pay Philosophy for
Senior Management. The Group has begun
exploring a Senior Management Incentive
Programme linked to the five-year strat
-
egy for the Company. This will be further
developed during 2022 and presented to
the Committee for approval.
• In addition, the Committee has been
kept informed of, and supports, initiatives
to realign technical expertise and sen
-
ior management structures to better un-
derpin planned strategic developments.
Progress in identifying key experts and
managerial roles within the Group was
made during 2021 including defining core
competencies for those disciplines. In
2022 the Committee will be kept informed
of the next stage of development, where
circumstances permit, where people cur
-
rently in those positions are assessed and
potential future successors are identified.
Out of the 17 senior management positions
in the Company, 10 have been appointed
in the last two years, five through internal
promotion and five through external
recruitment.
DIVERSITY
MHP recognises the importance and value of
diversity throughout its workforce. For more
information on the Group’s approach, please
see the Corporate Governance Report on
page 63.
Philip J Wilkinson OBE
Chairman, Nominations and Remuneration
Committee
05 May 2022
Nominations And Remuneration Committee Report

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BUSINESS
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FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
GOVERNANCE
IGR & PA Committee Report
INTERNATIONAL GOVERNMENT
RELATIONS AND PUBLIC AFFAIRS
COMMITTEE REPORT
ROLES AND RESPONSIBILITIES
The Committee’s role and responsibilities are
set out in its Terms of Reference, which can
be viewed on the Company’s website in the
Corporate Governance Charter (Annex F).
This Report describes how the International
Government Relations and Public Affairs
(“IGR and PA”) Committee carried out its
responsibilities during the year and how it
addressed political and industry concerns
relating to the poultry sector. The Committee
is responsible for developing the Company’s
approach to international government
relations and public aairs and reflecting the
changing business and political environment
in which the Company operates. This includes
reviewing and providing input to Management
on responsible business matters and
anticipating and preparing the reaction of the
Company to any potential crisis management
situations relating to political and operational
issues (e.g. Avian Influenza outbreaks during
the year and, post balance sheet, the Russian
invasion).
COMPOSITION
The Committee comprises at least two Board
members. The Chairman of the Committee is
Philip J Wilkinson OBE who has significant
and relevant experience in international
agricultural politics, has historically chaired
agricultural sector boards and holds several
non-executive directorships and advisory
positions in global agri-businesses (see
biography on page 66).
The other members of the Committee are
Dr John Rich (see biography on page 66)
and Roberto Banfi, who stepped down from
the Board and the Committee on 9 February
2021 but continues to advise the Committee
and the Company on a consultancy basis.
The Committee has the right to invite any
other director or employee to attend meetings
as it considers appropriate.
THE INTERNATIONAL GOVERNMENT RELATIONS AND PUBLIC AFFAIRS
COMMITTEE IS RESPONSIBLE FOR SETTING THE STRATEGY AND
OBJECTIVES OF THE COMPANY’S GOVERNMENT RELATIONS AND PUBLIC
AFFAIRS EFFORTS.
MEMBER
PHILIP J
WILKINSON OBE
DR JOHN RICH ROBERTO BANFI
1
NO OF MEETINGS
4/4 4/4 4/4
1
Since 9 February 2021, Roberto Banfi continues
to advise the Committee and the Company on
a consultancy basis.

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GOVERNANCE FINANCIAL
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SHAREHOLDER
INFORMATION
MEETINGS IN THE YEAR
The Committee meets at least twice a year.
A meeting may be convened at any time
by the Chairman of the Committee, the
Chairman of the Board or the Chief Executive
Ocer to consider any matters falling within
the Committee’s terms of reference. Four
meetings were held during the year, three of
which were held by video conference due to
COVID-19 restrictions.
COMMITTEE PROGRESS AND
ACHIEVEMENTS TO DATE
Responsible business
The 2021 UN Climate Change Conference
(“COP 26”) once again outlined the critical
importance of global society working
together to address the significant challenges
posed by climate change. MHP is proud to
be accelerating its efforts in this area and
to be striving to be a leader in sustainable
agriculture and food production.
Central to MHP’s sustainable development
plan is its commitment to achieving Carbon
Neutrality by 2030. Working with our
partner, Alltech E-CO2 we are on the verge
of establishing the Group’s current carbon
footprint and in 2022 this information will be
submitted to the Carbon Trust for validation
prior to setting out a future roadmap. Through
accurate measurement, we have identified
disciplines where improvements can be made.
Our vertically-integrated agribusiness
model means we are well placed to take the
appropriate action necessary to achieve our
objectives across the whole of our supply
chain and I am delighted to report that we are
currently on target to achieve our goals. This
includes collaborating with external suppliers
as we cannot achieve the goals on our own.
International government relations
and public Aairs progress
One year into the formation of the IGR and
PA Committee, I am pleased to report that
relations with EU and UK oce holders and
policy makers in the agribusiness sector have
advanced both positively and significantly.
We have demonstrated our professionalism
particularly with regard to the management
of the Avian Influenza crisis which, over
the past year, has been one of the worst
on record across Europe. Our open and
transparent approach to this crisis, together
with the development of professional
working relationships with our counterparts
in Europe and the UK, has been a major
contributory factor in the positive results
which will be referenced later in the Report
of the Committee. We hope to extend these
successes further around the globe during
2022 always bearing in mind the impact the
Russian invasion is having on the Company.
The Committee is delighted to report that
Avian Influenza regionalisation recognition
has been achieved between Ukraine and the
European Union (“EU”) enabling export trade
to be resumed from uninfected areas. It was
encouraging to note the support from much
of the EU poultry industry for this initiative
which we believe to be a positive step in the
right direction from a relationship perspective.
The veterinary authorities from the EU were
satisfied that the credible procedures adopted
by the Group to meet the standards set out
in EU legislation for notification, disposal,
cleaning and logistics movements during
an Avian Influenza outbreak were all strictly
adhered to. Progress has also been made with
reference to Avian Influenza recognition with
the United Kingdom. After much exchanging
of information, recognition was achieved in
December 2021.
Despite export sales being interrupted as
a result of the war, we are still on target to
deliver our UK Poultry Meat Export Agreement
quota volumes. As a result, we had already
instigated discussions with the UK’s Foreign
Oce and Department of International Trade
with a view to increasing the Tari Free Quota
volumes. At the time of these discussions
the UK Prime Minister visited Ukraine and
discussed the liberalisation of trade between
the two countries. The UK has subsequently
announced that all taris on goods imported
from Ukraine will be reduced to zero and all
quotas will be removed under a Free Trade
Agreement.
The EU have proposed to follow the UK’s lead
by temporarily removing remaining taris and
quotas on Ukrainian exports.
We are currently awaiting the details of both
initiatives but are quietly encouraged and
optimistic.
I am encouraged by the improvement in
International Government Relations and Public
Aairs achieved during the year and hope to
build on this once the situation in Ukraine
normalises.
Philip J Wilkinson OBE
Chairman, IGR & PA Committee
05 May 2022
2030
CARBON
NEUTRALITY
BY 2030
CO
2
IGR & PA Committee Report

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BUSINESS
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FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
GOVERNANCE
MANAGEMENT
REPORT
THE INFORMATION WITHIN THIS REPORT IS ALIGNED WITH THE
REPORTING REQUIREMENTS OF THE UK COMPANIES ACT 2006,
THE UK DISCLOSURE AND TRANSPARENCY RULES, THE LISTING
RULES OF THE UK AND CYPRUS COMPANIES LAW CAP. 113.
PRINCIPAL ACTIVITIES AND REVIEW OF THE BUSINESS
MHP is the international food and agrotech company that cares about its people, the environment
and communities and is transforming into a culinary company. MHP Ukraine and Perutnina Ptuj
(“PP”) operate vertically-integrated business models, owning and operating each of the key stages
of chicken production processes (see Our Business Model on pages 16). During 2021, principal
activity of the company remained unchanged. MHP’s objectives are to maximise eciency in
production costs, increase profitability by consolidating multiple steps in the value-chain and follow
the strategy of sales diversification taking into account market availability and challenges, local
customer preferences as well as the stability that diversification brings. Detailed information on
the Group’s financial and operational performance, including KPIs, can be found in the Business
Review on pages 26 to 30.
THE BUSINESS IS ORGANISED INTO AND OPERATES
THROUGH FOUR BUSINESS SEGMENTS:
The Poultry and Related Operations Segment produces, processes and sells
chicken meat (fresh and frozen), culinary products (marinated, ready-to-cook and
value-added products), vegetable oils (sunflower and soybean) and mixed fodder. It
incorporates three chicken meat complexes and two breeding farms, three sunflower
oil plants, one soybean crushing plant, three feed mills and two biogas complexes.
For more detailed information see the Group Overview on pages 10 to 11.
POULTRY AND RELATED OPERATIONS SEGMENT
(MHP, EXCLUDING PERUTNINA PTUJ)
The Grain Growing Operations Segment grows crops for fodder production and
for sale to third parties. In 2021 MHP’s total landbank constituted approximately
361,000 hectares (“ha”) of land of which the majority was used for grain cultivation.
The landbank comprises a number of enterprises in Ukraine. For more detailed
information see the Group Overview on pages 12.
GRAIN GROWING OPERATIONS SEGMENT
The Meat-Processing & Other Agricultural Operations Segment produces and sells
sausage, salami, convenience foods and produce from cattle and milk operations.
It incorporates two facilities for the production of prepared meat products and a
number of cattle farms. For more detailed information see the Group Overview on
pages 13.
MEAT-PROCESSING & OTHER AGRICULTURAL
OPERATIONS SEGMENT
The European Operating Segment comprises 100% of Perutnina Ptuj (“PP”), a leading
poultry and processed-meat producer in the Balkans with production assets in
Slovenia, Croatia, Serbia, Bosnia and Herzegovina and distribution companies
in Austria, North Macedonia and Romania. PP supplies products to 18 European
countries. For more detailed information see the Group Overview on pages 14.
EUROPEAN OPERATING SEGMENT – PERUTNINA
PTUJ
Key to the Company’s approach to managing waste is MHP’s biogas programme, comprising
facilities and green energy projects, which enable the recycling of dierent wastes including husks,
leftovers from grain and chicken production. Further information on this circular economy aspect
of the Group’s business may be found in the Group Overview on pages 7 to 15 and will also be
reported on in detail in the forthcoming Non-Financial Report.
Management Report

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
COMPANY’S MISSION
The Company’s mission is to provide our
customers with high-quality, sustainable food
products and culinary solutions that are safe
and responsibly produced, at the same time
as anticipating and meeting our customers’
evolving priorities and requirements.
FUTURE DEVELOPMENTS
The Executive Management team believes
there are ample opportunities for growth
both internationally and domestically. In
Ukraine, the Group oers a wide range of
poultry products ranging from fresh chicken to
culinary products through to processed meat
products that MHP develops and oers to
its customers. In line with the transformation
to become a culinary company, the Group is
increasingly providing solutions to consumers,
retailers and food service with ready-to-cook
and ready-to-eat food products. Further
information on the evolution of the Group’s
strategy, as set out below, may be found in
the Group Overview on pages 7 to 15. As
a result of the War, MHP has experienced
a number of significant disruptions and
operational issues within its business,
which are described in detail in Note 33
Operating Environment and in Note 39
Subsequent Events.
Exports of chicken meat now reach over 80
countries with a potential to further increase
geographies, volumes and product SKUs.
THE STRATEGY TO ACHIEVE THE COMPANY’S MISSION:
TRANSFORMATION INTO
A CULINARY COMPANY
Transform the Company into a culinary company
through the managed and careful development
of cooperation with the franchise network,
retail, HoReCa, the Nasha Ryaba antibiotic-
free range, packed poultry, the culinary kitchen
and other initiatives. This includes increasing
the Company’s presence in value-added food
products such as processed meat, convenience
food and the Commercial Kitchen concept;
EFFICIENCY
Constantly increase production efficiency
through modernisation and innovation;
improvement in cost and quality control; and the
use of up-to-date technology across all business
segments, including PP;
M&A OPPORTUNITIES
Explore M&A opportunities and potentially
acquire further meat-processing and/or poultry
production companies internationally.
EXPORT DIVERSIFICATION
& EXPANSION
Continue export expansion through sales
diversification and market targeting, increasing
the share of value-added sales;
INTERNATIONAL SALES
AND DISTRIBUTION
Continue to establish international sales and
distribution oces and potentially joint ventures;
CONTINUOUS IMPROVEMENT
& INNOVATION
Maintain “continuous improvement” approach
including optimising human productivity, high
biosecurity standards, environmental standards,
health and safety and animal welfare practices
(including, but not limited to, the antibiotic-free
programme);
BRAND PROMOTION AND
DEVELOPMENT
Promote and develop the Company’s strong
brands through consumer-driven innovation and
the introduction of new products;
ALTERNATIVE ENERGY
PROJECTS
Expand alternative energy projects (biogas,
biodiesel, solar, wind energy etc); and
APPROACH TO PEOPLE AND
WORKFORCE
Develop the Company’s approach to people,
including providing a healthy and safe workplace
and an environment that enables every employee
to develop their skills to their maximum potential.
1 2 3
4 5 6
7 8 9
Management Report

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SHAREHOLDER
INFORMATION
DIVIDEND POLICY
In March 2013 the Board of Directors
approved the adoption of a dividend policy
that maintains a balance between the
need to invest in further development and
the right of shareholders to share the net
profits of the Company. In recognition of the
Company’s exeptional performance in 2021, in
November the Board resolved to pay a one-
o special (interim) dividend of US$ 0.2803
per share (approximately US$ 30 million) on
10 December 2021. Taking into account the
current uncertainties following the Russian
invasion of Ukraine, and the resulting need to
preserve liquidity to support the Company’s
ongoing business operations and to help
sustain national food security, the Board of
MHP SE has decided that no final dividend
will be paid.
LOANS TO RELATED PARTIES
On 21 January 2020, the Board approved
a loan facility of up to US$ 80 million to
the Company’s principal shareholder, WTI
Trading Limited (“WTI”) to meet WTI’s general
liquidity requirements and other corporate
purposes for a maximum of three years. As of
31 December 2020, loans to WTI amounted
to US$ 67.4million. During 2021 the Group
provided additional loans to WTI of US$ 3.6
million. All loans to WTI were repaid fully in
December 2021.
The Directors believe that the loans were
issued at arm’s length terms and for fair
market value, that they were in the best
interests and for the commercial benefit of
the Group and did not violate the terms of the
Senior Notes (Note 29).
RESEARCH AND
DEVELOPMENT
Sustaining significant investment in R&D
as well as innovation is fundamental to the
Company’s long-term growth strategy. Our
target is to sustain MHP’s position as a
world leader in ecient poultry production
at the same time as adopting a sustainable
and responsible approach to society, our
employees, the environment and animal
welfare.
BUSINESS REVIEW AND RISKS
A review of the Group’s performance and
the key risks and uncertainties which
face the business as well as details on
likely developments can be found in the
Chairman’s Statement on page 21 and Risk
Management on page 43 of this Report.
CORPORATE RESPONSIBILITY
REPORTING AND ESG
DIALOGUE
The Group initiated corporate responsibility
reporting in 2015 and issues a separate
Corporate Responsibility Report (Non-
Financial Report) annually. This Report
includes information for MHP’s material
stakeholders and applies the latest applicable
Global Reporting Initiative’s (“GRI”) reporting
framework, Core compliance. The latest Non-
Financial Report is for 2020 and can be found
in the “Sustainable Development” section of
the Company’s website. MHP expects the
2021 Report to be available in June 2022.
Summary Corporate Responsibility information
is also included on pages 54 to 59 within
this Annual Report. MHP also participates in a
number of ESG research exercises conducted
by specialist investor research agencies and
readily responds to questions and information
requests from shareholders concerning this
aspect of its activities.
FINANCIAL REPORTING
PROCESS
MHP has in place a comprehensive financial
review cycle which includes a detailed annual
budgeting process. The annual budget and
the business plan, upon which the budget is
based, is reviewed and approved by the Board
of Directors. Major commercial and financial
risks are assessed as part of the business
planning process. There is a comprehensive
system of financial reporting, with monthly
performance reports and regular forecast
updates presented to the Board of Directors.
At a Group level, MHP has in place common
accounting policies and procedures on
financial reporting and closing. Management
monitors the publication of new reporting
standards and works closely with the external
auditors in evaluating in advance the potential
impact of changes in these standards.
BRANCHES
MHP does not have any branches.
SHARE CAPITAL
The authorized share capital as of 31 December
2021 and 2020 was EUR 221,540 thousand
represented by 110,770,000 shares with par
value of EUR 2 each.
As at 31 December 2021, the Group had a direct
holding of 3,731,792 treasury shares represented
by an equal amount of GDRs.
All shares have equal voting rights and rights
to receive dividends, which are payable at the
discretion of the Company.
There was no change in share capital during
the year ended 31 December 2021 (Note 26,
p. 146).
CHANGES TO THE BOARD
All changes to the Board of Directors are
disclosed in the Corporate Governance
Report, p. 66-67.
COMPENSATION OF KEY
MANAGsEMENT PERSONNEL
Total compensation of the Group’s key
management personnel, included primarily in
selling, general and administrative expenses
in the accompanying consolidated statements
of profit and loss and other comprehensive
income, amounted to US$ 16.9 million and US$
15.1 million for the years ended 31 December
2021 and 2020 respectively. Compensation
of key management personnel consists of
contractual salary and performance bonuses.
Key management personnel totalled 22
and 22 individuals as of 31 December 2021
and 2020 respectively, including 3 and 4
independent non-executive directors as of
31 December 2021 and 2020 respectively.
Management Report

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
COMPENSATION OF KEY
MANAGsEMENT PERSONNEL
(continued)
The table below shows the total remuneration
of Board members.
DIRECTOR
2021 2020
EXECUTIVE
CHAIRMAN
696 622
NEDS
696 958
EXECUTIVE
DIRECTORS
6,497 5,421
SHARE OPTIONS
At the date of this Annual Report, neither the
Company nor PJSC MHP has a share option
plan and no share options have been granted
to Directors, members of MHP’s senior
Management or employees.
AUDITOR ROTATION
Details of the rotation are disclosed in the
Audit & Risk Committee Report on p. 73.
AUDITORS’ REMUNERATION
Remuneration to the auditors amounted to
US$ 990,000 for the year ended 31 December
2021 (2020: US$ 1 million), including both audit
and non-audit services. Statutory audit fees
amounted to US$ 825,000 for the year ended
31 December 2021 (2020: US$ 758,000) fees
for tax advisory services US$ 84,000 (2020:
US$ 70,000) and fees for other non-audit
services US$ 81,000 for the year ended 31
December 2021 (2020: US$ 172,000). The
Company has rules and processes in place
to ensure the independence of the auditors,
including non-audit fee limitations set by the
Board, and prior approvals by the Audit & Risk
Committee to ensure any services provided
are compatible with the independence of the
auditors.
INTERNAL AUDIT
The Company maintains an internal audit
function. The Head of Internal Audit has the
right of access to the Audit & Risk Committee
and the Chairman. Further details can be
found in the Audit & Risk Committee Report
on pages 73 to 78.
GOING CONCERN
The Russian invasion of Ukraine on
24 February 2022 resulted in material
uncertanties for the Company, some of which
continue as of the date of the Report. Having
reviewed updated financial forecasts, the
Directors agreed with the recommendations
of the Audit & Risk Committee Report that,
at the time of the approval of the financial
statements it was appropriate to adopt the
going concern basis in preparing the financial
statements of the Group.
DISCLOSURE OF INFORMATION
TO AUDITORS
So far as each Director is aware, all
information relevant to the audit of the Group’s
consolidated financial statements has been
supplied to the Group’s auditors. Each Director
has taken all steps that he/she ought to have
taken in his/her duty as a Director in order to
make himself/herself aware of any relevant
audit information and to establish that the
Group’s auditors are aware of that information.
POLITICAL DONATIONS
The Group did not make any political
donations or incur any political expenditure
during the year.
SUBSEQUENT EVENTS
All subsequent events are disclosed in the
Financial and Operational Review section
(pp. 31-39) and in Note 39 (p. 161) of the
Annual Report.
ADDITIONAL DISCLOSURES
According to the terms of the Senior Notes,
the Company may be required to offer to
repurchase the Senior Notes from holders
if a change in control occurs as a result of
a takeover bid. At the date of this Annual
Report, no takeover bids have been made for
the Company’s shares.
There are no agreements between the
Company and its Directors or employees
providing for compensation on loss of oce
or employment (whether through resignation,
purported redundancy or otherwise) that
would occur because of a takeover bid.
Other information that is relevant to
the Management Report, and which is
incorporated by reference into this Report,
can be located as follows:
PAGES
GROUP OVERVIEW
7
OUR BUSINESS
MODEL
16
CORPORATE
GOVERNANCE
REPORT
63
STAKEHOLDER
ENGAGEMENT
51
KPIs
26
FINANCIAL AND
OPERATIONAL
REVIEW
31
PRINCIPAL RISKS
AND
UNCERTAINTIES
43
MEASURES OF
FINANCIAL
PERFORMANCE
40
The Company has chosen, in accordance
with Section 414 C(11) of the UK Companies
Act 2006, and as noted in this Management
Report, to include certain matters in its
Strategic Report that would otherwise be
required to be disclosed in this Management
Report. The Strategic Report can be found on
pages 4 to 23.
A non-financial information
statement in line with Section 414CA and
414CB of the UK Companies Act 2005 may be
found on page 60.
APPROVAL
Approved by the Board and signed on its
behalf by:
John Rich
Executive Chairman
05 May 2022
Management Report

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BUSINESS
REVIEW
16 Key Performance Indicators
19 Financial and Operational Review
25 Financial Policies
27 Risk Management
39 Stakeholder Engagement
41 Corporate Responsibility
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
FINANCIAL
STATEMENTS
90 Statement of the Board of Directors
91 Independent Auditor’s Report
97 Consolidated Financial Statements
104 Notes

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GOVERNANCE SHAREHOLDER
INFORMATION
FINANCIAL
STATEMENTS
Contents
STATEMENT OF THE BOARD OF DIRECTORS’ RESPONSIBILITIES FOR THE PREPARATION
AND APPROVAL OF THE CONSOLIDATED FINANCIAL STATEMENTS AS OF AND
FOR THE YEAR ENDED 31 DECEMBER 2021 ....................................................................................... 90
INDEPENDENT AUDITOR’S REPORT ....................................................................................................... 91
CONSOLIDATED FINANCIAL STATEMENTS AS OF AND FOR THE YEAR ENDED
31 DECEMBER 2021
Consolidated statement of profit or loss and other comprehensive income ...............................97
Consolidated statement of financial position ....................................................................................... 99
Consolidated statement of changes in equity ......................................................................................101
Consolidated statement of cash flows ..................................................................................................102
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS .............................................. 104
1. Corporate information ............................................................................................................................105
2. Summary of significant accounting policies ....................................................................................106
3. Changes in the group structure ........................................................................................................... 117
4. Critical accounting judgments and key sources of estimation uncertainty.............................. 117
5. Segment information ..............................................................................................................................121
6. Revenue .................................................................................................................................................... 124
7. Cost of sales .............................................................................................................................................125
8. Selling, general and administrative expenses ................................................................................125
9. Other operating income ........................................................................................................................126
10. Other operating expenses ..................................................................................................................126
11. Deferred income ....................................................................................................................................126
12. Finance costs ......................................................................................................................................... 127
13. Income tax ............................................................................................................................................... 127
14. Property, plant and equipment .......................................................................................................... 130
15. Right-of-use asset ................................................................................................................................. 134
16. Intangible assets ...................................................................................................................................135
17. Goodwill ................................................................................................................................................... 137
18. Non-current financial assets ...............................................................................................................138
19. Biological assets ....................................................................................................................................138
20. Inventories .............................................................................................................................................. 141
21. Agricultural produce .............................................................................................................................. 141
22. Taxes recoverable and repaid ........................................................................................................... 141
23. Trade accounts receivable ................................................................................................................142
24. Other current financial assets ...........................................................................................................145
25. Cash and cash equivalents ...............................................................................................................145
26. Shareholders’ equity ...........................................................................................................................146
27. Non-controlling interests .................................................................................................................... 146
28. Bank borrowings .................................................................................................................................. 148
29. Bonds issued .........................................................................................................................................149
30. Lease liabilities .......................................................................................................................................151
31. Other current financial liabilities .........................................................................................................151
32. Related party balances and transactions .......................................................................................152
33. Contingencies and contractual commitments ..............................................................................153
34. Dividends ................................................................................................................................................154
35. Fair value of financial instruments ...................................................................................................156
36. Risk management policies ................................................................................................................. 157
37. Pensions and retirement plans ..........................................................................................................160
38. Earnings per share ............................................................................................................................... 160
39. Subsequent events ...............................................................................................................................161
40. Authorization of the consolidated financial statements ..............................................................161
CONTENTS

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE SHAREHOLDER
INFORMATION
FINANCIAL
STATEMENTS
STATEMENT OF THE BOARD OF DIRECTORS’
The Board of Directors is responsible for the
preparation of the consolidated financial
statements that give a true and fair view
of the financial position of MHP SE (the
“Company”) and its subsidiaries (the “Group”)
as of 31 December 2021 and of the consolidated
statements of profit or loss and other
comprehensive income, changes in equity and
cash flows for the year then ended, and notes to
the consolidated financial statements, including
a summary of significant accounting policies.
In preparing the consolidated financial
statements, the Board of Directors is responsible
for:
•
properly selecting and applying accounting
policies;
•
presenting information, including account
-
ing policies, in a manner that provides rele-
vant, reliable, comparable and understand-
able information;
•
providing additional disclosures when com-
pliance with the specific requirements in the
International Financial Reporting Standards
(“IFRS”) are insucient to enable users to
understand the impact of particular trans-
actions, other events and conditions on the
Group’s consolidated financial position and
financial performance;
•
making an assessment of the Group’s ability
to continue as a going concern.
The Board of Directors, within its
competencies, is also responsible for:
•
designing, implementing and maintaining
an eective and sound system of internal
controls over financial reporting, throughout
the Group;
•
maintaining adequate accounting records
that are sucient to show and explain the
Group’s transactions and disclose with rea-
sonable accuracy at any time the consoli-
dated financial position of the Group, and
which enable them to ensure that the con-
solidated financial statements of the Group
comply with IFRS;
•
maintaining statutory accounting records
in compliance with local legislation and ac-
counting standards in the respective juris-
dictions;
•
taking such steps as are reasonably avail-
able to them to safeguard the assets of the
Group; and
•
preventing and detecting fraud and other
irregularities.
The consolidated financial statements of the
Group as of and for the year ended 31 December
2021 were authorized for issue by the Board of
Directors on 5 May 2022.
Board of Directors’ responsibility statement
In accordance with DTR4.1 on Annual Financial
Reporting, providing for the disclosure and
transparency requirements for issuers whose
transferable securities are admitted to trading on
a UK Recognised Investment Exchange, we, the
members of the Board of Directors, responsible
for the preparation of the annual consolidated
financial statements of MHP SE for year ended
31 December 2021, hereby declare that to the
best of our knowledge:
• the consolidated financial statements, pre-
pared in accordance with International Fi-
nancial Reporting Standards (IFRS) adopt-
ed by the EU, give a true and fair view of
the assets, liabilities, financial position and
profit of the Company and the undertak-
ings included in the consolidation taken as
a whole; and
•
the management report includes a fair re-
view of the development and performance
of the business and the position of the Com-
pany, and the undertakings included in the
consolidation taken as a whole, together
with a description of the principal risks and
uncertainties that they face.
On behalf of the Board:
Director
Yuriy Kosyuk
Director
John Grant
Director
Viktoria Kapelyushnaya
Director
John Cliord Rich
Director
Philip J Wilkinson
Director
Andriy Bulakh
Director
Christakis Taoushianis
RESPONSIBILITIES FOR THE PREPARATION AND APPROVAL OF THE CONSOLIDATED
FINANCIAL STATEMENTS AS OF AND FOR THE YEAR ENDED 31 DECEMBER 2021
Statement Of The Board Of Directors’

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BUSINESS
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GOVERNANCE SHAREHOLDER
INFORMATION
FINANCIAL
STATEMENTS
INDEPENDENT AUDITOR’S REPORT
Ernst & Young Cyprus Ltd
Jean Nouvel Tower
6 Stasinou Avenue
1060 Nicosia
P.O. Box 21656
1511 Nicosia, Cyprus
Tel: +357 22209999
Fax: +357 22209998
ey.com
Independent Auditor’s Report
TO THE MEMBERS OF MHP SE
REPORT ON THE AUDIT OF THE CONSOLIDATED FINANCIAL STATEMENTS
OPINION
We have audited the consolidated financial
statements of MHP SE (the “Company”), and
its subsidiaries (the “Group”), which comprise
the consolidated statement of financial position
as at 31 December 2021, and the consolidated
statements of profit or loss and other
comprehensive income, changes in equity and
cash flows for the year then ended, and notes to
the consolidated financial statements, including a
summary of significant accounting policies.
In our opinion, the accompanying consolidated
financial statements give a true and fair view of
the consolidated financial position of the Group
as at 31 December 2021, and of its consolidated
financial performance and its consolidated cash
flows for the year then ended in accordance
with International Financial Reporting Standards
(IFRSs) as adopted by the European Union and
the requirements of the Cyprus Companies Law,
Cap. 113.
BASIS FOR OPINION
We conducted our audit in accordance with
International Standards on Auditing (ISAs).
Our responsibilities under those standards are
further described in the Auditor’s Responsibilities
for the Audit of the Consolidated Financial
Statements section of our report. We remained
independent of the Group throughout the
period of our appointment in accordance with
the International Ethics Standards Board for
Accountants’ International Code of Ethics for
Professional Accountants (including International
Independence Standards) (IESBA Code) together
with the ethical requirements that are relevant to
our audit of the consolidated financial statements
in Cyprus, and we have fulfilled our other
ethical responsibilities in accordance with these
requirements and the IESBA Code. We believe
that the audit evidence we have obtained is
sucient and appropriate to provide a basis for
our opinion.
MATERIAL UNCERTAINTY
RELATED TO GOING CONCERN
We draw attention to Note 39 to the consolidated
financial statements, which indicates that since
24 February 2022 the Group’s operations are
negatively affected by the ongoing military
invasion of Ukraine, with the magnitude of further
developments or the timing of their cessation
being uncertain. These conditions, along with
other matters as set forth in Notes 4 and 39
indicate the existence of a material uncertainty
that may cast significant doubt on the Group’s
ability to continue as a going concern. Our opinion
is not modified in respect of this matter.
KEY AUDIT MATTERS
INCORPORATING THE MOST
SIGNIFICANT RISKS OF
MATERIAL MISSTATEMENTS,
INCLUDING ASSESSED RISK OF
MATERIAL MISSTATEMENTS
DUE TO FRAUD
Key audit matters are those matters that, in our
professional judgment, were of most significance
in our audit of the consolidated financial
statements of the current period. In addition to
the matter described in the Material Uncertainty
Related to Going Concern section of our report,
we have determined the matters described below
to be the key audit matters to be communicated in
our report. These matters were addressed in the
context of our audit of the consolidated financial
statements as a whole, and in forming our opinion
thereon, and we do not provide a separate opinion
on these matters. For each matter below, our
description of how our audit addressed the matter
is provided in that context.

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GOVERNANCE FINANCIAL
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SHAREHOLDER
INFORMATION
INDEPENDENT AUDITOR’S REPORT
KEY AUDIT MATTERS
INCORPORATING THE MOST
SIGNIFICANT RISKS OF
MATERIAL MISSTATEMENTS,
INCLUDING ASSESSED RISK OF
MATERIAL MISSTATEMENTS
DUE TO FRAUD (CONTINUED)
We have fulfilled the responsibilities described
in the Auditor’s responsibilities for the audit of
the consolidated financial statements section of
our report, including in relation to these matters.
Accordingly, our audit included the performance
of procedures designed to respond to our
assessment of the risks of material misstatement
of the consolidated financial statements. The
results of our audit procedures, including the
procedures performed to address the matters
below, provide the basis for our audit opinion
on the accompanying consolidated financial
statements.
KEY AUDIT MATTER HOW OUR AUDIT ADDRESSED THE KEY AUDIT MATTER
REVENUE RECOGNITION
The total amount of revenue recognised in 2021 was USD
2,372,262 thousand. Revenue recognition was one of the matters
of most significance in our audit since the amount of revenue is
material to the consolidated financial statements and due to a large
number of transactions and management judgment involved in
the interpretation of contract terms, identification of performance
obligations, timing of revenue recognition and in the determination
of whether the Group is a principal or an agent in its sales
arrangements.
Information on the accounting policy for revenue recognition
is disclosed in Note 2 of the consolidated financial statements
and disclosures related to revenue are included in Note 6 of the
consolidated financial statements.
We considered the Group’s accounting policy in respect of revenue recognition.
We assessed the design and operating eectiveness of relevant internal controls
over revenue recognition process, including IT-dependent manual controls.
We analysed sales contracts terms and assessed the moment of transfer of control
over goods and services. On a sample basis, we compared the date of transfer of
control over goods and services with the date of revenue recognition. We also tested,
on a sample basis, data of transaction records in the system to their respective
customer contracts, underlying invoices and cash receipts.
On a sample basis, we obtained confirmations of sales and accounts receivable
balances from customers.
We tested a sample of revenue transactions recognised shortly before and after the
year end and assessed the period these transactions relate to.
We performed analytical procedures in respect of revenue that included, among
others, the analysis of monthly sales to detect unusual fluctuations and reconciliation
with comparative information for prior periods.
We analysed sales contracts terms in respect of indicators of whether the Group is a
principal or an agent under these sales arrangements.
We assessed disclosures in respect of revenue included in the notes to the
consolidated financial statements
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SHAREHOLDER
INFORMATION
INDEPENDENT AUDITOR’S REPORT
KEY AUDIT MATTER HOW OUR AUDIT ADDRESSED THE KEY AUDIT MATTER
VALUATION OF BIOLOGICAL ASSETS AND AGRICULTURAL PRODUCE
The Group measures biological assets at fair value less costs to sell in accordance with IAS 41
Agriculture and IFRS 13 Fair Value Measurement. As at 31 December 2021, the carrying value of
biological assets was USD 242,597 thousand, out of which USD 215,459 thousand was classified
within current assets and USD 27,138 thousand within non-current assets.
Agricultural produce harvested from biological assets is measured at fair value less costs to sell at
the point of harvest in accordance with IAS 41 Agriculture and IFRS 13 Fair Value Measurement. As
at 31 December 2021, the carrying value of agricultural produce was UAH 511,267 thousand.
The Group assesses the fair value of the biological assets based on the discounted cash flow
technique. The key assumptions and inputs used in the measurement are average meat output,
average productive life, expected yields, expected market prices, estimated future production costs
and costs to sell and discount rates.
The fair value of agricultural produce is determined by reference to market prices at the point of
harvest.
The valuation of biological assets and agricultural produce is one of the matters of most
significance in our audit since the assessment of fair value requires assumptions and management
judgement.
Information on the accounting policy for biological assets and agricultural produce is disclosed in
Note 2 of the consolidated financial statements and disclosures related to the biological assets and
agricultural produce are included in Notes 19 and 21 of the consolidated financial statements.
We analysed the Group’s accounting policy in respect of biological assets and agricultural produce in
accordance with the requirements of IFRS.
We obtained an understanding of the internal controls surrounding the valuation process for biological assets
and agricultural produce and assessed their design and implementation.
For biological assets, we analysed the valuation methods used by management. Further, we compared
management’s assumptions to the Group’s historical data, the Group’s actual data and, where applicable, to
market data and external benchmarks. We considered the discount rate used, with the support of our internal
valuation specialists.
For agricultural produce, we analysed management’s identification of the principal market, we compared the
prices used by management to the market data. We analysed costs required to sell agricultural produce and
analysed how they are taken into consideration in calculation of fair value less cost to sell.
We tested the mathematical accuracy of the models prepared by management.
We assessed the disclosures in respect of biological assets and agricultural produce made in the consolidated
financial statements.
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GOVERNANCE FINANCIAL
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SHAREHOLDER
INFORMATION
INDEPENDENT AUDITOR’S REPORT
KEY AUDIT MATTER HOW OUR AUDIT ADDRESSED THE KEY AUDIT MATTER
FAIR VALUE OF PROPERTY, PLANT AND EQUIPMENT
The Group applies the revaluation model for its property, plant and equipment. Due to high level of
subjectivity in respect of assumptions underlying the assessment of the fair value of property, plant
and equipment this matter was one of the most significance in our audit. The Group has a process
of external valuations, when the value of property, plant and equipment is being measured by an
independent external appraiser.
Information about property, plant and equipment is disclosed in Note 14 to the consolidated
financial statements. Description of the accounting policy and key judgements and estimates is
included in Notes 2 and 4 to the consolidated financial statements.
We assessed the competence, capabilities and objectivity of the external appraiser.
We engaged our internal valuation specialists in the assessment of the valuation methodology used and the
assumptions made by the appraiser and management.
We compared input data used by the external appraiser with internal sources of data and available industry
data.
We analyzed the underlying assumptions by inspecting historical data, available market data and other
evidence provided by management.
We compared the amount of revaluation charge recognized in the consolidated financial statements with the
valuation report.
We assessed the disclosures in the consolidated financial statements related to fair value measurement of the
property, plant and equipment.
IMPAIRMENT OF GOODWILL AND INTANGIBLE ASSETS WITH INDEFINITE USEFUL LIFE
As at 31 December 2021, the Group had significant balance of goodwill and intangible assets with
indefinite useful life of USD 66,382 thousand and USD 31,597thousand respectively.
An impairment assessment of goodwill and intangible assets with indefinite useful life is a key
audit matter due to the range of judgements and assumptions used in the impairment model for
each CGU, as well as the significance of the carrying amount of goodwill and intangible assets with
indefinite useful life.
Disclosure relating to the impairment of goodwill and intangible assets with indefinite useful life is
presented in Note 17 and Note 16 to the consolidated financial statements.
Our procedures included assessment of the assumptions and methodologies used by the Group in its value-
in-use calculation of cash-generating units.
We compared the Group’s assumptions to externally derived data and our internal information on key inputs
such as projected economic growth, sales volumes, inflation and discount rates.
We analysed, for each cash generating unit, the excess of the recoverable amount over carrying amount. We
tested sensitivity of the value in use to key assumptions. We have involved our internal valuation experts to
analyze the scope of appraisal, the data, application of methods, and the methodology used in the valuation
process and the assumptions made by the Group’s management specialists and management.
We also tested mathematical accuracy of management’s impairment analyses and sensitivity calculations.
We also analysed the disclosures related to impairment of goodwill and intangible assets with indefinite useful
life presented in the Notes to the consolidated financial statements.
Independent Auditor’s Report

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STRATEGIC
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BUSINESS
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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
INDEPENDENT AUDITOR’S REPORT
REPORTING ON OTHER
INFORMATION
The Board of Directors is responsible for the other
information. The other information comprises
information included in Group’s 2021 Annual
Report, but does not include the consolidated
financial statements and our auditor’s report
thereon. The Board of Directors is also required
pursuant to article 151 of the Cyprus Companies
Law Cap.113 to prepare and publish a Non-
Financial Information Report by 30 June 2022.
This report has not been issued by the date of
this report.
Our opinion on the consolidated financial
statements does not cover the other information
and we do not express any form of assurance
conclusion thereon.
In connection with our audit of the consolidated
financial statements, our responsibility is to read
the other information identified above and, in
doing so, consider whether the other information
is materially inconsistent with the consolidated
financial statements or our knowledge obtained
in the audit, or otherwise appears to be materially
misstated. If, based on the work we have
performed, we conclude that there is a material
misstatement of this other information, we are
required to report that fact. We have nothing to
report in this regard.
RESPONSIBILITIES OF THE
BOARD OF DIRECTORS AND
THOSE CHARGED WITH
GOVERNANCE FOR THE
CONSOLIDATED FINANCIAL
STATEMENTS
The Board of Directors is responsible for the
preparation of consolidated financial statements
that give a true and fair view in accordance
with International Financial Reporting Standards
as adopted by the European Union and the
requirements of the Cyprus Companies Law, Cap.
113, and for such internal control as the Board of
Directors determines is necessary to enable the
preparation of consolidated financial statements
that are free from material misstatement, whether
due to fraud or error.
In preparing the consolidated financial statements,
the Board of Directors is responsible for assessing
the Group’s ability to continue as a going concern,
disclosing, as applicable, matters related to going
concern and using the going concern basis of
accounting unless the Board of Directors either
intends to liquidate the Group or to cease
operations, or has no realistic alternative but to
do so.
Those charged with governance are responsible
for overseeing the Group’s financial reporting
process.
AUDITOR’S RESPONSIBILITIES
FOR THE AUDIT OF THE
CONSOLIDATED FINANCIAL
STATEMENTS
Our objectives are to obtain reasonable assurance
about whether the consolidated financial
statements as a whole are free from material
misstatement, whether due to fraud or error, and to
issue an auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance,
but is not a guarantee that an audit conducted in
accordance with ISAs will always detect a material
misstatement when it exists. Misstatements can
arise from fraud or error and are considered
material if, individually or in the aggregate, they
could reasonably be expected to influence the
economic decisions of users taken on the basis of
these consolidated financial statements.
As part of an audit in accordance with ISAs, we
exercise professional judgment and maintain
professional scepticism throughout the audit.
We also:
• Identify and assess the risks of material mis-
statement of the consolidated financial state-
ments, whether due to fraud or error, design
and perform audit procedures responsive to
those risks, and obtain audit evidence that is
sucient and appropriate to provide a basis
for our opinion. The risk of not detecting a
material misstatement resulting from fraud
is higher than for one resulting from error, as
fraud may involve collusion, forgery, inten-
tional omissions, misrepresentations, or the
override of internal control.
•
Obtain an understanding of internal control
relevant to the audit in order to design audit
procedures that are appropriate in the circum-
stances, but not for the purpose of expressing
an opinion on the eectiveness of the Group’s
internal control.
•
Evaluate the appropriateness of accounting
policies used and the reasonableness of ac-
counting estimates and related disclosures
made by the Board of Directors.
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GOVERNANCE FINANCIAL
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SHAREHOLDER
INFORMATION
INDEPENDENT AUDITOR’S REPORT
AUDITOR’S RESPONSIBILITIES
FOR THE AUDIT OF THE
CONSOLIDATED FINANCIAL
STATEMENTS (CONTINUED)
•
Conclude on the appropriateness of the
Board of Directors’ use of the going concern
basis of accounting and, based on the audit
evidence obtained, whether a material uncer-
tainty exists related to events or conditions
that may cast significant doubt on the Group’s
ability to continue as a going concern. If we
conclude that a material uncertainty exists,
we are required to draw attention in our au-
ditor’s report to the related disclosures in the
consolidated financial statements or, if such
disclosures are inadequate, to modify our
opinion. Our conclusions are based on the
audit evidence obtained up to the date of our
auditor’s report. However, future events or
conditions may cause the Group to cease to
continue as a going concern.
•
Evaluate the overall presentation, structure
and content of the consolidated financial
statements, including the disclosures, and
whether the consolidated financial state-
ments represent the underlying transactions
and events in a manner that achieves a true
and fair view.
•
Obtain sucient and appropriate audit evi-
dence regarding the financial information of
the entities or business activities within the
Group to express an opinion on the consoli-
dated financial statements. We are responsi-
ble for the direction, supervision and perfor-
mance of the group audit. We remain solely
responsible for our audit opinion.
We communicate with those charged with
governance regarding, among other matters,
the planned scope and timing of the audit and
significant audit findings, including any significant
deficiencies in internal control that we identify
during our audit.
We also provide those charged with governance
with a statement that we have complied
with relevant ethical requirements regarding
independence, and to communicate with
them all relationships and other matters that
may reasonably be thought to bear on our
independence, and where applicable, actions
taken to eliminate threats or safeguards applied.
From the matters communicated with those
charged with governance, we determine those
matters that were of most significance in the
audit of the consolidated financial statements
of the current period and are therefore the key
audit matters. We describe these matters in our
auditor’s report unless law or regulation precludes
public disclosure about the matter or when, in
extremely rare circumstances, we determine that a
matter should not be communicated in our report
because the adverse consequences of doing so
would reasonably be expected to outweigh the
public interest benefits of such communication.
REPORT ON OTHER LEGAL
REQUIREMENTS
Pursuant to the additional requirements of the
Auditors Law of 2017, we report the following:
•
In our opinion, based on the work undertaken
in the course of our audit, the consolidated
management report has been prepared in ac-
cordance with the requirements of the Cyprus
Companies Law, Cap. 113, and the information
given is consistent with the consolidated fi-
nancial statements.
• In light of the knowledge and understanding
of the Group and its environment obtained
in the course of the audit, we are required
to report if we have identified material mis-
statements in the consolidated management
report. We have nothing to report in this re-
spect.
OTHER MATTERS
This report, including the opinion, has been
prepared for and only for the Company’s members
as a body in accordance with Section 69 of the
Auditors Law of 2017 and for no other purpose.
We do not, in giving this opinion, accept or assume
responsibility for any other purpose or to any other
person to whose knowledge this report may come
to.
The engagement partner on the audit resulting
in this independent auditor’s report is Andreas
Avraamides.
Andreas Avraamides
Certified Public Accountant and
Registered Auditor
for and on behalf of
Ernst & Young Cyprus Limited
Certified Public Accountants and Registered
Auditors
Nicosia, 5 May 2022
Independent Auditor’s Report

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GOVERNANCE SHAREHOLDER
INFORMATION
FINANCIAL
STATEMENTS
Statement Of The Board Of Directors’
NOTES 2021 2020
CONTINUING OPERATIONS
Revenue 5,6 2,372,262 1,911,137
Net change in fair value of biological assets and agricultural produce 5 184,926 30,502
Cost of sales 7 (1,812,672) (1,544,101)
GROSS PROFIT 744,516 397,538
Selling, general and administrative expenses 8 (228,183) (187,801)
Other operating income 9 11,835 16,526
Other operating expenses 10 (11,558) (23,412)
Loss on impairment of property, plant and equipment 14 (10,607) (1,730)
OPERATING PROFIT 506,003 201,121
Finance income 10,531 13,584
Finance costs 12 (150,424) (144,257)
Foreign exchange gain/(loss), net 36 40,466 (203,664)
Other expenses (2,867) (3,491)
PROFIT/(LOSS) BEFORE TAX 403,709 (136,707)
Income tax (expense)/benefit 13 (6,914) 5,132
PROFIT/(LOSS) FOR THE YEAR FROM CONTINUING OPERATIONS 396,795 (131,575)
DISCONTINUED OPERATIONS
Loss for the year from discontinued operations 3 (3,457) (1,482)
PROFIT/(LOSS) FOR THE YEAR 393,338 (133,057)
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER
COMPREHENSIVE INCOME
for the year ended 31 December 2021 (in thousands of US dollars, unless otherwise indicated)
On behalf of the Board:
Chief Executive Ocer
Yuriy Kosyuk
Chief Financial Ocer
Viktoria Kapelyushnaya
The accompanying notes on
the pages 98 to 155 form
an integral part of these
consolidated financial
statements

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SHAREHOLDER
INFORMATION
NOTES 2021 2020
OTHER COMPREHENSIVE INCOME
ITEMS THAT WILL NOT BE RECLASSIFIED TO PROFIT OR LOSS:
Eect of revaluation of property, plant and equipment 14 246,106 -
Deferred tax on revaluation of property, plant and equipment charged directly to
other comprehensive income as result of revaluation
13 (26,597) -
Items that may be reclassified to profit or loss:
Cumulative translation dierence (2,931) (180,213)
Other comprehensive income/(loss) 216,578 (180,213)
Total comprehensive income/(loss) for the year 609,916 (313,270)
PROFIT/(LOSS) ATTRIBUTABLE TO:
Equity holders of the Parent 375,511 (136,506)
Non-controlling interests 27 17,827 3,449
393,338 (133,057)
TOTAL COMPREHENSIVE INCOME/(LOSS) ATTRIBUTABLE TO:
Equity holders of the Parent 586,558 (314,547)
Non-controlling interests 23,358 1,277
609,916 (313,270)
EARNINGS/(LOSS) PER SHARE FROM CONTINUING AND DISCONTINUED
OPERATIONS
Basic and diluted earnings/(loss) per share (USD per share) 3.51 (1.28)
EARNINGS/(LOSS) PER SHARE FROM CONTINUING OPERATIONS
Basic and diluted earnings/(loss) per share (USD per share) 38 3.54 (1.26)
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER
COMPREHENSIVE INCOME
for the year ended 31 December 2021 (in thousands of US dollars, unless otherwise indicated)
On behalf of the Board:
Chief Executive Ocer
Yuriy Kosyuk
Chief Financial Ocer
Viktoria Kapelyushnaya
The accompanying notes on
the pages 98 to 155 form
an integral part of these
consolidated financial
statements
Statement Of The Board Of Directors’

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SHAREHOLDER
INFORMATION
NOTES
31 DECEMBER
2021
31 DECEMBER
2020
ASSETS
NON-CURRENT ASSETS
Property, plant and equipment 14 1,939,607 1,678,917
Right-of-use assets 15 277,288 207,001
Intangible assets 16 97,791 96,841
Goodwill 17 66,382 70,614
Non-current biological assets 19 27,138 25,584
Non-current financial assets 18 28,764 23,083
Long-term bank deposits 9,904 4,612
Deferred tax assets 13 1,966 1,822
2,448,840 2,108,474
CURRENT ASSETS
Inventories 20 367,219 240,715
Biological assets 19 215,459 175,085
Agricultural produce 21 511,267 269,045
Prepayments 44,572 16,776
Other current financial assets 24 16,156 81,314
Taxes recoverable and prepaid 22 68,151 54,647
Trade accounts receivable 23 156,878 119,187
Cash and cash equivalents 25 275,237 217,579
1,654,939 1,174,348
TOTAL ASSETS 4,103,779 3,282,822
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
as of 31 December 2021 (in thousands of US dollars, unless otherwise indicated)
The accompanying notes on
the pages 98 to 155 form
an integral part of these
consolidated financial
statements
Statement Of The Board Of Directors’

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100
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
NOTES
31
DECEMBER
2021
31
DECEMBER
2020
EQUITY AND LIABILITIES
EQUITY
Share capital 26 284,505 284,505
Treasury shares (44,593) (44,593)
Additional paid-in capital 174,022 174,022
Revaluation reserve 811,684 648,982
Retained earnings 1,557,284 1,195,143
Translation reserve (1,018,514) (1,020,229)
EQUITY ATTRIBUTABLE TO EQUITY
HOLDERS OF THE PARENT
1,764,388 1,237,830
Non-controlling interests 27 29,800 16,373
TOTAL EQUITY 1,794,188 1,254,203
NON-CURRENT LIABILITIES
Bank borrowings 28 103,604 64,608
Bonds issued 29 1,376,820 1,370,999
Lease liabilities 30 204,139 136,495
Deferred income 11 44,593 44,505
Deferred tax liabilities 13 44,704 29,867
Other non-current liabilities 6,468 7,233
1,780,328 1,653,707
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
as of 31 December 2021 (in thousands of US dollars, unless otherwise indicated) (continued)
On behalf of the Board:
Chief Executive Ocer
Yuriy Kosyuk
Chief Financial Ocer
Viktoria Kapelyushnaya
The accompanying notes on
the pages 98 to 155 form
an integral part of these
consolidated financial
statements
NOTES
31
DECEMBER
2021
31
DECEMBER
2020
CURRENT LIABILITIES
Trade accounts payable 174,242 149,768
Other current liabilities 31 93,289 86,638
Advances received 41,983 15,227
Bank borrowings 28 121,458 39,788
Interest payable 28,29 21,180 21,487
Lease liabilities 30 77,111 62,004
529,263 374,912
TOTAL LIABILITIES 2,309,591 2,028,619
TOTAL EQUITY AND LIABILITIES 4,103,779 3,282,822
Statement Of The Board Of Directors’

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STRATEGIC
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BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
ATTRIBUTABLE TO EQUITY HOLDERS OF THE PARENT
SHARE
CAPITAL
TREASURY
SHARES
ADDITIONAL
PAID-IN CAPITAL
REVALUATION
RESERVE
RETAINED
EARNINGS
TRANSLATION
RESERVE
TOTAL
NON-
CONTROLLING
INTERESTS
TOTAL
EQUITY
BALANCE AT 31 DECEMBER 2019 284,505 (44,593) 174,022 862,435 1,148,113 (842,188) 1,582,294 13,572 1,595,866
Profit/(loss) for the year - - - - (136,506) -
(136,506) 3,449 (133,057)
Other comprehensive loss - - - - - (178,041)
(178,041) (2,172) (180,213)
TOTAL COMPREHENSIVE INCOME/(LOSS)
FOR THE YEAR
- - - - (136,506) (178,041) (314,547) 1,277 (313,270)
Transfer from revaluation reserve to retained
earnings
- - - (77,972) 77,972 -
- - -
Dividends declared by the Parent (Note 34) - - - - (30,000) -
(30,000) - (30,000)
Non-controlling interests arising in a business
combination
- - - - 83 -
83 1,524 1,607
Translation dierences on revaluation reserve - - - (135,481) 135,481 -
-
-
-
BALANCE AT 31 DECEMBER 2020 284,505 (44,593) 174,022 648,982 1,195,143 (1,020,229) 1,237,830 16,373 1,254,203
Profit for the year - - - - 375,511 -
375,511
17,827
393,338
Other comprehensive income - - - 209,332 - 1,715
211,047
5,531
216,578
TOTAL COMPREHENSIVE INCOME FOR THE
YEAR
209,332 375,511 1,715 586,558 23,358 609,916
Transfer from revaluation reserve to retained
earnings
- - - (70,240) 70,240 -
-
- -
Dividends declared by the Parent (Note 34) - - - - (60,000) -
(60,000)
-
(60,000)
Dividends declared by subsidiaries - - - - - -
-
(10 819)
(10 819)
Non-controlling interests arising in a business
combination
- - - - - -
-
888
888
Translation dierences on revaluation reserve - - - 23,610 (23,610) -
-
- -
BALANCE AT 31 DECEMBER 2020 284,505 (44,593) 174,022 811,684 1,557,284 (1,018,514) 1,764,388 29,800 1,794,188
The accompanying notes on the pages 98 to 155 form an integral part of these consolidated financial statements
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
for the year ended 31 December 2021 (in thousands of US dollars, unless otherwise indicated)
On behalf of the Board:
Chief Executive Ocer
Yuriy Kosyuk
Chief Financial Ocer
Viktoria Kapelyushnaya
Statement Of The Board Of Directors’

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102
STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
NOTES 2021 2020
OPERATING ACTIVITIES
Profit/(loss) before tax 403,709 (136,707)
Loss before tax from discontinued operations (3,457) (1,482)
Non-cash adjustments to reconcile profit before tax to net cash flows
Depreciation and amortization expense 5 192,858 192,103
Net change in fair value of biological assets and agricultural produce 5 (184,926) (30,502)
Change in allowance for unrecoverable amounts and direct write-os (4,059) 16,912
Loss on impairment of property, plant and equipment 14 10,607 1,730
Loss on disposal of property, plant and equipment and other non-current assets 6,157 42
Finance income (10,531) (13,584)
Finance costs 12 150,424 144,257
Released deferred (expense)/income 711 (1,739)
Non-operating foreign exchange gain/(loss), net (40,466) 203,664
OPERATING CASH FLOWS BEFORE MOVEMENTS IN WORKING CAPITAL 521,027 374,694
Working capital adjustments
Change in inventories (118,568) (55,580)
Change in biological assets (22,908) (19,429)
Change in agricultural produce (65,785) (36,975)
Change in prepayments made (29,997) (4,160)
Change in other financial current assets (7,800) 1,695
Change in taxes recoverable and prepaid (11,647) (32,469)
Change in trade accounts receivable (39,656) (4,310)
CONSOLIDATED STATEMENT OF CASH FLOWS
for the year ended 31 December 2021 (in thousands of US dollars, unless otherwise indicated)
The accompanying notes on
the pages 98 to 155 form
an integral part of these
consolidated financial
statements
Statement Of The Board Of Directors’

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
NOTES 2021 2020
WORKING CAPITAL ADJUSTMENTS (continued)
Change in advances received 30,651 (37,306)
Change in other financial current liabilities 2,980 28,514
Change in trade accounts payable 17,641 6,408
CASH GENERATED BY OPERATIONS 275,938 221,082
Interest received 10,170 9,803
Interest paid (148,051) (144,926)
Income taxes paid (13,258) (15,274)
NET CASH FLOWS FROM OPERATING ACTIVITIES 124,799 70,685
Investing activities
Purchases of property, plant and equipment (140,074) (72,793)
Purchases of other non-current assets (2,825) (2,106)
Purchases of intangible assets (12,625) (3,996)
Proceeds from disposals of property, plant and equipment 4,652 3,545
Proceeds from disposals of assets held for sale 2,964 2,700
Purchases of non-current biological assets (1,640) (769)
Acquisition of subsidiaries, net of cash acquired 3 (1,840) -
Government grants received 11 142 2,052
Prepayments and capitalized initial direct costs under lease
contracts
(9,737) (7,185)
Investments in short-term deposits (5,563) (1,798)
Withdrawals of short-term deposits 433 390
Loans provided to employees, net (1,158) (1,547)
CONSOLIDATED STATEMENT OF CASH FLOWS
for the year ended 31 December 2021 (in thousands of US dollars, unless otherwise indicated) (continued)
Loans and finance aid provided to related parties (3,694) (57,106)
Loans repaid by related parties 71,000 10,000
NET CASH FLOWS USED IN INVESTING ACTIVITIES (99,965) (128,613)
Financing activities
Proceeds from bank borrowings 329,462 113,154
Repayment of bank borrowings (203,335) (118,387)
Repayment of lease liabilities (20,536) (15,524)
Dividends paid (60,000) (30,000)
Dividends paid by subsidiaries to non-controlling
shareholders
(10,842) (930)
NET CASH FLOWS USED IN FINANCING ACTIVITIES 34,749 (51,687)
Net increase/(decrease) in cash and cash equivalents 59,583 (109,615)
Net foreign exchange dierence on cash and cash
equivalents
(1,925) (13,541)
Cash and cash equivalents at 1 January 217,579 340,735
Cash and cash equivalents at 31 December 25 275,237 217,579
NON-CASH TRANSACTIONS - -
Non-cash repayments of lease liabilities (10,793) (9,134)
Property, plant and equipment purchased for credit 3,445 -
The accompanying notes on the pages 98 to
155 form an integral part of these consolidated
financial statements
On behalf of the Board:
Chief Executive Ocer
Yuriy Kosyuk
Chief Financial Ocer
Viktoria Kapelyushnaya
Statement Of The Board Of Directors’

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE SHAREHOLDER
INFORMATION
FINANCIAL
STATEMENTS
1. CORPORATE INFORMATION
MHP SE (the “Parent” or “MHP SE”), a limited
liability company (Societas Europaea) registered
under the laws of Cyprus, was formed on 30 May
2006. Hereinafter, MHP SE and its subsidiaries
are referred to as the “MHP SE Group” or the
“Group”. The registered address of MHP SE is
16-18 Zinas Kanther Street, Agia Triada, 3035
Limassol, Cyprus. The MHP SE shares are listed
on the London Stock Exchange (“LSE”) in the
form of global depositary receipts (“GDRs”).
The controlling shareholder of MHP SE is
Mr. Yuriy Kosyuk (“Principal Shareholder”),
who owns 100% of the shares of WTI Trading
Limited (“WTI”), which is the immediate majority
shareholder of MHP SE, which in turn directly
owns of 59,7% of the total outstanding share
capital of MHP SE.
The principal business activities of the Group are
poultry and related operations, grain growing, as
well as meat processing and other agricultural
operations. The Group’s poultry and related
operations integrate all functions related to
the production of chicken, including hatching,
fodder manufacturing, raising chickens to
marketable age (“grow-out”), processing and
marketing of branded chilled products and
include the production and sale of chicken
products, vegetable oil and mixed fodder. Grain
growing comprises the production and sale of
grains. Meat processing and other agricultural
operations comprise the production and sale
of cooked meat, sausages, convenience food
products, milk and feed grains.
As of 31 December 2021 the Group employed
30,890 people (31 December 2020: 30,471
people).
The primary subsidiaries, the principal activities
of the companies forming the Group and the
Parent’s eective ownership interest as of 31
December 2021 and 2020 were as follows:
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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STRATEGIC
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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
NAME
COUNTRY OF
REGISTRATION
YEAR
ESTABLISHED/
ACQUIRED
PRINCIPAL ACTIVITIES 31 DECEMBER 2021
31 DECEMBER
2020
Raftan Holding Limited
1
Cyprus 2006 Sub-holding Company - 100.0%
Hemiak Investments Limited
1
Cyprus 2018 Sub-holding Company - 100.0%
Eledem Investments Limited
1
Cyprus 2006 Sub-holding Company - 100.0%
MHP Lux S.A. Luxembourg 2018 Finance Company 100.0% 100.0%
MHP Ukraine 1998 Management, marketing and sales 99.9% 99.9%
Myronivsky Plant of Manufacturing Feeds and Groats Ukraine 1998 Fodder and vegetable oil production 88.5% 88.5%
Vinnytska Ptakhofabryka Ukraine 2011 Chicken farm 100.0% 100.0%
Peremoga Nova Ukraine 1999 Breeder farm 99.9% 99.9%
Oril-Leader Ukraine 2003 Chicken farm 99.9% 99.9%
Myronivska Pticefabrika Ukraine 2004 Chicken farm 99.9% 99.9%
Starynska Ptakhofabryka Ukraine 2003 Breeder farm 100.0% 100.0%
Zernoprodukt MHP Ukraine 2005 Grain cultivation 99.9% 99.9%
Katerinopilskiy Elevator Ukraine 2005 Fodder production and grain storage, vegetable oil production 99.9% 99.9%
SPF Urozhay Ukraine 2006 Grain cultivation 99.9% 99.9%
Agrofort Ukraine 2006 Grain cultivation 99.9% 99.9%
MHP-Urozhayna Krayina Ukraine 2010 Grain cultivation 99.9% 99.9%
Ukrainian Bacon Ukraine 2008 Meat processing 79.9% 79.9%
MHP-AgroKryazh Ukraine 2013 Grain cultivation 51.0% 51.0%
MHP-Agro-S Ukraine 2013 Grain cultivation 51.0% 51.0%
Zakhid-Agro MHP Ukraine 2015 Grain cultivation 100.0% 100.0%
Perutnina Ptuj d.d. Slovenia 2019 Poultry production 100.0% 100.0%
MHP Food Trading
United Arab
Emirates
2016 Trading in vegetable oil and poultry meat 100.0% 100.0%
MHP B.V. Netherlands 2014 Trading in poultry meat 100.0% 100.0%
MHP Trade B.V. Netherlands 2018 Trading in poultry meat 100.0% 100.0%
1
On 19 April 2021 merger of MHP SE with its subsidiaries, namely Raftan Holding ltd, Hemiak Invest-
ments ltd and Eledem Investments ltd, took place. All assets and liabilities of merging companies
have been transferred to the succeeding company MHP SE. Subsidiary companies were dissolved
The Group’s primary operational facilities are located in dierent regions of Ukraine as well
as in Southeast Europe, including Slovenia, Serbia, Croatia and Bosnia and Herzegovina
(represented by Perutnina Ptuj d.d. together with its subsidiaries).
1. CORPORATE INFORMATION (CONTINUED)
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
2. SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES
BASIS OF PRESENTATION AND ACCOUNTING
The consolidated financial statements have
been prepared in accordance with International
Financial Reporting Standards (IFRS) as adopted
by the European Union and the requirements
of the Cyprus Companies Law Cap 113. The
operating subsidiaries of the Group maintain
their accounting records under local accounting
standards.
Local principles and procedures may differ
from those generally accepted under IFRS.
Accordingly, the consolidated financial
statements, which have been prepared from
the Group entities’ local accounting records,
reflect adjustments necessary for such financial
statements to be presented in accordance with
IFRS.
BASIS OF PREPARATION
These consolidated financial statements have
been prepared on the assumption that the
Group is a going concern and will continue in
operation for the foreseeable future.
The consolidated financial statements of the
Group are prepared on the basis of historical
cost except for revalued amounts of buildings
and structures, grain storage facilities,
production machinery, vehicles and agricultural
machinery, biological assets, agricultural
produce, and certain financial instruments,
which are carried at revalued amounts. Historical
cost is generally based on the fair value of the
consideration given in exchange for goods and
services at the date of intitial recognition of an
item.
ADOPTION OF NEW AND REVISED
INTERNATIONAL FINANCIAL REPORTING
STANDARDS
The Group applied for the first time certain
standards and amendments, which are eective
for annual periods beginning on or after 1
January 2021. The Group has not early adopted
any other standard, interpretation or amendment
that has been issued but is not yet eective.
The following standards were adopted by the
Group on 1 January 2021:
•
Interest Rate Benchmark Reform – Phase
2 – Amendments to IFRS 9, IAS 39, IFRS 7,
IFRS 4 and IFRS 16;
•
Covid-19-Related Rent Concessions beyond
30 June 2021 Amendment to IFRS 16.
AMENDMENTS TO IFRS 9, IAS 39, IFRS 7, IFRS
4 AND IFRS 16: PHASE 2 OF INTEREST RATE
BENCHMARK REFORM
The amendments to IFRS 9, IAS 39, IFRS 7,
IFRS 4 and IFRS 16 relate to the modification
of financial assets, financial liabilities and
lease liabilities, specific hedge accounting
requirements, and disclosure requirements
applying IFRS 7 to accompany the amendments
regarding modifications and hedge accounting.
The IASB introduces a practical expedient for
modifications required by the reform. These
modifications are accounted for by updating the
eective interest rate. All other modifications
are accounted for using the current IFRS
requirements.
Under the amendments, hedge accounting is
not discontinued solely because of the IBOR
reform. Hedging relationships (and related
documentation) must be amended to reflect
modifications to the hedged item, hedging
instrument and hedged risk. Amended hedging
relationships should meet all qualifying criteria to
apply hedge accounting, including eectiveness
requirements.
The amendments require that an entity should
also disclose additional information in order
to allow users to understand the nature and
extent of risks arising from the IBOR reform
to which the entity is exposed and how the
entity manages those risks as well as the
entity’s progress in transitioning from IBORs to
alternative benchmark rates, and how the entity
is managing this transition. This amendment
had no impact on the consolidated financial
statements of the Group.
Amendments to IFRS 16: Covid-19 Related
Rent Concessions
On 28 May 2020, the IASB issued Covid-19-
Related Rent Concessions - amendment to IFRS
16 Leases. The amendments provide relief to
lessees from applying IFRS 16 guidance on lease
modification accounting for rent concessions
arising as a direct consequence of the Covid-19
pandemic.
As a practical expedient, a lessee may elect
not to assess whether a Covid-19 related rent
concession from a lessor is a lease modification.
A lessee that makes this election accounts for
any change in lease payments resulting from the
Covid-19 related rent concession the same way
it would account for the change under IFRS 16,
if the change were not a lease modification. In
2021 the IASB extended relief by 12 months to
30 June 2022. This amendment had no impact
on the consolidated financial statements of the
Group.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
STANDARDS AND INTERPRETATIONS IN ISSUE BUT NOT EFFECTIVE
At the date of authorization of these consolidated financial statements, the following Standards and
Interpretations, as well as amendments to the Standards were in issue but not yet eective:
For these Standards and Interpretations management anticipates that their adoption will not have a material
eect on the consolidated financial statements of the Group in future periods.
STANDARDS AND INTERPRETATIONS
EFFECTIVE FOR ANNUAL
PERIOD BEGINNING ON OR
AFTER
A IFRS 17 Insurance Contracts
1
1 January 2023
Amendments to IAS 1 Presentation of Financial Statements:
Classification of Liabilities as Current or Non-current
1 January 2023
Amendments to IAS 1 and IFRS Practice Statement 2:
Disclosure of Accounting Policies
1 January 2023
Amendments to IAS 8: Definition of Accounting Estimates 1 January 2023
Amendments to IAS 12: Deferred Tax related to Assets and
Liabilities arising from a Single Transaction
1 January 2023
Amendments to IAS 16 Property, Plant and Equipment:
Proceeds before Intended Use
1)
1 January 2022
Amendments to IAS 37 Provisions, Contingent Liabilities
and Contingent Assets: Onerous Contracts — Cost of
Fulfilling a Contract
1
1 January 2022
Amendments to IFRS 3 Business Combinations:
Reference to the Conceptual Framework
1
1 January 2022
Annual Improvements to IFRS Standards 2018–2020
1
1 January 2022
FUNCTIONAL AND PRESENTATION CURRENCY
The functional currency of Ukrainian companies
of the Group is the Ukrainian Hryvnia (“UAH”);
the functional currency of the Cyprus companies
and Luxembourg company of the Group is the
US Dollar (“USD”); the functional currency of
the European companies of the Group is the
Euro (“EUR”); the functional currency of the
United Arab Emirates companies is the Dirham
(“AED”). Transactions in currencies other than
the functional currency of the entities concerned
are treated as transactions in foreign currencies.
Such transactions are initially recorded at the
rates of exchange ruling at the dates of the
transactions. Monetary assets and liabilities
denominated in such currencies are translated
at the rates prevailing on the reporting date. All
realized and unrealized gains and losses arising
on exchange dierences are recognised in the
consolidated statement of profit or loss and
other comprehensive income for the period.
These consolidated financial statements are
presented in US Dollars (“USD”), which is the
Group’s presentation currency.
The results and financial position of the Group
are translated into the presentation currency
using the following procedures:
• Assets and liabilities for each consolidated
statement of financial position presented
are translated at the closing rate as of the
reporting date of that statement of financial
position;
•
Income and expenses for each consolidated
statement of profit or loss are translated at
exchange rates at the dates of the trans-
actions;
• Exchange dierences arising on translation
for consolidation are recognised in other
comprehensive income and presented as a
separate component of equity. On disposal
of a foreign operation, the component of
OCI relating to that particular foreign oper-
ation is reclassified to profit or loss;
•
All equity items, except for the revaluation
reserve, are translated at the historical
exchange rate. The revaluation reserve is
translated at the closing rate as of the date
of the statement of financial position.
For practical reasons, the Group translates
items of income and expenses for each period
presented in the financial statements using
the quarterly average exchange rates, if such
translations reasonably approximate the results
translated at exchange rates prevailing at the
dates of the transactions.
1
Standards have been already endorsed for use in the European Union
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
The relevant exchange rates were:
CURRENCY CLOSING RATE AS OF 31 DECEMBER 2021 AVERAGE FOR 2021 CLOSING RATE AS OF 31 DECEMBER 2020 AVERAGE FOR 2020
UAH/USD 27.2782 27.2835 28.2746 26.9639
UAH/EUR 30.9226 32.3009 34.7396 30.8013
USD/EUR 1.1336 1.1839 1.2287 1.1423
BASIS OF CONSOLIDATION
The consolidated financial statements incorporate
the financial statements of MHP SE and its
subsidiaries. Control is achieved when the
Company:
• has power over the investee;
•
is exposed, or has rights, to variable returns
from its involvement with the investee; and
•
has the ability to use its power to aect its
returns.
The Company reassesses whether or not it
controls an investee if facts and circumstances
indicate that there are changes to one or more
of the three elements of control listed above.
Consolidation of a subsidiary begins when the
Company obtains control over the subsidiary and
ceases when the Company loses control of the
subsidiary. Specifically, income and expenses of
a subsidiary acquired or disposed of during the
year are included in the consolidated statement
of profit or loss and other comprehensive income
from the date the Company gains control until
the date when the Company ceases to control
the subsidiary. Profit or loss and each component
of other comprehensive income are attributed
to the owners of the Company and to the non-
controlling interests. Total comprehensive income
of subsidiaries is attributed to the owners of the
Company and to the non-controlling interests even
if this results in the non-controlling interests having
a deficit balance.
All significant intercompany transactions, balances
and unrealized gains or losses on transactions
are eliminated on consolidation, except when
the intragroup losses indicate an impairment that
requires recognition in the consolidated financial
statements.
Where necessary, adjustments are made to the
financial statements of subsidiaries to bring
the accounting policies used in line with those
adopted by the Group.
ACCOUNTING FOR ACQUISITIONS
The acquisitions of subsidiaries from third
parties are accounted for using the acquisition
method. On acquisition, the assets, liabilities and
contingent liabilities of a subsidiary are measured
at their fair values. The consideration transferred
by the Group is measured at fair value, which is
the sum of the acquisition-date fair values of the
assets transferred by the Group, liabilities incurred
by the Group to the former owners of the acquired
subsidiary and the equity interests issued by the
Group in exchange for control of the subsidiary.
Acquisition-related costs are recognised in
the consolidated statement of profit or loss as
incurred.
When the consideration transferred by the Group
in a business combination includes assets and
liabilities resulting from a contingent consideration
arrangement, the contingent consideration is
measured at its acquisition-date fair value and is
included as part of the consideration transferred.
Any contingent consideration to be transferred
by the acquirer will be recognised at fair value
at the acquisition date. Contingent consideration
that is classified as equity is not remeasured and
subsequent settlement is accounted for within
equity. Contingent consideration classified as an
asset or liability that is a financial instrument and
within the scope of IFRS 9 Financial Instruments,
is measured at fair value with changes in fair
value recognised in the statement of profit or
loss in accordance with IFRS 9. Other contingent
consideration that is not within the scope of IFRS
9 is measured at fair value at each reporting date
with changes in fair value recognised in profit or
loss.
Non-controlling interests that are present
ownership interests and entitle their holders to
a proportionate share of the subsidiary’s net
assets in the event of liquidation may be initially
measured either at fair value or at the non-
controlling interests’ proportionate share of the
recognised amounts of the subsidiary’s identifiable
net assets. The choice of measurement basis is
made on a transaction-by-transaction basis.
Other types of non-controlling interests, if any, are
measured at fair value or, when applicable, on the
basis specified in other IFRS standards.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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BUSINESS
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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
ACCOUNTING FOR ACQUISITIONS
(CONTINUED)
Goodwill is measured as the excess of the sum
of the consideration transferred, the amount
of any non-controlling interests in the acquired
subsidiary, and the fair value of the Group’s
previously held equity interest in the acquired
subsidiary (if any) over the net of the acquisition-
date amounts of the identifiable assets acquired
and the liabilities assumed.
If, after reassessment, the net of the acquisition-
date amounts of the identifiable assets acquired
and the liabilities assumed exceeds the sum of
the consideration transferred, the amount of non-
controlling interests in the subsidiary and the fair
value of the Group’s previously-held interest in
the subsidiary (if any), the excess is recognised in
the consolidated statement of profit or loss, as a
bargain purchase gain.
Changes in the Group’s ownership interests in
subsidiaries that do not result in the Group losing
control over the subsidiaries are accounted for as
equity transactions. The carrying amounts of the
Group’s interests and the non-controlling interests
are adjusted to reflect the changes in their
relative interests in subsidiaries. Any dierence
between the amount by which the non-controlling
interests are adjusted and the fair value of the
consideration paid or received is recognised
directly in equity and attributed to owners of the
Parent. In acquisition of a legal entity that does
not constitute a business, the cost of the group
of assets is allocated between the individual
identifiable assets in the group based on their
relative fair values.
FAIR VALUE MEASUREMENT
Fair value is the price that would be received to
sell an asset or paid to transfer a liability in an
orderly transaction between market participants
at the measurement date.
The fair value measurement is based on the
presumption that the transaction to sell the asset
or transfer the liability takes place either in the
principal market for the asset or liability, or in
the absence of a principal market, in the most
advantageous market for the asset or liability. The
principal or the most advantageous market must
be accessible by the Group.
The fair value of an asset or a liability is measured
using the assumptions that market participants
would use when pricing the asset or liability,
assuming that market participants act in their
economic best interest.
A fair value measurement of a non-financial asset
takes into account a market participant’s ability to
generate economic benefits by using the asset in
its highest and best use or by selling it to another
market participant that would use the asset in its
highest and best use.
The Group uses valuation techniques that are
appropriate in the circumstances and for which
sucient data are available to measure fair value,
maximizing the use of relevant observable inputs
and minimizing the use of unobservable inputs.
All assets and liabilities for which fair value is
measured or disclosed in the financial statements
are categorized within the fair value hierarchy,
described as follows, based on the lowest
level input that is significant to the fair value
measurement as a whole:
•
Level 1: Quoted (unadjusted) market prices
in active markets for identical assets or lia-
bilities;
•
Level 2: Valuation techniques for which the
lowest level input that is significant to the fair
value measurement is directly or indirectly
observable;
•
Level 3: Valuation techniques for which the
lowest level input that is significant to the fair
value measurement is unobservable.
For assets and liabilities that are recognised in
the financial statements on a recurring basis,
the Group determines whether transfers have
occurred between Levels in the hierarchy by re-
assessing categorization (based on the lowest
level input that is significant to the fair value
measurement as a whole) at the end of each
reporting period.
BORROWING COSTS
Borrowing costs include interest expense, finance
charges on leases and other interest-bearing long-
term payables and debt servicing costs.
Borrowing costs directly attributable to the
acquisition, construction or production of
qualifying assets, which are assets that necessarily
take a substantial period of time to get ready
for their intended use or sale, are added to
the cost of those assets, until such time as the
assets are substantially ready for their intended
use or sale.Investment income earned on the
temporary investment of specific borrowings
pending their expenditure on qualifying assets
is deducted from the borrowing costs eligible
for capitalization. All other borrowing costs are
recognised in the statement of profit or loss and
other comprehensive income in the period in
which they are incurred.
CONTINGENT LIABILITIES AND ASSETS
Contingent liabilities are not recognised in the
consolidated financial statements. Rather, they are
disclosed in the notes to the consolidated financial
statements unless the possibility of an outflow
of resources embodying economic benefits is
remote. Contingent assets are recognised only
when the contingency is resolved.
SEGMENT INFORMATION
Segment reporting is presented on the basis of
management’s perspective and relates to the
parts of the Group that are defined as operating
segments. Operating segments are identified
on the basis of internal reports provided to the
Group’s chief operating decision maker (“CODM”).
The Group has identified its top management team
as its CODM and the internal reports used by the
top management team to oversee operations and
make decisions on allocating resources serve as
the basis of information presented. These internal
reports are prepared on the same basis as these
consolidated financial statements.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
SEGMENT INFORMATION (CONTINUED)
Based on the current management structure, the
Group has identified the following reportable
segments:
• Poultry and related operations;
• Grain growing operations;
•
Meat processing and other agricultural op-
erations;
• Europe operating segment.
Reportable segments represent the Group’s
principal business activities. Poultry and related
operations segment include sales of chicken
meat, sales of by-products such as vegetable oil
and related products and other poultry-related
products. CODM is considering oil extraction
as a part of mixed fodder production rather
than a separate line of business as primarily
quality and effectiveness of mixed fodder
production prevails over oil output. Grain growing
operations include sale of grain other than feed
grains and green-fodder. Meat processing and
other agricultural operations segment primarily
includes sales of other than poultry meat and
meat processing products, feed grains and milk.
The Europe operating segment include sales of
meat processing and chicken meat products in
Southeast Europe.
The Group does not present information on
segment assets and liabilities as the CODM does
not review such information for decision-making
purposes.
NON-CURRENT ASSETS HELD FOR SALE
Non-current assets and disposal groups are
classified as held for sale if their carrying amount
will be recovered principally through a sale
transaction rather than through continuing use.
This condition is regarded as met only when the
asset (or disposal group) is available for immediate
sale in its present condition subject only to terms
that are usual and customary for sales of such
asset (or disposal group) and its sale is highly
probable. Management must be committed to
the sale, which should be expected to qualify for
recognition as a completed sale within one year
from the date of classification.
When the Group is committed to a sale plan
involving loss of control of a subsidiary, all of
the assets and liabilities of that subsidiary are
classified as held for sale when the criteria
described above are met, regardless of whether
the Group will retain a non-controlling interest in
its former subsidiary after the sale.
Non-current assets (and disposal groups) classified
as held for sale are measured at the lower of their
carrying amount and fair value less costs to sell.
REVENUE RECOGNITION
The Group generates revenue primarily from the
sale of agricultural products to the end customers.
Revenue is measured based on the consideration
to which the Group expects to be entitled in a
contract with a customer and excludes amounts
collected on behalf of third parties. The Group
recognises revenue when it transfers control of
a product or service to a customer. Revenue is
adjusted for estimates of known or expected
variable consideration, which includes consumer
incentives, trade promotions, and allowances,
such as rebates, volume-based incentives and
other programs. Variable consideration related
to these programs is recorded as a reduction to
revenue based on amounts the Group expects
to pay. These estimates are based on current
performance, historical utilization, and projected
redemption rates of each program. The Group
reviews and updates these estimates regularly
until the incentives are realized and the impact
of any adjustments are recognized in the period
the adjustments are identified. Non-monetary
exchanges or swaps of goods which are of similar
nature and value are not treated as transactions
which generate revenue.
The Group recognises revenue from the following
major sources:
• chicken meat;
• vegetable oil and related products;
• other poultry related sales (delivery services,
sunflower and soybean meals, sunflower husk
and other)
• grain;
• meat processing products and other meat;
•
other agricultural operations (milk, feed grains
and other).
Revenue is measured based on the consideration
to which the Group expects to be entitled in a
contract with a customer. The Group recognises
revenue at a point in time when it transfers control
of a product or service to a customer.
The major part of the Group’s sales are generated
from the wholesale market. Revenue is recognised
when control of the goods has transferred, being
when the goods have been shipped to the
wholesaler’s specific location or delivered to
major Ukrainian sea ports. Following delivery, the
wholesaler has full discretion over the manner of
distribution and price to sell the goods, has the
primary responsibility when on-selling the goods,
and bears the risks of obsolescence and loss in
relation to the goods. A receivable is recognised
by the Group when the goods are delivered to
the wholesaler as this represents the point in
time at which the right to consideration becomes
unconditional. Under the Group’s standard
contract terms, customers have no right of return.
The Group sells its products for export on various
terms, some of which include shipping and
handling costs in the price of the product. Sales
price of products for local market predominantly
includes shipping and handling costs in the price
of the product.
GOVERNMENT GRANTS
Government grants are recognised as income
over the periods necessary to match them
with the related costs, or as an offset against
finance costs when received as compensation
for the finance costs for agricultural producers.
When the grant relates to an asset, the received
funds are recorded in the Group’s consolidated
financial statements as deferred income, which is
recognised in profit or loss on a systematic basis
over the useful life of the related assets.
Government grants are not recognised until
there is reasonable assurance that the Group will
comply with the conditions attaching to them and
that the grants will be received.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

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STRATEGIC
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BUSINESS
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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
PROPERTY, PLANT AND EQUIPMENT
All groups of property, plant and equipment are
carried at revalued amounts, being their fair value
at the date of the revaluation less any subsequent
depreciation and impairment losses, except land
and other fixed assets that are carried at historical
cost less (for the other fixed assets) accumulated
depreciation.
The historical cost of an item of property, plant
and equipment comprises (a) its purchase price,
including import duties and non-refundable
purchase taxes, after deducting trade discounts
and rebates; (b) any costs directly attributable to
bringing the item to the location and condition
necessary for it to be capable of operating in
the manner intended by the management of
the Group; (c) the initial estimate of the costs of
dismantling and removing the item and restoring
the site on which it is located, the obligation for
which the Group incurs either when the item is
acquired or as a consequence of having used
the item during a particular period for purposes
other than to produce inventories during that
period; and (d) for qualifying assets, borrowing
costs capitalized in accordance with the Group’s
accounting policy.
Subsequently capitalized costs include major
expenditures for improvements and replacements
that extend the useful lives of the assets or
increase their revenue generating capacity.
Repairs and maintenance expenditures that do
not meet the foregoing criteria for capitalization
are charged to the consolidated statement
of profit or loss as incurred. For all groups of
property, plant and equipment carried at revalued
amounts, the revaluations are performed with
sucient regularity such that the carrying amount
does not dier materially from that which would
be determined using fair values at the reporting
date. If the asset’s carrying amount is increased as
a result of a revaluation, the increase is credited
to equity through other comprehensive income as
a revaluation reserve. However, such increase is
recognised in the consolidated statement of profit
or loss to the extent that it reverses a revaluation
decrease of the same asset previously recognised
in the consolidated statement of profit or loss. If
the asset’s carrying amount is decreased as a
result of a revaluation, the decrease is recognised
in the consolidated statement of profit or loss.
However, such decrease is debited to the
revaluation reserve through other comprehensive
income to the extent of any credit balance existing
in the revaluation reserve in respect of that asset.
The carrying amount of asset is adjusted by
eliminating of accumulated depreciation against
gross carrying amount and subsequent increase
or decrease of gross carrying amount to fair value.
Depreciation on revalued assets is charged to
the consolidated statement of profit or loss. The
excess of depreciation charge on the revalued
asset over the depreciation that would have
been charged based on the historical cost of
the asset is transferred from revaluation reserve
directly to retained earnings over the assets useful
life. On the subsequent sale or retirement of a
revalued asset, the attributable revaluation surplus
remaining in the revaluation reserve is transferred
directly to retained earnings. Depreciation of
property, plant and equipment is charged so as to
write o the depreciable amount over the useful
life of an asset and is calculated using a straight
line method. Useful lives of the groups of property,
plant and equipment are as follows:
Buildings and
structures
15 - 55 years
Grain storage
facilities
20 - 60 years
Production
machinery
10 - 25 years
Auxiliary and other
machinery
5 - 25 years
Utilities and
infrastructure
20 - 50 years
Vehicles and
agricultural
machinery
5 - 15 years
Other fixed assets 3 - 10 years
Depreciable amount is the cost of an item of
property, plant and equipment, or revalued
amount, less its residual value. The residual value
is the estimated amount that the Group would
currently obtain from disposal of the item of
property, plant and equipment, after deducting
the estimated costs of disposal, if the asset was
already of the age and in the condition expected
at the end of its useful life.
The residual value, the useful lives and
depreciation method are reviewed at each
financial year-end. The eect of any changes from
previous estimates is accounted for prospectively
as a change in an accounting estimate.
The gain or loss arising on sale or disposal of
an item of property, plant and equipment is
determined as the dierence between the sales
proceeds and the carrying amount of the asset
and is recognised in the consolidated statement
of profit or loss.
Construction in progress comprises costs directly
related to the construction of property, plant and
equipment including an appropriate allocation of
directly attributable variable overheads that are
incurred in construction. Construction in progress
is not depreciated. Depreciation of construction
in progress commences when completed
consruction in progress transferred to the relevant
class of property, plant and equipment.
INTANGIBLE ASSETS
Intangible assets consist primarily of land lease
rights, trademarks and customer relationships
which are acquired in a business combination.
Intangible assets acquired in a business
combination are identified and recognised
separately from goodwill where they satisfy the
definition of an intangible asset. The cost of
such intangible assets is their fair value at the
acquisition date.
Intangible assets assessed as having an indefinite
useful life are not amortised and are examined
for impairment annually or more frequently where
there is an indication of impairment. Where the
carrying amount of an asset is greater than the
amount that it is estimated to be recoverable, it
is written down to its recoverable amount. The
assessment of indefinite life is reviewed annually
to determine whether the indefinite life continues
to be supportable. If not, the change in useful life
from indefinite to finite is made on a prospective
basis.
Notes to the Consolidated Financial Statements
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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GOVERNANCE FINANCIAL
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SHAREHOLDER
INFORMATION
INTANGIBLE ASSETS (CONTINUED)
Subsequent to initial recognition, intangible
assets assessed as having finite useful lives are
reported at cost less accumulated amortization
and accumulated impairment losses. Amortization
of intangible assets is recognised on a straight line
basis over their estimated useful lives. The period
of estimated useful life of intangibles is as follows:
Land lease rights 3 - 15 years
Customer
relationship
20 years
Trademarks not amortised
Other intangible
assets
3 - 10 years
The amortization period and the amortization
method for intangible assets with finite useful lives
are reviewed at least at the end of each reporting
period, with the eect of any changes in estimate
being accounted for on a prospective basis.
An intangible asset is derecognised on disposal,
or when no future economic benefits are expected
from use or disposal. Gains or losses arising from
derecognition of an intangible asset, measured
as the difference between the net disposal
proceeds and the carrying amount of the asset,
are recognised in profit or loss when the asset is
derecognised.
RIGHT-OF-USE ASSETS
Right-of-use assets mainly represents rent of land
from individuals (Ukrainian citizens) for agricultural
purposes. The Group recognises right-of-use
assets at the commencement date of the lease
(i.e., the date the underlying asset is available for
use). Right-of-use assets are measured at cost,
less any accumulated depreciation and impairment
losses, and adjusted for any remeasurement of
lease liabilities. The cost of right-of-use assets
includes the amount of lease liabilities recognized,
initial direct costs incurred and lease payments
made at or before the commencement date less
any lease incentives received. Right-of-use assets
are depreciated over the period of lease term. The
depreciation starts at the commencement date
of the lease. The Group recognises depreciation
of right-of-use assets based on the lease term,
presented within cost of goods sold in the
consolidated statement of profit or loss. The
average maturity of land lease agreements is 7
years.
IMPAIRMENT OF TANGIBLE AND INTANGIBLE
ASSETS OTHER THAN GOODWILL
At each reporting date, the Group reviews the
carrying amounts of its tangible and intangible
assets with definite useful lives to determine
whether there is any indication that those assets
have suffered an impairment loss. If any such
indication exists, the recoverable amount of
the asset is estimated in order to determine the
extent of the impairment loss (if any). Intangible
assets with indefinite useful lives are tested for
impairment annually or more frequently when
there is an indication that they might be impared.
For the purposes of assessing impairment, assets
are grouped at the lowest levels for which there
are separately identifiable cash flows (cash-
generating units). Recoverable amount is the
higher of fair value less costs to sell and value in
use. In assessing value in use, the estimated future
cash flows are discounted to their present value
using a pre-tax discount rate that reflects current
market assessments of the time value of money
and the risks specific to the asset.
If the recoverable amount of an asset (or cash-
generating unit) is estimated to be less than its
carrying amount, the carrying amount of the
asset (cash-generating unit) is reduced to its
recoverable amount. An impairment loss is
recognised immediately in the consolidated profit
or loss unless the relevant asset is carried at a
revalued amount, in which case the impairment
loss is treated as a revaluation decrease through
other comprehensive income.
Where an impairment loss subsequently reverses,
the carrying amount of the asset (cash-generating
unit) is increased to the revised estimate of its
recoverable amount, but so that the increased
carrying amount does not exceed the carrying
amount that would have been determined had
no impairment loss been recognised for the asset
(cash-generating unit) in prior years. A reversal
of an impairment loss is recognised immediately
in the consolidated profit or loss, unless the
relevant asset is carried at a revalued amount, in
which case the reversal of the impairment loss is
treated as a revaluation increase through other
comprehensive income.
IMPAIRMENT OF GOODWILL
For the purposes of impairment testing, goodwill is
allocated to each of the Group’s cash generating
units (or groups of cash-generating units) that
is expected to benefit from the synergies of the
combination.
A cash-generating unit to which goodwill has
been allocated is tested for impairment annually,
or more frequently when there is an indication
that the unit may be impaired. If the recoverable
amount of the cash-generating unit is less than its
carrying amount, the impairment loss is allocated
first to reduce the carrying amount of any goodwill
allocated to the unit and then to the other assets
of the unit pro rata based on the carrying amount
of each asset in the unit. Any impairment loss for
goodwill is recognised directly in the consolidated
profit or loss. An impairment loss recognised on
goodwill is not reversed in subsequent periods.
INCOME TAXES
Income taxes have been computed in accordance
with the laws currently enacted or substantially
enacted in jurisdictions where operating entities
are located. Income tax is calculated based on
the results for the year as adjusted for items that
are non-assessable or non-tax deductible. It is
calculated using tax rates that have been enacted
by the reporting date.
Deferred tax is accounted for using the balance
sheet liability method in respect of temporary
differences arising from differences between
the carrying amount of assets and liabilities in
the consolidated financial statements and the
corresponding tax basis used in the computation
of taxable profit. Deferred tax liabilities are
generally recognised for all taxable temporary
differences and deferred tax assets are
recognised to the extent that it is probable that
taxable profits will be available against which
deductible temporary dierences can be utilized.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
INCOME TAXES (CONTINUED)
The carrying amount of deferred tax assets is
reviewed at the end of each reporting period and
reduced to the extent that it is no longer probable
that sucient taxable profits will be available to
allow all or part of the asset to be recovered.
Deferred tax liabilities and assets are measured
at the tax rates that are expected to apply in the
period in which the liability is settled or the asset
realised, based on tax rates (and tax laws) that
have been enacted or substantively enacted by
the end of the reporting period. The measurement
of deferred tax liabilities and assets reflects the tax
consequences that would follow from the manner
in which the Group expects, at the end of the
reporting period, to recover or settle the carrying
amount of its assets and liabilities.
Deferred tax is charged or credited to the
consolidated statement of profit or loss, except
when it relates to items credited or charged
directly to equity or other comprehensive income,
in which case the deferred tax is also dealt with in
equity or other comprehensive income.
Deferred tax assets and liabilities are oset when:
• The Group has a legally enforceable right to
set o the recognised amounts of current tax
assets and current tax liabilities;
• The Group has an intention to settle on a net
basis, or to realize the asset and settle the
liability simultaneously;
• The deferred tax assets and the deferred tax
liabilities relate to income taxes levied by the
same taxation authority in each future period
in which significant amounts of deferred tax
liabilities and assets are expected to be set-
tled or recovered.
The majority of the Group companies that are
involved in agricultural production (poultry
farms and other entities engaged in agricultural
production) benefit substantially from the status
of an agricultural producer. These companies
are exempt from income taxes and pay the Fixed
Agricultural Tax instead (Note 13).
INVENTORIES
Inventories are stated at the lower of cost and
net realizable value. Costs comprise raw materials
and, where applicable, direct labour costs and
those overheads that have been incurred in
bringing the inventories to their present locations
and condition.
Cost is calculated using the FIFO (first-in, first-
out) method. Net realizable value is determined
as the estimated selling price less all estimated
costs of completion and costs to be incurred in
marketing, selling and distribution. Agriculture
related production process results in production
of joint products: main and by-products. A by-
product arising from the process is measured at
net realizable value and this value is deducted
from the cost of the main product.
BIOLOGICAL ASSETS AND AGRICULTURAL
PRODUCE
Agricultural activity is defined as a biological
transformation of biological assets for sale into
agricultural produce or into additional biological
assets. The Group classifies hatchery eggs, live
poultry and other animals and plantations as
biological assets.
The Group recognizes a biological asset or
agricultural produce when the Group controls the
asset as a result of past events, it is probable that
future economic benefits associated with the asset
will flow to the Group, and the fair value of the
asset can be measured reliably.
Biological assets are stated at fair value less
estimated costs to sell at both initial recognition
and as of the reporting date, with any resulting
gain or loss recognised in the consolidated profit
or loss.
Costs to sell include all costs that would be
necessary to sell the assets, including costs
necessary to get the assets to market.
The dierence between fair value less costs to sell
and total production costs is allocated to biological
assets as of each reporting date as a fair value
adjustment.
The change in this adjustment from one period to
another is recognised as “Net change in fair value
of biological assets and agricultural produce” in
the consolidated profit or loss.
Agricultural produce harvested from biological
assets is measured at its fair value less costs to
sell at the point of harvest. A gain or loss arising
on initial recognition of agricultural produce
at fair value less costs to sell is included in the
consolidated profit or loss.
Based on the above policy, the principal groups
of biological assets and agricultural produce are
stated as follows:
Biological Assets
Broiler chickens
Broilers comprise poultry held for chicken
meat production. The fair value of broilers
is determined by reference to the cash flows
that will be obtained from the sales of 42-day
aged chickens, with an allowance for costs to
be incurred and risks to be faced during the
remaining transformation process.
Breeders held for hatchery eggs production
The fair value of breeders is determined using
the discounted cash flow approach based on
hatchery eggs’ market prices.
Cattle and pigs
Cattle and pigs comprise cattle held for
regeneration of livestock population and
animals raised for milk and beef and pork
meat production. The fair value of livestock is
determined based on market prices of livestock
of similar age, breed and genetic merit. Cattle,
for which market-determined prices or values are
not available and for which alternative estimates
of fair value are determined to be clearly
unreliable, are measured using the present
value of expected net cash flows from the asset
discounted at a current market-determined pre-
tax rate.
Crops in fields
The fair value of crops in fields is determined by
reference to the cash flows that will be obtained
from sales of harvested crops, with an allowance
for costs to be incurred and risks to be faced
during the remaining transformation process.
Hatchery eggs
The fair value of hatchery eggs is determined
by reference to market prices at the point of
harvest.
Notes to the Consolidated Financial Statements
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
BIOLOGICAL ASSETS AND AGRICULTURAL
PRODUCE (CONTINUED)
Agricultural Produce
Dressed poultry, beef and pork
The fair value of dressed poultry, beef and pork
is determined by reference to market prices at
the point of harvest.
Grain
The fair value of fodder grain is determined
by reference to market prices at the point of
harvest.
The Group’s biological assets are classified
into bearer and consumable biological assets
depending upon the function of a particular group
of biological assets in the Group’s production
process. Consumable biological assets are those
that are to be harvested as agricultural produce,
and include hatchery eggs and live broiler
chickens intended for the production of meat, as
well as pork and meat cows. Bearer biological
assets include poultry held for hatchery eggs
production, milk cows and breeding bulls.
FINANCIAL INSTRUMENTS
Financial assets and financial liabilities are
recognised in the Group’s statement of financial
position when the Group becomes a party to the
contractual provisions of the instrument.
Financial assets and financial liabilities of the
Group are represented by cash and cash
equivalents, long-term bank deposits, bank
borrowings, bonds issued and other financial
liabilities. The accounting policies for initial
recognition and subsequent measurement
of financial instruments are disclosed in the
respective accounting policies set out below in
this Note.
Financial assets and financial liabilities are initially
recognised at fair value. Transaction costs that
are directly attributable to the acquisition or issue
of financial assets and financial liabilities (other
than financial assets and financial liabilities at
fair value through profit or loss) are added to or
deducted from the fair value of the financial assets
or financial liabilities, as appropriate, on initial
recognition. Transaction costs directly attributable
to the acquisition of financial assets or financial
liabilities at fair value through profit or loss are
recognised immediately in profit or loss.
FINANCIAL ASSETS
All recognised financial assets are measured
subsequently in their entirety at either amortised
cost or fair value, depending on the classification
of the financial assets.
Classification of financial assets
Debt instruments that meet the following
conditions are measured subsequently at
amortised cost (this category is the most relevant
to the Group):
•
the financial asset is held within a business
model whose objective is to hold financial as
-
sets in order to collect contractual cash flows;
and
•
the contractual terms of the financial asset
give rise on specified dates to cash flows that
are solely payments of principal and interest
on the principal amount outstanding.
Debt instruments that meet the following
conditions are measured subsequently at
FVTOCI:
•
the financial asset is held within a business
model whose objective is achieved by both
collecting contractual cash flows and selling
the financial assets; and
•
the contractual terms of the financial asset
give rise on specified dates to cash flows that
are solely payments of principal and interest
on the principal amount outstanding.
By default, all other financial assets are measured
subsequently at FVTPL.
Financial assets at amortised cost are
subsequently measured using the effective
interest (EIR) method and are subject to
impairment.
The effective interest method is a method of
calculating the amortised cost of a debt instrument
and of allocating interest income over the relevant
period.
The amortised cost of a financial asset is the
amount at which the financial asset is measured at
initial recognition minus the principal repayments,
plus the cumulative amortisation using the
effective interest method of any difference
between that initial amount and the maturity
amount, adjusted for any loss allowance. The
gross carrying amount of a financial asset is the
amortised cost of a financial asset before adjusting
for any loss allowance.
Impairment of financial assets
The Group recognises an allowance for expected
credit losses (ECLs) for all debt instruments not
held at fair value through profit or loss. ECLs
are estimated as the difference between all
contractual cash flows that are due to the Group
in accordance with the contract and all the
cash flows that the Group expects to receive,
discounted at the original eective interest rate.
The amount of expected credit losses is updated
at each reporting date to reflect changes in credit
risk since initial recognition of the respective
financial instrument.
For trade accounts receivable and contract
assets, the Group applies a simplified approach
in calculating ECLs. Therefore, the Group does
not track changes in credit risk, but instead
recognises a loss allowance based on ECLs at
each reporting date. The Group has established
a provision matrix that is based on its historical
credit loss experience, adjusted for forward-
looking factors specific to the debtors and the
economic environment.
For all other financial instruments, the Group
recognises lifetime ECL when there has been
a significant increase in credit risk since initial
recognition. However, if the credit risk on the
financial instrument has not increased significantly
since initial recognition, the Group measures the
loss allowance for that financial instrument at an
amount equal to 12-month ECL.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

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FINANCIAL ASSETS (CONTINUED)
Lifetime ECL represents the expected credit losses
that will result from all possible default events
over the expected life of a financial instrument. In
contrast, 12-month ECL represents the portion of
lifetime ECL that is expected to result from default
events on a financial instrument that are possible
within 12 months after the reporting date.
Significant increase in credit risk
In assessing whether the credit risk on a financial
instrument has increased significantly since
initial recognition, the Group compares the risk
of a default occurring on the financial instrument
at the reporting date with the risk of a default
occurring on the financial instrument at the date
of initial recognition. In making this assessment,
the Group considers both quantitative and
qualitative information that is reasonable and
supportable, including historical experience and
forward-looking information that is available
without undue cost or effort. Forward-looking
information considered includes the future
prospects of the industries in which the Group’s
debtors operate, obtained from economic expert
reports, financial analysts, governmental bodies, as
well as consideration of various external sources
of actual and forecast economic information that
relate to the Group’s core operations.
Irrespective of the outcome of the above
assessment, the Group presumes that the credit
risk on a financial asset has increased significantly
since initial recognition when contractual
payments are more than 30 days past due, unless
the Group has reasonable and supportable
information that demonstrates otherwise.
Low credit risk financial instruments
Despite the foregoing, the Group assumes that
the credit risk on a financial instrument has not
increased significantly since initial recognition
if the financial instrument is determined to have
low credit risk at the reporting date. A financial
instrument is determined to have low credit risk if:
•
The financial instrument has a low risk of
default,
• The debtor has a strong capacity to meet its
contractual cash flow obligations in the near
term, and
•
Adverse changes in economic and business
conditions in the longer term may, but will not
necessarily, reduce the ability of the borrower
to fulfil its contractual cash flow obligations.
Default definition
The Group considers that default has occurred
when a financial asset is more than 90 days
past due unless the Group has reasonable and
supportable information to demonstrate that a
more lagging default criterion is more appropriate.
Credit impaired financial assets
A financial asset is credit-impaired when one or
more events that have a detrimental impact on the
estimated future cash flows of that financial asset
have occurred. Evidence that a financial asset is
credit-impaired includes observable data about
the following events:
•
significant financial diculty of the issuer or
the borrower;
•
a breach of contract, such as a default or past
due event;
•
the lender(s) of the borrower, for economic or
contractual reasons relating to the borrower’s
financial diculty, having granted to the bor-
rower a concession(s) that the lender(s) would
not otherwise consider;
•
it is becoming probable that the borrower will
enter bankruptcy or other financial reorgani-
sation; or
•
the disappearance of an active market for that
financial asset because of financial diculties.
Write-o policy
The Group writes o a financial asset when there
is information indicating that the debtor is in
severe financial diculty and there is no realistic
prospect of recovery, e.g. when the debtor has
been placed under liquidation or has entered into
bankruptcy proceedings, or in the case of trade
accounts receivable, when the amounts are over
three years past due, whichever occurs sooner.
Financial assets written o may still be subject
to enforcement activities under the Group’s
recovery procedures, taking into account legal
advice where appropriate. Any recoveries made
are recognised in profit or loss.
Inputs, assumptions and estimation techniques
used by measurement and recognition of
expected credit losses are disclosed in respective
Notes 18 and 23 on financial assets.
FINANCIAL LIABILITIES
Initial recognition and measurement
The Group’s financial liabilities include loans
and borrowings, leases and derivative financial
instruments.
Financial liabilities are recognised initially at
fair value and are measured subsequently at
amortised cost using the eective interest method.
The effective interest method is a method of
calculating the amortised cost of a financial
liability and of allocating interest expense over the
relevant period. The eective interest rate is the
rate that exactly discounts estimated future cash
payments (including all fees and points paid or
received that form an integral part of the eective
interest rate, transaction costs and other premiums
or discounts) through the expected life of the
financial liability, or (where appropriate) a shorter
period, to the amortised cost of a financial liability.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

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FINANCIAL LIABILITIES (CONTINUED)
Derecognition of financial liabilities
The Group derecognises financial liabilities
when, and only when, the Group’s obligations
are discharged, cancelled or have expired.
The difference between the carrying amount
of the financial liability derecognised and the
consideration paid and payable is recognised in
profit or loss.
When the Group exchanges with the existing
lender one debt instrument into another one with
the substantially dierent terms, such exchange
is accounted for as an extinguishment of the
original financial liability and the recognition of a
new financial liability. Similarly, the Group accounts
for substantial modification of terms of an existing
liability or part of it as an extinguishment of the
original financial liability and the recognition of
a new liability. It is assumed that the terms are
substantially dierent if the discounted present
value of the cash flows under the new terms,
including any fees paid net of any fees received
and discounted using the original eective rate is
at least 10 per cent dierent from the discounted
present value of the remaining cash flows of the
original financial liability. If the modification is not
substantial, the dierence between: (1) the carrying
amount of the liability before the modification;
and (2) the present value of the cash flows after
modification should be recognised in profit or loss
as the modification gain or loss.
TRADE ACCOUNTS RECEIVABLE
Trade accounts receivable is recognised if an
amount of consideration that is unconditional is
due from the customer. Trade accounts receivable
that do not contain a significant financing
component are measured at the transaction price.
CASH AND CASH EQUIVALENTS
Cash and cash equivalents include cash on hand,
cash with banks, deposits and government bonds
with maturity of less than three months from the
date of acquisition.
BANK BORROWINGS, CORPORATE BONDS
ISSUED AND OTHER LONG-TERM PAYABLES
Interest-bearing bank borrowings, bonds issued
and other long-term payables are initially
measured at fair value that is calculated by
taking into account any discount or premium on
acquisition and fees or costs that are an integral
part of the eective interest rate (EIR). They are
subsequently measured at amortised cost using
the EIR method, where amortization is included
as finance costs in the statement of profit or loss.
Gains and losses are recognised in profit or loss
when the liabilities are derecognised as well as
through the EIR amortisation process.
DERIVATIVE FINANCIAL INSTRUMENTS
The Group enters into derivative financial
instruments to purchase sunflower seeds and
sales of grains. Derivatives are initially recognised
at fair value at the date the derivative contracts
are entered into and subsequently remeasured to
their fair value at the end of each reporting period.
The resulting gain or loss is recognised in profit or
loss immediately.
TRADE AND OTHER ACCOUNTS PAYABLE
Accounts payable are measured at initial
recognition at fair value, and are subsequently
measured at amortised cost using the eective
interest rate method.
LEASE LIABILITIES
The Group assesses whether a contract is or
contains a lease, at inception of the contract.
The Group recognises lease liabilities in the
consolidated statement of financial position,
initially measured at the present value of future
lease payments. The Group does not apply the
short term and low-value lease exemptions.
The Group measures the lease liability at the
present value of the lease payments that are not
paid at the commencement date, discounted by
using the incremental borrowing rate, because
the interest rate implicit in the lease is not readily
determinable. The incremental borrowing rate
is defined as the rate of interest that the lessee
would have to pay to borrow over a similar term,
and with a similar security the funds necessary to
obtain an asset of a similar value to the right of use
asset in a similar economic environment.
The lease liability is presented as a separate line
in the consolidated statement of financial position.
The lease liability is subsequently measured by
increasing the carrying amount to reflect interest
on the lease liability and by reducing the carrying
amount to reflect the lease payments made. The
Group recognises interest on lease liabilities
and presents it within interest expenses in the
consolidated profit or loss.
The Group remeasures the lease liability (and
makes a corresponding adjustment to the related
right-of-use asset) whenever:
•
The lease term has changed or there is a
change in the assessment of exercise of a
purchase option, in which case the lease
liability is remeasured by discounting the
revised lease payments using a revised dis-
count rate.
• The lease payments change due to changes
in an index or rate or market rate, in which
cases the lease liability is remeasured by dis-
counting the revised lease payments using
the initial discount rate (unless the lease pay-
ments change is due to a change in a floating
interest rate, in which case a revised discount
rate is used).
A lease contract is modified and the lease
modification is not accounted for as a separate
lease, in which case the lease liability is
remeasured by discounting the revised lease
payments using a revised discount rate.
In the statement of cash flows the Group separates
the total amount of cash paid into a principal
portion (presented within financing activities) and
interest (presented within operating activities).
Provisions
Provisions are recognised when the Group has
a present legal or constructive obligation (either
based on legal regulations or implied) as a result
of past events, and it is probable that an outflow of
resources will be required to settle the obligation
and a reliable estimate of the obligation can be
made.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

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DISCONTINUED OPERATION
During the year ended 31 December 2021, the
Group disposed of the Ptujska klet, which was
involved in wine production and distribution
located in Slovenia, and was previously presented
within Europe Operating Segment. Net assets as
of the date of disposal amounted to USD 4,852
thousand. The total cash consideration amounted
to USD 2,293 thousand, which was received
during this reporting period.
During the year ended 31 December 2021, the
Group disposed of the assets of its subsidiary
Dobropilskyi GPP PrJSC, which was located in
Ukraine and carried out grain storage operations,
and was previously presented within Poultry and
Related Operations Segment. The net assets as
of the date of disposal amounted to USD 620
thousand. Before sale the property plant and
equipment included in the net assets disposed
were impaired by USD 4,105 thousand. Impairment
was recognized as a decrease in revaluation
reserve related to those property, plant and
equipment. The total cash consideration amounted
to USD 671 thousand, which was received during
this reporting period.
During the year ended 31 December 2020, the
Group disposed of the Snyatynska poultry farm,
which carried out goose meat and foie gras
operations located in Ukraine, and was previously
presented within Meat Processing and Other
Agricultural Operations Segment. Net assets as
of the date of disposal amounted to USD 3,303
thousand. The total cash consideration amounted
to USD 2,700 thousand, which was received
during this reporting period.
Discontinued operations are excluded from
the results of continuing operations and are
presented as a single amount as profit or loss
after tax from discontinued operations in the
consolidated statement of profit or loss. All other
notes to the financial statements include amounts
for continuing operations, unless otherwise
mentioned.
ACQUISITIONS
On 01 June 2021, the Group acquired a 51% share
in the company Lubnym`yaso LLC, a Ukrainian
meat production plant, whose main economic
activity is the production and sale of beef meat
under the trade mark Scott Smeat. As of the date
of acquisition, the net assets of the acquired
meat production plant amounted to USD 1,800
thousand. Purchase consideration of the acquired
share amounted to USD 1,840 thousand and was
paid in cash. Goodwill in the amount of USD 921
thousand is attributable to the expectation that this
acquisition will support strategic transformation to
a culinary company through launch of additional
products.
In the application of the Group’s accounting
policies, which are described in Note 2,
management is required to make judgements,
estimates and assumptions about the carrying
amounts of assets and liabilities that are not
readily apparent from other sources. The
estimates and associated assumptions are based
on historical experience and other factors that are
considered to be relevant. Actual results may dier
from these estimates.
The estimates and underlying assumptions are
reviewed on an ongoing basis. Revisions to
accounting estimates are recognised in the period
in which the estimate is revised if the revision
aects both current and future periods.
CRITICAL JUDGEMENTS IN APPLYING
ACCOUNTING POLICIES
The following are the critical judgments, apart
from those involving estimations (see below), that
management has made in the process of applying
the Group’s accounting policies and that have the
most significant eect on the amounts recognised
in the consolidated financial statements.
Going concern
On February 24, 2022, Russian forces began
a military invasion of Ukraine resulting in a full-
scale war across the Ukrainian state (the “War”).
Focused on continuity and sustainability of its
business and the preservation of value for all
stakeholders, the Group has concentrated on
two key areas: the safety of its employees and
the food security of the country by prioritizing a
continuous supply of food to the population of
Ukraine.
As a result of the War, MHP has experienced a
number of significant disruptions and operational
issues within its business, which are described in
details in Note 33 Operating Environment and in
Note 39 Subsequent Events.
The currently known impacts of the War on the
Group are:
• the Group’s poultry production facilities have
not suered any physical damage;
•
a stock of poultry products worth USD 6.1 mil-
lion was destroyed by a Russian missile strike
on a rented warehouse in the Kyiv region;
•
escalation of the situation in the Donetsk
region increases the risks and dangers to
the security of the Group’s employees’ in
that region. MHP has decided to temporari-
ly suspend operations of “Ukrainian Bacon”
(a meat-processing operation with 34,000
tonnes annual capacity located in the Donetsk
region);
•
all of the Group’s other inventories are in
good condition and in safe storage;
• since the War began, MHP has provided hu-
manitarian aid to the population of Ukraine
through supply of over 11,000 tonnes of poul-
try products pro bono;
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
3. CHANGES IN THE GROUP STRUCTURE 4. CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF
ESTIMATION UNCERTAINTY

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Going concern (continued)
•
the Group is able to continue operations on
the majority of its land bank although, with up
to 2,000 hectares in the Sumy region being
temporarily inaccessible to the Group, MHP’s
sowing campaign cannot be conducted in this
region according to the schedule;
•
MHP continues commercial poultry sales in
Ukraine almost at the pre-War level, despite
domestic deliveries in some regions having
been and continuing to be significantly dis-
rupted due to active hostilities;
• export sales reduced significantly due to clo-
sure of all Ukrainian seaports. Only certain
roads and railways are now available for ex-
port;
•
the Group’s European operations at Perutnina
Ptuj have not been aected in any way by
events in Ukraine as they are fully indepen-
dent and self-sucient from an operational
and supply chain perspective, and continue
to produce at full capacity;
• most of the Group’s existing undrawn financ-
ing facilities are not available (including USD
154 million) due to liquidity constraints in the
Ukrainian banking system.
In response to these matters, the Group has taken
the following actions:
•
optimized utilization of production facilities
to meet domestic demand and part of export
orders; the Group is maintaining the level of
inventories necessary to allow it to return to
normal production capacity as soon as prac-
tically possible;
•
delivering exports via alternative routes, in-
cluding by road and rail, although this is prob-
lematic due to logistical issues caused by in-
frastructure damage and low capacity;
•
the spring sowing campaign has already
been started; the Group has sucient seeds,
fertilisers, fuel, pesticides and other inputs
required for the sowing season, as well as
the necessary vehicles, agricultural machin-
ery and human resources. In total, the Group
now plans to harvest around 340 thousand
hectares of its Ukrainian landbank (spring and
winter crops) in 2022;
•
in order to continue to provide Ukrainians
with products under its “Bashchynsky” brand,
which were originally produced at “Ukrainian
Bacon”, the Group is working actively to com
-
mission similar production sites at other MHP
facilities as well as organise production of
“Ukrainian Bacon” products in facilities rented
from other Ukrainian meat processors;
• selling, general and administrative and other
operating expenses, as well as CAPEX, have
been reduced to the minimum required to
meet the primary needs of the Group’s core
business;
•
to preserve cash for operational priorities, on
30 March 2022 the Group received consent
from holders of its Eurobonds to postpone the
semi-annual interest payments due in Spring
2022 on each of its 2024, 2026 and 2029
Notes for a period up to 270 days;
•
in response to non-availability of undrawn
bank financing facilities, and to protect work-
ing capital requirements, the Group has al-
ready requested its bank lenders to agree to
a general postponement of debt servicing in
the current environment for a period of up to
270 days on conditions referred in Note 29;
•
the Directors have decided not to declare a
final dividend for the 2021 financial year.
Management have prepared and reviewed with
the Directors updated financial forecasts, including
cash flow projections, for the twelve months from
the date of approval of these financial statements,
taking into consideration most likely and possible
downside scenarios for the ongoing business
impacts of the War.
These forecasts were based on the following key
assumptions:
• further development of the War and the mili-
tary invasion of Ukraine will enable utilization
of at least 60% of MHP’s poultry production
facilities;
•
ability to run sowing and harvesting cam-
paigns on at least 290 thousand hectares of
the Company’s land bank;
•
all of the Group’s assets remain safe and in
good condition;
•
remaining logistic routes (rail and road) will
continue to be available;
• MHP will be able to procure sucient levels
of vitamins and minerals for production of
feed as well as the required volume of plant
protection materials, fuel and other inputs for
grain growing;
•
MHP will be able to successfully complete
postponement of debt servicing with its bank
lenders referred above.
These forecasts indicate that, taking account of
reasonably possible downsides, the Group has
adequate resources to continue in operational
existence for the foreseeable future. The Directors
have therefore concluded that it is appropriate to
apply the going concern basis of accounting in
preparing the 2021 financial statements. However,
due to the currently unpredictable eects of the
ongoing War on the significant assumptions
underlying management forecasts, the Directors
have concluded that a material uncertainty exists,
which may cast significant doubt about the
Group’s ability to continue as a going concern and,
therefore, the Group may be unable to realize its
assets and discharge its liabilities in the normal
course of business.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
4. CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF
ESTIMATION UNCERTAINTY

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Determination of variable lease payments
As described in Note 2, the Group measures
lease liabilities at the present value of future
lease payments, discounted using the lessee’s
incremental borrowing rate. Future lease
payments consist of both fixed payments
(including in-substance fixed payments) and
variable lease payments that depend on an index
or rate, including payments that vary to reflect
changes in market rental rates. Management
are required to make significant judgement in
determining whether variable lease payments
depend on an index or rate. Regardless of the
lease payments stated in the lease contracts,
customary business practices complement the
contractual terms in a way that at each particular
date the rate is a market rate. Since the entire
market operates on the basis of expectations
of a periodic revision of rates (based on current
market rates), Management has concluded that the
rates are determined by the market mechanism.
In substance, non-contractual changes in lease
payments are driven by competitive forces and
changes in payments are based on the average
changes of lease payments in the region, which
means that the variable component of lease
payments depends on a market index.
Revaluation of property, plant and equipment
As described in Note 2, the Group applies the
revaluation model to the measurement of all
groups of property, plant and equipment, except
land and other fixed assets (Note 14). At each
reporting date, the Group carries out a review of
the carrying amount of items of property, plant
and equipment accounted for using a revaluation
model to determine whether the carrying amount
diers materially from fair value. When determining
whether to perform a fair value assessment
in a given period, Management considers
development of macroeconomic indicators
including changes in prices (producer price
indices, price indices for non-residential buildings,
transport facilities, utilities and other engineering
structures), inflation rates, GDP growth rates and
changes of the Ukrainian Hryvnia (“UAH”) against
USD and EUR.
Also, dierent internal and external factors such
as changes in political, legislative, economic
situation are reviewed. Based on the results
of this review, Management concluded that
grain storage facilities, vehicles and agricultural
machinery, production machinery, auxiliary and
other machinery should be revalued as of 31
December 2021. Management also concluded that
the fair value of buildings and structures, utilities
and infrastructure was not materially dierent from
the reported book values as of 31 December 2021,
so that no revaluation was required.
KEY SOURCES OF ESTIMATION UNCERTAINTY
The following are the key assumptions concerning
the future, and other key sources of estimation
uncertainty at the end of the reporting period
that have a significant risk of causing a material
adjustment to the carrying amounts of assets and
liabilities within the next financial year.
Impairment of goodwill and intangibles not
amortised
As disclosed in Notes 16 and 17, the Group
determines at least on an annual basis whether
indefinite life intangible assets and goodwill have
been impaired. This requires an estimate of an
asset’s recoverable amount which is the higher
of an asset’s or cash generating unit’s (CGU’s)
fair value less costs of disposal and its value in
use and it is determined for an individual asset,
unless the asset does not generate cash inflows
that are largely independent of those from other
assets or groups of assets. Estimating a value-
in-use amount requires management to make an
estimate of the expected future cash flows from
the cash generating unit and also to choose a
suitable discount rate and growth rates in order
to calculate the present value of those cash flows.
The Group constantly monitors climate-related
matters aecting the value-in-use of intangibles
and goodwill. At the current time, there are no
material eects that will impact the Group. The
Group will adjust the key assumptions used in
value-in-use calculations should a change be
required.
Determination of incremental borrowing rate
As described in Note 2, the Group uses
incremental borrowing rate as discounting factor
for the purpose of calculation of lease liability,
if the rate implicit in the lease is not readily
determinable. Incremental borrowing rate is
determined as the available rate for the Group
adjusted for specifics of particular lease contracts.
Fair value less costs to sell of biological assets
and agricultural produce
Biological assets are recorded at fair values less
costs to sell. The Group estimates the fair values
of biological assets based on the following key
assumptions:
•
Average meat output for broilers and livestock
for meat production;
•
Average productive life of breeders and cattle
held for regeneration and milk production;
• Expected crops output;
• Estimated changes in future sales prices;
• Projected production costs and costs to sell;
and,
• Discount rate.
During the year ended 31 December 2021 the fair
value of biological assets was estimated using
discount factors of 15.4% and 13.6% (31 December
2020: 11.2% and 11.5%) for non-current and current
assets, respectively.
Although some of these assumptions are obtained
from published market data, the majority of these
assumptions are estimated based on the Group’s
historical and projected results (Note 19 ).
In determining fair value measurement, the impact
of potential climate-related matters, including
legislation, climate change, and company
climate objectives which may aect the fair value
measurement of biological assets and agricultural
produce has been considered. At present, the
impact of climate-related matters is not material
to the Group’s financial statements.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
4. CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF
ESTIMATION UNCERTAINTY

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STATEMENTS
SHAREHOLDER
INFORMATION
Revaluation of property, plant and equipment
During the year ended 31 December 2021,
Management appointed an independent appraiser
to perform a revaluation of grain storage facilities,
vehicles and agricultural machinery, auxiliary and
other machinery as of 31 December 2021.
The independent appraiser has performed
the valuation in accordance with International
Valuation Standards applying the following
techniques:
•
depreciated replacement cost for grain
storage facilities;
•
market comparable approach for vehicles and
agricultural machinery; and
•
depreciated replacement cost and market
comparable approach, if applicable, for auxil-
iary and other machinery
Key assumptions used by the independent
appraiser in assessing the fair value of property,
plant and equipment using the depreciated
replacement cost and market comparable
methods were as follows:
• changes in market prices of assets and con-
struction materials from the date of their ac-
quisition/construction/date of previous valua-
tion to the date of this valuation;
• external market prices for vehicles;
• normative and remaining useful lives; and
• rates of physical depreciation.
The results of revaluation based on the
depreciated replacement cost and market
comparable approaches were compared with
a revaluation performed using the income
approach to check for impairment indicators of
revalued assets, if any. For all CGUs in Ukraine
the Group used a discount factor of 13.6% and
terminal growth rate of 5.6 % for projected cash
flows beyond the five-year projected period for
revaluation performed using the income approach.
For CGUs in Poultry and Related Operations
Segment, Grain Growing Operations Segment
and Meat Processing and Other Agricultural
Operations Segment the revenue growth rates
within the five-year period are 5.5%, 1.7% and 4.6%,
respectively.
IIn determining fair value measurement, the impact
of potential climate-related matters, including
legislation, climate change, and Company
climate objectives which may aect the fair value
measurement of property, plant and equipment
has been considered. At present, the impact
of climate-related matters is not material to the
Group’s financial statements.
Useful lives of property, plant and equipment
The estimation of the useful life of an item of
property, plant and equipment is a matter of
management estimate based upon experience
with similar assets. In determining the useful life
of an asset, Management considers the expected
usage, estimated technical obsolescence, physical
wear and tear, the physical environment in which
the asset is operated and other factors (including
climate-related matters). Changes in any of these
conditions or estimates may result in adjustments
for future depreciation rates.
Deferred tax assets
Deferred tax assets, including those arising from
unused tax losses are recognised to the extent
that it is probable that they will be recovered,
which is dependent on the generation of sucient
future taxable profit. Based on management’s
assessment the Group determined it was
appropriate to recognize deferred tax assets
on unused tax losses, which will be utilized in
future against existing deferred tax liabilities and
available future tax profits.
The estimation uncertainty therefore pertains to
the level of deferred tax assets to be recognised.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
4. CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF
ESTIMATION UNCERTAINTY

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STATEMENTS
SHAREHOLDER
INFORMATION
5. SEGMENT INFORMATION
The Group’s business is managed on a worldwide
basis, but operates manufacturing facilities and
sales oces primarily in Ukraine and Europe.
Reportable segments are presented in a manner
consistent with the internal reporting to the
Group’s chief operating decision maker (“CODM”).
Segment information is analysed on the basis
of the types of goods supplied by the Group’s
operating divisions. The Group’s reportable
segments under IFRS 8 are as follows:
Poultry and Related
Operations Segment
Sales of chicken
meat
Sales of
vegetable oil and
related products
Culinary products
and other poultry
related sales
Grain Growing
Operations
Segment
Sales of grain
Meat Processing and
Other Agricultural
Operations Segment
Sales of meat
processing
products and
other meat
Other agricultural
operations (milk,
feed grains and
other)
European Operating
Segment
Sales of meat
processing and
chicken meat
products in
Southeast Europe
The accounting policies of the reportable
segments are the same as the Group’s accounting
policies described in Note 2. Sales between
segments are carried out at market prices.
The segment result represents operating
profit under IFRS before unallocated corporate
expenses and loss on impairment of property,
plant and equipment. Unallocated corporate
expenses include management remuneration,
representative expenses, and expenses incurred
in respect of the maintenance of oce premises.
This is the measure reported to the CODM for the
purposes of resource allocation and assessment
of segment performance.
European Operating Segment primarily includes
sales of chicken meat and meat processing
products, produced in the facilities of Perutnina
Ptuj. However, the CODM manages this as a single
segment, on the basis that each of research,
development, manufacture, distribution and selling
of chicken meat and meat processing products
requires single marketing strategies, centralised
budgeting process and centralised management
of production operations.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
As of 31 December 2021 and for the year then ended the Group’s segmental information from continuing
operations was as follows:
YEAR ENDED
31 DECEMBER 2021
POULTRY
AND RELATED
OPERATIONS
GRAIN GROWING
OPERATIONS
MEAT PROCESSING
AND OTHER
AGRICULTURAL
OPERATIONS
EUROPEAN
OPERATING
SEGMENT
TOTAL
REPORTABLE
SEGMENTS
ELIMINATIONS CONSOLIDATED
External sales 1,607,067 188,344 176,264 400,587 2,372,262 - 2,372,262
Sales between segments 67,752 312,277 522 - 380,551 (380,551) -
TOTAL REVENUE 1,674,819 500,621 176,786 400,587 2,752,813 (380,551) 2,372,262
SEGMENT RESULT 170,424 325,812 4,339 48,136 548,711 - 548,711
Unallocated corporate expenses - - - - - - (32,101)
Loss on impairment of property,
plant and equipment
4
(4,635) (1,832) (312) (3,642) (10,421) - (10,607)
Other expenses, net
1
- - - - - - (102,294)
PROFIT BEFORE TAX FROM
CONTINUING OPERATIONS
- - - - - - 403,709
OTHER INFORMATION
Additions to property, plant and
equipment
2
92,663 26,247 1,267 24,639 144,816 - 144,816
Depreciation and amortization
expense
3
96,482 71,377 6,245 17,436 191,540 - 191,540
Net change in fair value of
biological assets and agricultural
produce
13,871 169,057 (1,096) 3,094 184,926 - 184,926
5. SEGMENT INFORMATION (CONTINUED)
1
Include finance income, finance costs, foreign exchange loss, net and other expenses, net.
2
Additions to property, plant and equipment in 2021 do not include unallocated additions in the amount of USD 10,442
thousand.
3
Depreciation and amortization for the year ended 31 December 2021 does not include unallocated depreciation and
amortization in the amount of USD 1,318 thousand.
4
Loss on impairment of property, plant and equipment for the year ended 31 December 2021 includes unallocated loss in
the amount of USD 186 thousand.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
As of 31 December 2020 and for the year then ended the Group’s segmental information from continuing
operations was as follows:
YEAR ENDED 31
DECEMBER 2020
POULTRY
AND RELATED
OPERATIONS
GRAIN GROWING
OPERATIONS
MEAT PROCESSING
AND OTHER
AGRICULTURAL
OPERATIONS
EUROPEAN
OPERATING
SEGMENT
TOTAL
REPORTABLE
SEGMENTS
ELIMINATIONS CONSOLIDATED
External sales 1,297,904 133,713 144,472 335,048 1,911,137 - 1,911,137
Sales between segments 41,642 213,419 387 - 255,448 (255,448) -
TOTAL REVENUE 1,339,546 347,132 144,859 335,048 2,166,585 (255,448) 1,911,137
SEGMENT RESULT 95,797 80,866 13,284 37,718 227,665 - 227,665
Unallocated corporate expenses - (24,814)
Loss on impairment of property,
plant and equipment
- - - (1,730) (1,730) - (1,730)
Other expenses, net
1
- - - - - - (337,828)
LOSS BEFORE TAX FROM
CONTINUING OPERATIONS
- - - - - - (136,707)
OTHER INFORMATION
Additions to property, plant and
equipment
2
41,192 3,283 743 20,854 66,072 - 66,072
Depreciation and amortization
expense
3
98,138 68,778 6,755 17,316 190,987 - 190,987
Net change in fair value of
biological assets and agricultural
produce
(16,534) 46,078 (97) 1,055 30,502 - 30,502
1
Include finance income, finance costs, foreign exchange gain, net and other expenses, net.
2
Additions to property, plant and equipment in 2020 do not include unallocated additions in the amount of USD 11,274
thousand.
3
Depreciation and amortization for the year ended 31 December 2020 does not include unallocated depreciation and
amortization in the amount of USD 1,116 thousand.
Notes to the Consolidated Financial Statements
5. SEGMENT INFORMATION (CONTINUED)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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SHAREHOLDER
INFORMATION
6. REVENUE
The Group’s export sales to external customers
by major product types were as follows during the
years ended 31 December 2021 and 2020:
2021 2020
Chicken meat
and related
products
769,563 577,255
Vegetable oil and
related products
290,230 274,979
Grain 140,072 114,304
Other agricultural
segment
products
65,564 49,217
1,265,429 1,015,755
Export sales includes revenue from shipping and
handling services in the amount of USD 70,527
thousand as for the year ended 31 December 2021
(2020: USD 56,586 thousand).
Export sales of vegetable oil and related products
and export sales of grains are primarily made to
global trading companies.
The sales of chicken meat to major markets of
the Group - MENA and EU amounted to 38% and
21% of total export sales respectively (2020: 40%
and 22%).
Non-current assets based on the geographic
location of the manufacturing facilities were as
follows as of 31 December 2021 and 31 December
2020:
2021 2020
Ukraine 2,146,434 1,816,045
Europe 261,772 262,912
2,408,206 2,078,957
No single customer contributed more than 10% of
the Group’s revenue in either 2021 or 2020.
Non-current assets excluding deferred tax assets, long-
term deposits and non-current financial assets.
Revenue for the years ended 31 December 2021 and 2020 was as follows:
2021 2020
POULTRY AND RELATED OPERATIONS SEGMENT
Chicken meat 1,223,635 970,183
Vegetable oil and related products 307,541 281,566
Other poultry related sales 75,891 46,155
1,607,067 1,297,904
GRAIN GROWING OPERATIONS SEGMENT
Grain 188,344 133,713
188,344 133,713
MEAT PROCESSING AND OTHER AGRICULTURAL OPERATIONS SEGMENT
Meat-processing products 143,152 114,474
Other agricultural sales 33,112 29,998
176,264 144,472
EUROPEAN OPERATING SEGMENT
Chicken meat 253,404 191,207
Meat-processing products 121,155 117,149
Other agricultural sales 26,028 26,692
400,587 335,048
2,372,262 1,911,137
The geographic structure of revenue for the years ended 31 December 2021 and 2020 was as follows:
2021 2020
Export 1,265,429 1,015,755
Domestic 1,106,833 895,382
2,372,262 1,911,137
Advances received from third parties as of 31 December 2020 in the amount of USD 15,227 were recognized
as revenue during the year ended 31 December 2021.
Notes to the Consolidated Financial Statements
5. SEGMENT INFORMATION (CONTINUED)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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STATEMENTS
SHAREHOLDER
INFORMATION
Cost of sales for the years ended 31 December 2021 and 2020 was as follows:
7. COST OF SALES
2021 2020
Poultry and related operations segment 1,260,528 1,017,223
Grain growing operations segment 96,742 158,655
Meat processing and other agricultural operations segment 157,854 125,148
European operating segment 297,548 243,075
1,812,672 1,544,101
Cost of sales includes shipping and handling expenses and were for the years ended 31 December 2021
and 2020 as follows:
2021 2020
Poultry and related operations segment 75,916 70,465
Grain growing operations segment 19,438 8,672
Meat processing and other agricultural operations segment 4,420 4,572
European operating segment 8,851 8,417
108,625 92,126
Revenue includes shipping and handling costs in the price of the product.
For the years ended 31 December 2021 and 2020 cost of sales comprised the following
2021 2020
Costs of raw materials and other inventory used 1,201,855 1,029,260
Payroll and related expenses 287,210 243,533
Depreciation and amortization expense 172,619 174,410
Other costs 150,988 96,898
1,812,672 1,544,101
Social security contributions, included in Payroll and related expenses above, amounted to USD 45,971
thousand for the year ended 31 December 2021 (2020: USD 39,419 thousand).
Selling, general and administrative expenses for the years ended 31 December 2021 and 2020 were as
follows:
8. SELLING, GENERAL AND ADMINISTRATIVE EXPENSES
2021 2020
Payroll and related expenses 113,377 84,910
Services 55,536 52,633
Depreciation and amortization expense 20,501 17,693
Advertising expense 14,363 12,581
Representative costs and business trips 8,909 8,185
Fuel and other materials used 6,691 4,742
Insurance expense 2,671 1,453
Bank services and conversion fees 749 966
Other 5,386 4,638
228,183 187,801
Payroll and related expenses includes social security contributions which amounted to USD 12,204 thousand
for the year ended 31 December 2021 (2020: USD 8,862 thousand).
Remuneration to the auditors, included in Services above, amounted to USD 1,018 thousand for the year
ended 31 December 2021 (2020: USD 1,000 thousand). This includes both audit and non-audit services,
with the statutory audit fees amounting to USD 885 thousand for the year ended 31 December 2021 (2020:
USD 758 thousand), tax advisory service fees amounting to USD 86 thousand (2020: USD 70 thousand)
and other non-audit services fees amounting to USD 77 thousand for the year ended 31 December 2021
(2020: USD 172 thousand).
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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STATEMENTS
SHAREHOLDER
INFORMATION
Other operating income for the years ended 31 December 2021 and 2020 was as follows:
9. OTHER OPERATING INCOME
2021 2020
Government grants 7,405 7,951
Insurance compensation 1,328 5,466
Gain on write-o of trade accounts payable 1,238 1,015
Other income 1,864 2,094
11,835 16,526
Other operating expenses for the years ended 31 December 2021 and 2020 were as follows:
10. OTHER OPERATING EXPENSES
2021 2020
Charity expenses 7,930 5,963
Loss on sale Property, plant and equipment 992 546
Provision for claims, penalties and indemnification 1,700 12,369
Expected credit losses and write-o of trade accounts receivable - 3,858
Other expenses 936 676
11,558 23,412
The Ukrainian Government supports domestic agricultural producers and attracts investments into
the agricultural sector. Also, during the years ended 31 December 2021 and 2020, the Group received
government compensations in accordance with EU farming subsidies policy and other compensations
in accordance with the EU national programs of employment, assigned contributions for employees, and
refunds of excise duties.
For the years ended 31 December 2021 and 2020 following government grants were received:
11. DEFERRED INCOME
2021 2020
Compensation received in EU 5,997 6,771
Compensation of construction and reconstruction of livestock farms 1,514 1,730
Compensation of the cost of machinery and equipment 50 135
Other compensations 195 187
7,756 8,823
Government grants for compensation of construction and reconstruction of livestock farms and
compensation of cost of machinery and equipment are presented in the Statement of the Financial Position
as deferred income, which is recognised in profit or loss on a systematic basis over the useful life of the
related assets. All other compensations received were recognised in Consolidated Statement of Profit or
Loss and Other Comprehensive Income in full.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
Finance costs for the years ended 31 December 2021 and 2020 were as follows:
12. FINANCE COSTS
2021 2020
Interest on corporate bonds 104,700 105,187
Interest on obligations under leases 45,284 37,692
Interest on bank borrowings 2,163 3,291
Bank commissions and other charges 2,068 2,640
TOTAL FINANCE COSTS 154,215 148,810
Less
Finance costs included in the cost of qualifying assets (3,791) (4,553)
150,424 144,257
For qualifying assets, the weighted average capitalization rate on funds borrowed during the year ended
31 December 2021 was 7.80% (2020: 7.80%).
Interest on corporate bonds for the years ended 31 December 2021 and 2020 includes the amortization
of premium and debt issue costs on bonds issued in the amounts of USD 5,821 thousand and USD 5,331
thousand, respectively.
The majority of the Group’s operating entities are located in Ukraine, therefore the eective tax rate
reconciliation is completed based on Ukrainian statutory rates.
During the year ended 31 December 2021, the Group’s companies that have the status of Corporate
Income Tax (the “CIT”) payers in Ukraine were subject to income tax. The Tax Code of Ukraine introduced
an 18% income tax rate eective from 1 January 2014. The deferred income tax assets and liabilities as of 31
December 2021 and 2020 are measured based on the tax rates expected to be applied to the period when
the temporary dierences are expected to reverse.The majority of the Group companies that are involved
in agricultural production (poultry farms and other entities engaged in agricultural production) benefit
substantially from the status of an agricultural producer. The tax rates for agricultural producers is calculated
as a percentage of the target-ratio based monetary valuation per hectare of agricultural land resulting in
substantially lower tax charges compared to CIT. Agricultural manufacturers are eligible to apply for a single
tax if they meet both the following two requirements:
•
The share of the entity’s revenue from agricultural production (i.e. sale of the entity’s cultivated and
processed products) to the total share of its income equals or exceeds 75 per cent; and
• These agriproducts were cultivated on land that such agricultural manufacturers own or lease, and the
ownership title and leases have been duly registered.
The components of income tax (benefit)/expense were as follows for the years ended 31 December 2021
and 2020:
13. INCOME TAX
5,408
2021 2020
Current income tax expense 9,773 5,408
Withholding tax 8,605 9,241
Deferred tax benefit (11,464) (19,781)
INCOME TAX (BENEFIT)/EXPENSE 6,914 (5,132)
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
The reconciliation between (loss)/profit before tax from continuing operations multiplied by the statutory tax
rate and the tax expense for the years ended 31 December 2021 and 2020 was as follows:
13. INCOME TAX (CONTINUED)
2021 2020
Accounting (loss)/profit before tax from continuing operations 403,709 (136,707)
Loss before tax from a discontinued operation (3,457) (1,482)
Income tax (benefit)/expense calculated at rates eective during
the year ended in respective jurisdictions
71,686 (23,080)
TAX EFFECT OF
(Loss)/income generated by FAT payers and other exempt from
income tax
(75,129) 10,215
Eect on income tax generated by EU companies 532 1,604
Derecognition and utilisation of previously recognised tax losses/
assets
(3,421) (4,540)
Withholding tax 8,605 9,241
Non-deductible expenses 3,692 2,919
Translation (gain)/loss 949 (1,491)
INCOME TAX (BENEFIT)/EXPENSE 6,914 (5,132)
Derecognition of previously recognised tax losses results from the reversal of deferred tax liabilities related
to property revaluation that were the source of taxable income relied on previously to support recognition.
As of 31 December 2021 and 2020 deferred tax assets and liabilities recognised the following:
2021 2020
DEFERRED TAX ASSETS ARISING FROM
Other current liabilities 3,334 2,486
Current assets 3,129 3,083
Tax losses 29,498 24,893
TOTAL DEFERRED TAX ASSETS 35,961 30,462
DEFERRED TAX LIABILITIES ARISING FROM
Property, plant and equipment (77,647) (56,594)
TOTAL DEFERRED TAX LIABILITIES (77,647) (56,594)
NET DEFERRED TAX LIABILITIES (41,686) (26,132)
Deferred income tax assets and liabilities are oset when there is a legally enforceable right to oset
current tax assets against current tax liabilities and when the deferred income taxes relate to the same fiscal
authority. The following amounts, determined after appropriate osetting, are presented in the consolidated
statement of financial position as of 31 December 2021 and 2020:
2021 2020
Deferred tax assets 3,018 3,735
Deferred tax liabilities (44,704) (29,867)
Deferred tax assets not recognised (1,052) (1,913)
(42,738) (28,045)
During the years ended 31 December 2021 and 2020 the Group did not recognize tax losses in the amount
of USD 5,851 (USD 1,052 thousand of deferred tax assets), USD 10,629 thousand (USD 1,913 thousand
of deferred tax asset), respectively, as the Group did not intend to deduct the relevant expenses for tax
purposes in subsequent periods, as there are uncertainties on whether sucient taxable profits will be
generated by particular companies of the Group in the future. There is no expiration date of accounting tax
losses according to Tax Code of Ukraine.
Deferred tax liabilities have not been recognised in respect of unremitted earnings of Ukrainian subsidiaries
as the earnings can be remitted free from taxation currently and in future years, based on current legislation.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
The movements in net deferred tax liabilities for the years ended 31 December 2021 and 2020 were as
follows:
13. INCOME TAX (CONTINUED)
2021 2020
NET DEFERRED TAX LIABILITIES AS OF BEGINNING OF THE YEAR
(28,045) (53,021)
Deferred tax benefit 11,464 19,781
Deferred tax on revaluation of property, plant and equipment
charged directly to other comprehensive income as result of
revaluation
(26,597) -
Translation dierence 440 5,195
NET DEFERRED TAX LIABILITIES AS OF END OF THE YEAR (42,738) (28,045)
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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STATEMENTS
SHAREHOLDER
INFORMATION
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
LAND
BUILDINGS
AND
STRUCTURES
GRAIN
STORAGE
FACILITIES
PRODUCTION
MACHINERY
AUXILIARY
AND OTHER
MACHINERY
UTILITIES
AND
INFRASTRUCTURE
VEHICLES AND
AGRICULTURAL
MACHINERY
OTHER
FIXED
ASSETS
1
CONSTRUCTION
IN PROGRESS
2
TOTAL
Cost or fair value
AT 31 DECEMBER 2020 37,591 922,975 95,639 413,912 62,569 136,953 180,060 31,648 71,347 1,952,694
Additions 1,517 23,526 1,427 30,993 13,498 6,099 21,564 8,277 40,669
147,570
Transfer from Right-of-use assets - - - - - - 11,848 - -
11,848
Transfers 122 (2,776) (3,244) (48) 9,044 1,537 (560) (7,064) 2,989
-
Disposals (1,462) (9,444) (4) (4,848) (887) (52) (6,938) (2,888) (3,552)
(30,075)
Disposal of subsidiary (246) (2,484) - (475) - - (20) (384) -
(3,609)
Revaluation - - 5,088 (59,438) (2,102) (346) 2,972 (928) -
(54,754)
Impairment loss (732) - (181) (3,466) (1,889) (169) (2,708) (1,462) -
(10,607)
Translation dierence (2,151) 19,518 3,245 11,338 1,429 4,832 5,917 688 1,376
46,192
AT 31 DECEMBER 2021 34,639 951,315 101,970 387,968 81,662 148,854 212,135 27,887 112,829 2,059,259
Accumulated depreciation
AT 31 DECEMBER 2020 - 48,341 8,707 118,354 9,731 9,532 58,481 20,631 - 273,777
Depreciation charge for the year - 35,574 8,216 40,921 8,475 8,454 43,023 5,248 -
149,911
Elimination upon disposal - (2,011) (2) (4,482) (609) (36) (3,828) (1,823) -
(12,791)
Elimination upon revaluation - - (17,046) (157,916) (17,593) (655) (103,618) (4,032) -
(300,860)
Disposal of subsidiary - (292) - - (166) - (7) (282) -
(747)
Transfers - 186 (186) (2) 254 (174) - (78) -
-
Transfer from Right-of-use assets - - - - - - 4,193 - -
4,193
Translation dierence - 126 311 3,125 166 258 1,790 393 -
6,169
AT 31 DECEMBER 2021 - 81,924 - - 258 17,379 34 20,057 - 119,652
Net book value
AT 31 DECEMBER 2020 37,591 874,634 86,932 295,558 52,838 127,421 121,579 11,017 71,347 1,678,917
AT 31 DECEMBER 2021 34,639 869,391 101,970 387,969 81,404 131,475 212,101 7,830 112,829 1,939,607
The following table represents movement in property, plant and equipment for the year ended 31 December 2021:
14. PROPERTY, PLANT AND EQUIPMENT
1
Other fixed assets include bearer plants, oce furniture and equipment;
2
Construction in progress include advances for property plant and equipment, machinery and equipment not
in use, construction materials and spare parts, projects in progress.
Notes to the Consolidated Financial Statements

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BUSINESS
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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
LAND
BUILDINGS
AND
STRUCTURES
GRAIN
STORAGE
FACILITIES
PRODUCTION
MACHINERY
AUXILIARY
AND OTHER
MACHINERY
UTILITIES
AND
INFRASTRUCTURE
VEHICLES AND
AGRICULTURAL
MACHINERY
OTHER
FIXED
ASSETS
1
CONSTRUCTION
IN PROGRESS
2
TOTAL
Cost or fair value
AT 31 DECEMBER 2019 39,175 1,046,726 108,122 459,238 65,311 155,029 203,948 28,346 108,818 2,214,713
Additions 309 11,714 668 9,672 1,284 1,086 894 1,932 49,787
77,346
Transfers (1,715) 12,071 4,355 14,594 8,306 6,177 19,921 7,149 (70,858)
-
Disposals (1,043) (5,292) (4) (1,770) (594) (36) (7,583) (427) (1,161)
(17,910)
Reclassified as held for sale - (528) - (13) (73) - - (1) (24)
(639)
Impairment loss (468) (96) - - - (65) - (1,101) -
(1,730)
Translation dierence 1,333 (141,620) (17,502) (67,809) (11,665) (25,238) (37,120) (4,250) (15,215)
(319,086)
AT 31 DECEMBER 2020 37,591 922,975 95,639 413,912 62,569 136,953 180,060 31,648 71,347 1,952,694
Accumulated depreciation
AT 31 DECEMBER 2019 - 16,728 2,553 94,664 3,594 2,400 20,690 18,689 - 159,318
Depreciation charge for the year - 35,710 7,181 43,252 7,986 7,478 45,355 3,545 -
150,507
Elimination upon disposal - (184) (36) (875) (109) (8) (1,171) (414) -
(2,797)
Reclassified as held for sale - (528) - - (12) (1) - - -
(541)
Transfers - (163) - (3,680) 330 388 1,604 1,521 -
-
Translation dierence - (3,222) (991) (15,007) (2,058) (725) (7,997) (2,710) -
(32,710)
AT 31 DECEMBER 2020 - 48,341 8,707 118,354 9,731 9,532 58,481 20,631 - 273,777
Net book value
AT 31 DECEMBER 2019 39,175 1,029,998 105,569 364,574 61,717 152,629 183,258 9,657 108,818 2,055,395
AT 31 DECEMBER 2020 37,591 874,634 86,932 295,558 52,838 127,421 121,579 11,017 71,347 1,678,917
1
Other fixed assets include bearer plants, oce furniture and equipment;
2
Construction in progress include advances for property plant and equipment, machinery and equipment not
in use, construction materials and spare parts, projects in progress.
The following table represents movement in property, plant and equipment for the year ended 31 December 2021:
14. PROPERTY, PLANT AND EQUIPMENT
Notes to the Consolidated Financial Statements

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
14. PROPERTY, PLANT AND EQUIPMENT (CONTINUED)
As of 31 December 2021, included within
construction in progress were prepayments for
property, plant and equipment in the amount
of USD 24,333 thousand (2020: USD 8,052
thousand).
As of 31 December 2021, included within property,
plant and equipment were fully depreciated assets
with the original cost of USD 22,635 thousand
(2020: USD 25,875 thousand).
As of 31 December 2021, certain of the Group’s
property, plant and equipment with the carrying
amount of USD 91,931 thousand (2020: USD
102,587 thousand) were pledged as collateral to
secure its bank borrowings.
IMPAIRMENT ASSESSMENT
The Group reviews its property, plant and
equipment each period to determine if any
indication of impairment exists. Based on these
reviews, there were no indicators of impairment
as of 31 December 2021 and 2020, except for the
impairment of certain assets in the amount of USD
10,607 thousand and USD 1,730 thousand as of 31
December 2021 and 2020, respectively.
REVALUATION OF VEHICLES AND
AGRICULTURAL MACHINERY
During the year ended 31 December 2021, the
Group engaged independent appraisers to
revalue its vehicles and agricultural machinery.
The effective date of revaluation were 31
December 2021. The valuation, which conformed
to the International Valuation Standards, was
determined using market comparable approach
adjusted based on age and condition of the
machinery. During the year ended and as of 31
December 2020, the Group evaluated whether the
fair value of vehicles and agricultural machinery
was materially dierent from the reported book
values. Based on analysis of fluctuations of the
cumulative index of producer’s prices, the index of
physical depreciation and the functional currency
depreciation, Management assessed the fair value
of vehicles and agricultural machinery not to be
materially dierent from the reported book values.
REVALUATION OF PRODUCTION MACHINERY
During the year ended 31 December 2021, the
Group engaged independent appraisers to
revalue its production machinery. The eective
date of revaluation was 31 December 2021. The
valuation, which conformed to the International
Valuation Standards, was determined using
market comparable approach adjusted based on
age and condition of the machinery or for items
of specialized nature depreciated replacement
cost method. During the year ended and as of
31 December 2020, the Group evaluated if the
fair value of production machinery was materially
dierent from the reported carrying values. Based
on analysis of fluctuations of the cumulative
index of producers prices, index of physical
depreciation and functional currency depreciation,
the Management assessed it not to be materially
dierent from the reported book values.
REVALUATION OF BUILDINGS AND
STRUCTURES
During the years ended and as of 31 December
2021 and 2020, the Group evaluated if the fair
value of buildings and structures was materially
dierent from the reported book values. Based
on analysis of the fluctuations of the cumulative
index of inflation of construction works and index
of physical depreciation, Management assessed
the fair value of such buildings and structures not
to be materially dierent from the reported book
values. For details of analysis refer to Note 4.
REVALUATION OF GRAIN STORAGE FACILITIES
During the year ended 31 December 2021, the
Group engaged independent appraisers to revalue
its grain storage facilities as of 31 December
2021. The valuation, which conformed to the
International Valuation Standards, was determined
using depreciated replacement cost method
by reference to observable prices in an active
market adjusted based on age and condition of
the facilities. During the year ended and as of 31
December 2020, the Group evaluated if the fair
value of grain storage facilities was materially
dierent from the reported book values. Based
on analysis of fluctuations of the cumulative index
of inflation of construction works and the index
of physical depreciation, Management assessed
the fair value of grain storage facilities not to be
materially dierent from the reported book values.
REVALUATION OF AUXILIARY AND OTHER
MACHINERY
During the year ended 31 December 2021, the
Group engaged an independent appraiser to
determine the fair value of its Auxiliary and
other machinery as of 31 December 2021. The
valuation, which conformed to the International
Valuation Standards, was determined using the
market comparable approach adjusted based on
age and condition of the machinery or for items
of specialized nature depreciated replacement
cost method. During the year ended and as of
31 December 2020, the Group evaluated if the
fair value of Auxiliary and other machinery was
materially dierent from the reported book values.
Based on analysis of fluctuations of the cumulative
index of inflation of construction works and the
index of physical depreciation, Management
assessed the fair value of Auxiliary and other
machinery not to be materially dierent from the
reported book values.
REVALUATION OF UTILITIES AND
INFRASTRUCTURE
During the years ended and as of 31 December
2021 and 2020, the Group evaluated if the fair
value of utilities and infrastructure was materially
dierent from the reported book values. Based
on analysis of fluctuations of the cumulative index
of inflation of construction works and the index of
physical depreciation, Management assessed the
fair value of utilities and infrastructure not to be
materially dierent from the reported book values.
For details of analysis refer to Note 4.
Notes to the Consolidated Financial Statements

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
The following unobservable inputs were used to measure Buildings and structures, Utilities and infrastructure, Grain storage facilities, Vehicles and
agricultural machinery, Auxiliary and other machinery and Production machinery:
14. PROPERTY, PLANT AND EQUIPMENT (CONTINUED)
DESCRIPTION
VALUATION
TECHNIQUE(S)
UNOBSERVABLE
INPUTS
RANGE OF
UNOBSERVABLE INPUTS
2021 (AVERAGE)
RELATIONSHIP OF UNOBSERVABLE INPUTS TO FAIR VALUE
Grain storage
facilities
Depreciated replacement
cost method
Index of physical
depreciation
0 – 80%
(53.3%)
The higher the index of physical depreciation, the lower the fair value
Cumulative index of inflation
of construction works
1.00 – 11.42
(1.19)
The higher the index, the higher the fair value
Vehicles and
agricultural
machinery
Market comparable
approach
Index of physical
depreciation
0 – 80%
(n/a)
The higher the index of physical depreciation, the lower the fair value
Auxiliary and other
machinery
Market comparable
approach
Index of physical
depreciation
0 – 90%
(47.2%)
The higher the index of physical depreciation, the lower the fair value
Production
machinery
Market comparable
approach
Market comparable
approach
0 – 90%
(53.2%)
The higher the index of physical depreciation, the lower the fair value
Had the Group’s property plant and equipment been measured on a historical cost basis, their carrying amount would have been as follows:
DESCRIPTION FAIR VALUE HIERARCHY
NET BOOK VALUE UNDER REVALUATION
MODEL
NET BOOK VALUE IF CARRIED AT COST
2021 2020 2021 2020
Buildings and structures Level 3 869,391 874,634 338,921 417,665
Production machinery Level 2, 3 387,968 295,558 279,710 205,077
Utilities and infrastructure Level 3 131,475 127,421 75,899 69,684
Vehicles and agricultural machinery Level 2 212,101 121,579 178,284 68,928
Grain storage facilities Level 3 101,970 86,932 53,348 33,892
Auxiliary and other machinery Level 2, 3 81,404 52,838 56,577 36,555
1,784,309 1,558,962 982,739 831,801
There are no restrictions on the distribution of the revaluation surplus to the shareholders (Note 4).
Notes to the Consolidated Financial Statements

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
The following table represents movements in right-of-use assets for the year ended 31 December 2021:
15. RIGHT-OF-USE ASSETS
LAND
BUILDINGS AND
VEHICLES
TOTAL
Net book value
AS OF 31 DECEMBER 2020 173,283 33,718 207,001
Additions 15,865 15,287 31,152
Amortization charge for the year (37,736) (6,439) (44,175)
Termination of the lease (2,589) (9,712) (12,301)
Reassessment of the lease liabitity 90,025 125 90,150
Translation dierence 5,815 (354) 5,461
AS OF 31 DECEMBER 2021 244,663 32,625 277,288
The following table represents movements in right-of-use assets for the year ended 31 December 2020:
LAND
BUILDINGS AND
VEHICLES
TOTAL
Net book value
AS OF 31 DECEMBER 2019 198,711 30,533 229,244
Additions 19,198 7,977 27,175
Amortization charge for the year (27,945) (5,111) (33,056)
Termination of the lease - (2,039) (2,039)
Reassessment of the lease liabitity 14,586 5,263 19,849
Translation dierence (31,267) (2,905) (34,172)
AS OF 31 DECEMBER 2020 173,283 33,718 207,001
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
The following table represents movements in intangible assets for the year ended 31 December 2021:
16. INTANGIBLE ASSETS
LAND
LEASE
RIGHTS
TRADEMARKS
CUSTOMER
RELATIONS
OTHER
INTANGIBLE
ASSETS
TOTAL
Cost
AS OF 31
DECEMBER 2020
69,349 34,505 21,481 14,837 140,172
Additions - - - 11,504 11,504
Disposals - (249) - (103) (352)
Translation
dierence
2,532 (2,659) (1,661) 1,390 (398)
AS OF 31
DECEMBER 2021
71,881 31,597 19,820 27,628 150,926
Accumulated amortization
AS OF 31
DECEMBER 2020
33,929 - 1,968 7,434 43,331
Amortization
charge for the year
6,466 - 1,035 1,208 8,709
Disposals - - - (71) (71)
Translation
dierence
1,240 - (196) 122 1,166
AS OF 31
DECEMBER 2021
41,635 - 2,807 8,693 53,135
Net book value
AS OF 31
DECEMBER 2020
35,420 34,505 19,513 7,403 96,841
AS OF 31
DECEMBER 2021
30,246 31,597 17,013 18,935 97,791
The following table represents movements in intangible assets for the year ended 31 December 2020:
LAND
LEASE
RIGHTS
TRADEMARKS
CUSTOMER
RELATIONS
OTHER
INTANGIBLE
ASSETS
TOTAL
Cost
AS OF 31
DECEMBER 2019
82,783 31,327 19,503 12,666 146,279
Additions - - - 4,064 4,064
Disposals - - - (94) (94)
Translation
dierence
(13,434) 3,178 1,978 (1,799) (10,077)
AS OF 31
DECEMBER 2020
69,349 34,505 21,481 14,837 140,172
Accumulated amortization
AS OF 31
DECEMBER 2019
33,206 - 812 5,739 39,757
Amortization
charge for the year
6,409 - 998 2,509 9,916
Translation
dierence
(5,686) - 158 (814) (6,342)
AS OF 31
DECEMBER 2020
33,929 - 1,968 7,434 43,331
Net book value
AS OF 31
DECEMBER 2019
49,577 31,327 18,691 6,927 106,522
AS OF 31
DECEMBER 2020
35,420 34,505 19,513 7,403 96,841
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
16. INTANGIBLE ASSETS (CONTINUED)
The Group has recognised certain trademarks
and customer relationships as a part of intangible
assets through the acquisition of subsidiaries
in previous years. Customer relationships were
identified among customers of the core products
portfolio of acquired subsidiaries. The remaining
useful life of customer relationships was estimated
at 20 years.
The trademarks acquired by the Group mainly
consist of PP and Topiko poultry meat brands
and the Poli meat processing products brand.
The Group believes that, since trademarks are
well-positioned and recognizable within a stable
and mature industry, there are no technical
barriers that would limit their lifetime, and as a
result of further promotion of the trademarks, the
Group will obtain economic benefits from them
for an indefinite period of time. Accordingly,
the trademarks that belong to the Group are
considered to have an indefinite useful life and
thus are not amortized but tested for impairment
by comparing their recoverable amount with their
carrying amount annually.
The Group allocates trademarks to individual
entities as separate cash-generating units (CGU).
A summary of the allocation of trademarks values
to separate CGUs is presented below:
SEGMENT CASH-GENERATING UNIT
TRADEMARKS CARRYING
VALUE
2021 2020
European operating
Slovenia 18,051 19,707
Serbia 2,279 2,490
Bosnia and Herzegovina 5,812 6,349
Croatia 5,455 5,959
31,597 34,505
The impairment testing of the value of trademarks
was performed internally. The recoverable amount
of trademarks of all cash-generating units is
determined based on the value in use method
which uses cash flow projections covering a five-
year period.
Discount rates represent the current market
assessment of the risks specific to each CGU,
taking into consideration the time value of money
and individual risks of the underlying assets that
have not been incorporated in the cash flow
estimates. The discount rate calculation is based
on the specific circumstances of the Group and
its operating segments and is derived from its
weighted average cost of capital (WACC).
The WACC takes into account both debt and
equity. The cost of equity is derived from the
expected return on investment by the Group’s
investors. The cost of debt is based on the
interest-bearing borrowings the Group is obliged
to service. Segment-specific risk is incorporated
by applying individual beta factors.
The weighted average discount rate of 15% (2020:
12.3%) was used. An increase by 760 basis points
in the weighted average discount rate would result
in impairment in 2021 (2020: 693 basis points).
Revenue within the five-year period was
extrapolated using a weighted average 2.4%
sales growth rate and 2.0% terminal growth rate
for revenue beyond this period (2020: 2,0% and
2.0% respectively). A reduction by 1423 basis
points in the budgeted sales growth would result
in impairment in 2021 (2020: 963 basis points).
Weighted average royalty rate used in calculation
of cash flows was set at a level of 2.2% (2020:
2.4%). A reduction by 77 basis points in the
weighted average royalty rate would result in
impairment in 2021 (2020: 96 basis points).
As of 31 December 2021 and 2020, no impairment
of trademarks was identified.
Notes to the Consolidated Financial Statements

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BUSINESS
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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
17. GOODWILL
The following table represents movements in
goodwill for the years ended 31 December 2021
and 2020:
2021 2020
Cost
AS OF 1 JANUARY 70,614 64,843
Aquisitions of
subsidiaries (Note 3)
921 -
Translation dierence (5,153) 5,771
AS OF 31 DECEMBER 66,382 70,614
Net book value
AS OF 1 JANUARY 70,614 64,843
AS OF 31 DECEMBER 66,382 70,614
The Group allocates goodwill to individual entities as to separate cash-generating units (CGU). A summary of goodwill allocation to separate CGUs is presented
below:
SEGMENT
CASH-
GENERATING UNIT
GOODWILL CARRYING
VALUE
METHODOLOGY ASSUMPTIONS AND METHODS USED
FOR GOODWILL
2021 2020
Ukraine
Grain Ukraine 2,513 2,425
Average sales growth: -0.1% (5.4%) Terminal sales growth: 4.9% (5.0%)
Discount rate: 13.6% (11.2%) Projection period: 5 years (5 years)
Meat processing and
other agricultural
operations
954 -
Average sales growth: 4.6% (n/a) Terminal sales growth: 4.9% (n/a)
Discount rate: 13.6% (n/a) Projection period: 5 years (n/a)
European
operating
Slovenia 39,448 42,755
Average sales growth: 2.1% (2.6%) Terminal sales growth: 2.0% (2.0%)
Discount rate: 6.3% (8.1%) Projection period: 5 years (5 years)
Serbia 4,089 4,432
Average sales growth: 2.6% (3.3%) Terminal sales growth: 2.0% (2.0%)
Discount rate: 8.1% (10.4%) Projection period: 5 years (5 years)
Bosnia and Herzegovina 11,388 12,343
Average sales growth: 2.6% (3.8%) Terminal sales growth: 2.0% (2.0%)
Discount rate: 11.5% (13.2%) Projection period: 5 years (5 years)
Croatia 7,990 8,659
Average sales growth: 2.0% (3.2%) Terminal sales growth: 2.0% (2.0%)
Discount rate: 7.6% (9.3%) Projection period: 5 years (5 years)
66,382 70,614
The recoverable amount of cash-generating units
is determined based on a value in use calculation
which uses cash flow projections based on
financial forecasts approved by the Directors.
The discount rate calculation is based on the
specific circumstances of the Group and its
operating segments and is derived from its
weighted average cost of capital (WACC), adjusted
on segment-specific risk by applying individual
beta factors. An increase by 695 basic points
in the weighted average discount rate to 15,5%
would result in impairment in 2021 (2020: 659
basic points to 15,9%).
The growth rates and gross margins used for cash
flows extrapolations are supported by industry
trends such as consumer prosperity and dietary
trends. These inputs were estimated by Directors
based on past performance of the cash-generating
unit and their expectations of market development.
A reduction by 573 basic points in the budgeted
sales growth or reduction in gross margin by 628
basic points would result in impairment in 2021
(2020: 1,321 and 728 resprectively).
As of 31 December 2021 and 2020, no impairment
of goodwill was identified.
Notes to the Consolidated Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
The balances of non-current financial assets were
as follows as of 31 December 2021 and 2020:
2021 2020
Loan receivables 21,171 18,611
Receivables
for claims
indemnification
1,757 -
Other financial
assets
5,836 4,472
28,764 23,083
Loan receivables are represented by loans with
fixed interest at 2.5% (EIR of 4.25%) with maturity
as of 31 December 2025, 31 December 2026 and
31 December 2027. Total gross carrying amount of
loans granted as of 31 December 2021 and 2020
is USD 19,959 thousand and USD 19,161 thousand
respectively.
The Group determines the expected credit loss
of other non-current loan receivables and other
financial assets based on dierent scenarios of
probability of default and expected loss applicable
to each of the material underlying balances. The
movement in loss allowance for loan receivables
and other financial assets classified at amortised
cost is detailed below:
2021 2020
1 JANUARY (4,268) (3,816)
Charged during the
year
326 (452)
31 DECEMBER (3,942) (4,268)
18. NON-CURRENT FINANCIAL
ASSETS
19. BIOLOGICAL ASSETS
THOUSAND
UNITS
CARRYING
AMOUNT
THOUSAND
UNITS
CARRYING
AMOUNT
2021 2020
Milk cows,boars and sows, units 14.9 22,746 15.1 21,947
Other non-current bearer biological assets 14 32
TOTAL BEARER NON-CURRENT BIOLOGICAL ASSETS 22,760 21,979
Non-current cattle and pigs, units 2.3 4,378 2.0 3,605
TOTAL CONSUMABLE NON-CURRENT BIOLOGICAL ASSETS 4,378 3,605
TOTAL NON-CURRENT BIOLOGICAL ASSETS 27,138 25,584
The balances of non-current financial assets were as follows as of 31 December 2021 and 2020:
THOUSAND
UNITS
CARRYING
AMOUNT
THOUSAND
UNITS
CARRYING
AMOUNT
2021 2020
Breeders held for hatchery eggs production, units 4,969 79,583 4,706 70,059
TOTAL BEARER CURRENT BIOLOGICAL ASSETS 79,583 70,059
Broiler chickens, units 55,310 89,257 48,523 67,481
Hatchery eggs, units 39,147 11,688 42,954 11,053
Crops in fields, hectare 62 33,565 60 24,846
Cattle and pigs, units 6 1,293 6 1,619
Other current consumable biological assets 73 27
TOTAL CONSUMABLE NON-CURRENT BIOLOGICAL ASSETS 135,876 105,026
TOTAL NON-CURRENT BIOLOGICAL ASSETS 215,459 175,085
The balances of current biological assets were as follows as of 31 December 2021 and 2020:
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
The following table represents movements in major biological assets for the years ended 31 December 2021 and 2020:
19. BIOLOGICAL ASSETS (CONTINUED)
MILK COWS, BOARS,
SOWS
BREEDERS HELD FOR
HATCHERY EGGS
PRODUCTION
BROILER CHICKENS CROPS IN FIELDS
AS OF 31 DECEMBER 2019 25,967 78,063 79,382 35,036
Costs incurred 10,096 167,925 745,651 281,755
Gains arising from change in fair value of
biological assets less costs to sell
8,386 9,900 221,889 89,186
Transfer to consumable biological assets - (157,481) 157,481 -
Increase due to birth and weight increase 6,996 - - -
Decrease due to sale (41) - - -
Decrease due to harvest (25,356) (17,886) (1,126,488) (375,721)
Translation dierence (4,101) (10,462) (10,434) (5,410)
AS OF 31 DECEMBER 2020 21,947 70,059 6 7, 4 8 1 24,846
Costs incurred 12,921 199,928 1,010,123 323,462
Gains arising from change in fair value of
biological assets less costs to sell
9,593 9,577 234,694 353,464
Transfer to consumable biological assets - (178,613) 178,613 -
Increase due to birth and weight increase 8,765 - - -
Decrease due to sale - - - -
Decrease due to harvest (31,229) (23,267) (1,403,791) (669,029)
Translation dierence 749 1,899 2,137 822
AS OF 31 DECEMBER 2021 22,746 79,583 89,257 33,565
Information on movements in hatchery eggs and cattle and pigs groups have been considered immaterial for disclosure.
Notes to the Consolidated Financial Statements

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STRATEGIC
REPORT
BUSINESS
REVIEW
GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
Biological assets of the Group are measured at fair value within Level 3 of the fair value hierarchy, except for cattle and pigs that can be measured based on market prices of livestock of a similar age, breed and genetic
merit, and which are therefore measured at fair value within Level 2 of the fair value hierarchy. There were no transfers between any levels during the year.
The following unobservable inputs were used to measure biological assets:
19. BIOLOGICAL ASSETS (CONTINUED)
1
data of European operating segment
DESCRIPTION
VALUATION
TECHNIQUE
SIGNIFICANT
UNOBSERVABLEINPUTS
RELATIONSHIP OF UNOBSERVABLE INPUTS
TO FAIR VALUE
RANGE OF UNOBSERVABLE INPUTS
(AVERAGE)
SENSITIVITY OF THE INPUT TO FAIR VALUE
INCREASE/ (DECREASE) USD THOUSAND
Input 5% higher Input 5% lower
Crops in fields DCF method
Crops yield - tonnes per
hectare
The higher the crops yield, the higher the fair value
2021: 3.0 - 5.5 (4.5) 4,962 (4,962)
2020: 3.0 - 5.8 (4.4) 3,190 (3,910)
Crops price – per tonne The higher the market price, the higher the fair value
2021: USD 255 - 617 (403) 4,962 (4,962)
2020: USD 185 - 446 (316) 3,190 (3,190)
Discount rate The higher the discount rate, the lower the fair value
2021: 15.4% (116) 116
2020: 11.5% (67) 68
Breeders
held for
hatchery eggs
production
DCF method
Number of hatchery eggs
produced by one breeder
The higher the number, the higher the fair value
2021: 165 3,148 (3,148)
2020: 165 3,611 (3,611)
Hatchery egg price – per egg The higher the market price, the higher the fair value
2021: USD 0.30 5,592 (5,592)
2020: USD 0.24 4,682 (4,682)
Discount rate The higher the discount rate, the lower the fair value
2021: 13.6% (182) 184
2020: 11.2% (25) 25
Broiler
chickens
Cash flows
method
Average weight of one broiler
- kg
The higher the weight, the higher the fair value
2021: 2.41 7,888 (7,888)
2020: 2.33 5,583 (5,583)
Poultry meat price – per kg The higher the market price, the higher the fair value
2021: UAH 35.80 2.27 EUR
1
7,888 (7,888)
2020: UAH 31.08 2.92 EUR
1
5,583 (5,583)
Milk cows DCF method
Daily milk yield - litre per cow The higher the milk yield, the higher the fair value
2021: 15.55 - 20.54 ( 18.28) 1,060 (1,060)
2020: 12.70 - 18.61 (16.54) 1,015 (1,015)
Weight of the cow - kg per cow The higher the weight, the higher the fair value
2021: 550 - 585 ( 562) 222 (222)
2020: 523 - 570 (553) 206 (206)
Milk price – per litre The higher the market price, the higher the fair value
2021: UAH 11.91 - 12.58 ( 12.22) 5,194 (5,194)
2020: UAH 11.31 - 12.17 (11.64) 4,794 (4,794)
Notes to the Consolidated Financial Statements

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
The balances of inventories were as follows as of 31 December 2021
and 2020:
2021 2020
Components for mixed fodder production 192,362 130,124
Work in progress 40,103 29,213
Other raw materials 72,518 31,552
Spare parts 18,935 18,042
Mixed fodder 6,180 8,801
Sunflower oil 15,153 6,115
Meat processing products 8,422 6,110
Packaging materials 9,544 7,106
Other inventories 4,002 3,652
367,219 240,715
As of 31 December 2021 and 2020 work in progress in the amount of
USD 39,225 thousand and USD 29,213 thousand was mainly comprised
of expenses incurred in cultivating fields to be planted in the years 2022
and 2021, respectively. Inventory is stated at the lower of cost and net
realisable value. No impairment or reversal of impairment were made as
of 31 December 2021 and 2020.
20. INVENTORIES
The balances of agricultural produce were as follows as of 31 December 2021 and 2020:
THOUSAND TONNES CARRYING AMOUNT THOUSAND TONNES CARRYING AMOUNT
2021 2020
Grain 1,201 372,343 716 161,150
Chicken meat 72.3 128,757 70.5 100,453
Other various crops 9,181 6,515
Other various meat 986 927
511,267 269,045
The fair value of Agricultural produce was estimated based on market price as of date of harvest and is within Level 2 of the fair value hierarchy.
As of 31 December 2021, agricultural produce in amount of USD 38,188 thousand was pledged as collateral to secure bank borrowings (2020:
USD 18,750 thousand).
21. AGRICULTURAL PRODUCE
Taxes recoverable and prepaid were as follows as of 31 December 2021 and 2020:
52,201
2021 2020
VAT recoverable 66,915 52,201
Miscellaneous taxes prepaid 1,236 2,446
68,151 54,647
22. TAXES RECOVERABLE AND PREPAID
19. BIOLOGICAL ASSETS (CONTINUED)
DESCRIPTION
VALUATION
TECHNIQUE
SIGNIFICANT
UNOBSERVABLEINPUTS
RELATIONSHIP OF UNOBSERVABLE INPUTS
TO FAIR VALUE
RANGE OF UNOBSERVABLE INPUTS
(AVERAGE)
SENSITIVITY OF THE INPUT TO FAIR VALUE
INCREASE/ (DECREASE) USD THOUSAND
Input 5% higher Input 5% lower
Milk cows DCF method
Meat price – per kg The higher the market price, the higher the fair value
2021: UAH 15.98 - 34.13 ( 22.97) 222 (222)
2020: UAH 16.30 – 25.91 (21.22) 206 (206)
Discount rate The higher the discount rate, the lower the fair value
2021: 13.6% (421) 434
2020: 11.2% (341) 349
Notes to the Consolidated Financial Statements

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
The balances of trade accounts receivable were
as follows as of 31 December 2021 and 2020:
2021 2020
Chicken meat 124,669 89,020
Meat processing
and convenience
food
28,153 21,331
Sunflower oil sales 304 3,197
Grain 1,874 1,283
Due from related
parties (Note 32)
113 109
Other agriculture
operations
16,981 18,769
Less: expected
credit losses
(15,216) (14,522)
156,878 119,187
The average credit period on sales of poultry is
30 days and on sales of agricultural goods is 60
days. No interest is charged on outstanding trade
accounts receivable. The expected credit losses
on trade accounts receivable are estimated on
a collective basis using a provision matrix and
on individual basis using dierent scenarios of
probability of default.
The provision matrix is used by reference to past
default experience of the debtor and an analysis
of the debtor’s current financial position, adjusted
for factors that are specific to the debtors, general
economic conditions of the industry in which
the debtors operate and an assessment of both
the current as well as the forecast direction of
conditions at the reporting date.
An individual assessment is used for the
individually significant debtors with credit risk
characteristics that are not aligned with others.
The Group has recognised a loss allowance of
USD 2,781 thousand against all trade accounts
receivable over 270 days past due, which are
assessed on a collective basis, because historical
experience has indicated that these trade
accounts receivable are generally not recoverable.
There has been no change in the estimation
techniques or significant assumptions made
during the current reporting period. The Group
writes o a trade accounts receivable when there
is information indicating that the debtor is in
severe financial diculty and there is no realistic
prospect of recovery, e.g. when the debtor has
been placed under liquidation or has entered
into bankruptcy proceedings, or when the trade
accounts receivable are over 3 years past due,
whichever occurs earlier. None of the trade
accounts receivable that have been written o
are subject to enforcement activities.
The following table details the risk profile of
trade accounts receivable based on the Group’s
provision matrix. It discloses chicken meat
Ukraine, chicken meat export and agricultural
Ukraine, agricultural export sales and European
operating segment as separate classes of financial
instruments and applies the simplified approach
to its trade accounts receivable so that the loss
allowance is always measured at an amount equal
to lifetime expected credit losses.
23. TRADE ACCOUNTS RECEIVABLE
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
The balances of trade accounts receivable were as follows as of 31 December 2021 and 2020:
TRADE ACCOUNTS RECEIVABLE – DAYS PAST DUE
31 DECEMBER 2021 NOT PAST DUE
< 30 31-90 91-270 >270 TOTAL
PORTFOLIO ASSESSMENT
Chicken meat Ukraine
ECL rate, % 0.00% 0.01% 0.06% 0.08% 100%
Estimated total gross carrying amount at default 25,864 3,155 124 34 115
29,292
Lifetime ECL - - - - (115)
(115)
Chicken meat export
ECL rate, % 0.095% 0.22% 0.58% 1.95% 100%
Estimated total gross carrying amount at default 32,843 14,664 3,690 350 899
52,446
Lifetime ECL (31) (32) (21) (7) (899)
(990)
Agricultural Ukraine
ECL rate, % 0.04% 0.11% 0.24% 0.50% 100%
Estimated total gross carrying amount at default 18,606 7,604 2,126 913 1,714
30,963
Lifetime ECL (7) (8) (5) (5) (1,714)
(1,739)
Agricultural export
ECL rate, % 0.10% 0.13% 1.66% 13.00% 100%
Estimated total gross carrying amount at default 163 1,017 187 35 -
1,402
Lifetime ECL - (1) (3) (5) -
(9)
European operating segment
ECL rate, % 0.02% 0.18% 0.47% 4.88% 100%
Estimated total gross carrying amount at default 36,220 5,099 1,459 199 53
43,030
Lifetime ECL (7) (9) (7) (10) (53)
(86)
ESTIMATED TOTAL GROSS CARRYING AMOUNT AT DEFAULT 157,133
TOTAL LIFETIME ECL (2,939)
Individual assessment:
ECL rate, % 34.69% 79.25% 22.4% 24.61% 98.93%
Estimated total gross carrying amount at default 735 425 1,023 1,593 11,185
14,961
Lifetime ECL (255) (337) (229) (392) (11,064)
(12,277)
ESTIMATED TOTAL GROSS CARRYING AMOUNT AT DEFAULT 172,094
TOTAL LIFETIME ECL (15,216)
23. TRADE ACCOUNTS RECEIVABLE (CONTINUED)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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SHAREHOLDER
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The following table illustrates the use of a provision matrix as a risk profile disclosure under the simplified approach as at 31 December 2020:
TRADE ACCOUNTS RECEIVABLE – DAYS PAST DUE
31 DECEMBER 2020 NOT PAST DUE
< 30 31-90 91-270 >270 TOTAL
PORTFOLIO ASSESSMENT
Chicken meat Ukraine
ECL rate, % 0.01% 0.11% 0.49% 0.70% 100%
Estimated total gross carrying amount at default 21,088 1,347 172 45 283
22,935
Lifetime ECL (2) (1) (1) - (283)
(287)
Chicken meat export
ECL rate, % 0.16% 0.35% 0.86% 2.46% 100%
Estimated total gross carrying amount at default 11,676 8,824 6,664 1,239 399
28,802
Lifetime ECL (19) (31) (57) (30) (399)
(536)
Agricultural Ukraine
ECL rate, % 0.08% 0.26% 0.53% 0.93% 100%
Estimated total gross carrying amount at default 12,733 3,417 1,170 364 1,484
19,168
Lifetime ECL (10) (9) (6) (3) (1,484)
(1,512)
Agricultural export
ECL rate, % 0.13% 0.28% 3.71% 7.49% 100%
Estimated total gross carrying amount at default 1,360 3,143 120 - -
4,623
Lifetime ECL (2) (9) (4) - -
(15)
European operating segment
ECL rate, % 0.03% 0.18% 1.12% 10.33% 100%
Estimated total gross carrying amount at default 31,811 5,826 818 92 146
38,693
Lifetime ECL (10) (10) (9) (10) (146)
(185)
ESTIMATED TOTAL GROSS CARRYING AMOUNT AT DEFAULT 114,221
TOTAL LIFETIME ECL (2,535)
Individual assessment:
ECL rate, % 0% 100% 100% 23.22% 100%
-
Estimated total gross carrying amount at default 2,710 13 49 6,240 10,476
19,488
Lifetime ECL - (13) (49) (1,449) (10,476)
(11,987)
ESTIMATED TOTAL GROSS CARRYING AMOUNT AT DEFAULT 133,709
TOTAL LIFETIME ECL (14,522)
23. TRADE ACCOUNTS RECEIVABLE (CONTINUED)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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23. TRADE ACCOUNTS RECEIVABLE (CONTINUED)
COLLECTIVELY
ASSESSED
INDIVIDUALLY
ASSESSED
1 JANUARY 2020 3,013 10,459
Charged/(reversed) during the year (478) 1,528
31 DECEMBER 2020 2,535 11,987
Charged/(reversed) during the year 404 290
31 DECEMBER 2021 2,939 12,277
24. OTHER CURRENT FINANCIAL ASSETS
2021 2020
Loans and finance aid provided to
related parties (Note 32)
450 68,695
Loan provided to third parties 5,685 5,179
Receivables for claims and
indemnification
1,969 345
Other financial assets 8,052 7,095
16,156 81,314
The balances of other current assets were as follows as of 31 December 2021 and 2020:
The Group determines the expected credit loss of loans and finance aid receivable and
other financial assets based on dierent scenarios of probability of default and expected loss
applicable to each of the material underlying balances.
The movement in loss is detailed below:
2021 2020
1 JANUARY (4,340) (3,128)
Charged/(reversed) during the year 1,819 (1,212)
31 DECEMBER (2,521) (4,340)
25. CASH AND CASH EQUIVALENTS
2021 2020
DEPOSIT
RATES
USD’ 000
DEPOSIT
RATES
USD’ 000
Cash and cash equivalents at banks
and on hand in
Ukrainian Hryvnia - 44,535 - 23,649
Euro - 105,416 - 42,498
US Dollars - 91,150 - 16,547
Other currencies - 22,889 - 10,784
Short-term deposits with an original
maturity of less than 90 days
Ukrainian Hryvnia - - 5,5%-8% 29,001
US Dollars - - 0,02%-1,8% 85,002
Euro - - 0% 6,545
Government bonds
Ukrainian Hryvnia - 11,247 - 3,553
TOTAL CASH AND EQUIVALENTS 275,237 217,579
In accordance with the international rating agency of Moody’s, credit ratings of the banks with which the Group had
accounts opened as of 31 December 2021 and 2020 were as follows:
2021 2020
International banks with A rating 162,941 75,891
International banks with B rating 30,321 5,975
Subsidiaries of international banks with
A rating
39,702 56,789
Subsidiaries of international banks with
B rating
17,098 38,666
Ukrainian banks with B rating 9,677 36,684
Domestic government bonds (OVDPs)
of Ukraine
11,247 3,553
Other banks without ratings 4,251 21
275,237 217,579
The following table shows the movement in lifetime ECL that has been recognised for trade
and other accounts receivable in accordance with the simplified approach set out in IFRS 9.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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GOVERNANCE FINANCIAL
STATEMENTS
SHAREHOLDER
INFORMATION
As of 31 December 2021 and 2020 the authorized,
issued and fully paid share capital of MHP SE
comprised the following number of shares:
2021 2020
Number of
shares issued
and fully paid
110,770,000 110,770,000
Number
of shares
outstanding
107,038,208 107,038,208
The authorized share capital as of 31 December
2021 and 2020 was EUR 221,540 thousand
represented by 110,770,000 shares with par value
of EUR 2 each.
All shares have equal voting rights and rights
to receive dividends, which are payable at the
discretion of the Company.
26. SHAREHOLDERS’ EQUITY
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
27. NON-CONTROLLING INTERESTS
NAME OF SUBSIDIARY
PROPORTION OF OWNERSHIP
INTERESTS AND VOTING
RIGHTS HELD BY NON-
CONTROLLING INTERESTS
PROFIT/(LOSS) ALLOCATED
TO NON-CONTROLLING
INTERESTS
ACCUMULATED
NON-
CONTROLLING
INTERESTS
2021 2020 2021 2020 2021 2020
Agro-S 49.0% 49% 10,427 4,399 11,625 6,566
AgroKryazh 49.0% 49% 5,937 981 10,028 4,689
Myronivsky Plant of Manufacturing
Feeds and Groats
11.5% 11.5% (625) (2,271) 4,944 2,288
Other subsidiaries with immaterial
non-controlling interests
n/a n/a 2,088 340 3,203 2,830
n/a n/a 17,827 3,449 29,800 16,373
The table below shows details of non-wholly owned subsidiaries of the Group that have material non-
controlling interests:
Summarised financial information in respect of each of the Group’s subsidiaries that has material non-controlling interests is set out below. The summarised financial
information below represents amounts before intragroup eliminations.
Summarised statement of financial position as of 31 December 2021 and 2020:
AGRO-S AGROKRYAZH
MYRONIVSKY PLANT OF
MANUFACTURING FEEDS
AND GROATS
2021 2020 2021 2020 2021 2020
Current assets 55,353 37,357 37,157 15,962 61,762 62,353
Non-current assets 29,137 21,765 22,655 17,518 117,710 94,134
Current liabilities (49,243) (33,821) (35,667) (20,852) (132,105) (59,088)
Non-current liabilities (11,887) (10,212) (9,332) (6,729) (11,737) (84,894)
TOTAL EQUITY 23,360 15,089 14,813 5,899 35,630 12,505
Attributable to
Owners of the Group 11,735 8,523 4,785 1,210 30,686 10,217
Non-controlling interest 11,625 6,566 10,028 4,689 4,944 2,288
Notes to the Consolidated Financial Statements

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SHAREHOLDER
INFORMATION
27. NON-CONTROLLING INTERESTS (CONTINUED)
AGRO-S AGROKRYAZH
MYRONIVSKY PLANT OF MANUFACTURING
FEEDS AND GROATS
2021 2020 2021 2020 2021 2020
Revenue 39,717 18,730 27,604 17,965 80,144 67,366
Expenses (18,440) (9,756) (15,496) (15,962) (85,594) (87,160)
PROFIT/(LOSS) FOR THE YEAR 21,277 8,974 12,108 2,003 (5,450) (19,794)
Profit/(loss) attributable to
Owners of the Group 10,850 4,575 6,171 1,022 (4,825) (17,523)
Non-controlling interests 10,427 4,399 5,937 981 (625) (2,271)
TOTAL PROFIT/(LOSS) 21,277 8,974 12,108 2,003 (5,450) (19,794)
OCI attributable to
Owners of the Group 1,098 (618) 1,664 (916) 25,323 (5,197)
Non-controlling interests 1,057 (594) 1,598 (879) 3,281 (675)
TOTAL OCI 2,155 (1,212) 3,262 (1,795) 28,604 (5,872)
Comprehensive income attributable to
Owners of the Group 11,948 3,957 7,835 106 20,498 (22,720)
Non-controlling interests 11,484 3,805 7,535 102 2,656 (2,946)
TOTAL COMPREHENSIVE INCOME/(LOSS) FOR THE
YEAR
23,432 7, 7 6 2 15,370 208 23,154 (25,666)
DIVIDENDS PAID TO NON-CONTROLLING
INTEREST
(6,425) - (2,196) - - -
Summarised statements of profit or loss and other comprehensive income for the years ended 31 December 2021 and 2020:
Summarised cash inflow/(outflow) for the years ended 31 December 2021 and 2020:
AGRO-S AGROKRYAZH
MYRONIVSKY PLANT OF MANUFACTURING
FEEDS AND GROATS
2021 2020 2021 2020 2021 2020
Operating activities 16,252 1,738 8,816 2,037 10,310 8,475
Investing activities (1,850) (717) (1,052) (434) (2,602) (1,969)
Non-controlling interests (12,870) (1,010) (4,615) (1,598) (6,072) (6,612)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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SHAREHOLDER
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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
28. BANK BORROWINGS
The following table summarizes bank borrowings and credit lines outstanding as of 31 December 2021 and 2020:
2021 2020
CURRENCY WAIR
1
USD’ 000 WAIR
1
USD’ 000
Non-current
EUR
EURIBOR +
1.23%
103,604
EURIBOR
2
+2.62%
63,142
EUR - 2.54% 1,466
103,604 64,608
Current
UAH - - 6.25% 3,537
USD SOFR
3
+ 2.20% 10,550
LIBOR +
3.25%
15,000
EUR 2.00% 99,536 2.30% 8,601
Current portion of
long-term bank
borrowings
EUR
EURIBOR +
1.23%
11,372 2.62% 12,650
121,458 39,788
TOTAL BANK BORROWINGS 225,062 104,396
Term loans and credit line facilities were as follows as of 31 December 2021 and 2020:
2021 2020
Credit lines 110,086 27,137
Term loans 114,976 77,259
225,062 104,396
Bank borrowings and credit lines outstanding as of 31 December 2021 and 2020 were repayable
as follows:
2021 2020
Within one year 121,458 39,788
In the second year 13,233 17,196
In the third to fifth year inclusive 76,456 47,412
After five years 13,915 -
225,062 104,396
As of 31 December 2021, the Group had available undrawn facilities of USD 255,970 thousand
(2020: USD 304,910 thousand). These undrawn facilities expire during the period until November
2026.
The Group, as well as particular subsidiaries of the Group, have to comply with the following
maintenance covenants imposed by the banks providing the loans: EBITDA to interest expenses
ratio, current ratio and liabilities to equity ratio. Separately, there are negative covenants in
respect of restricted payments, including dividends, capital expenditures, additional indebtedness
and restrictions on mergers or consolidations, limitations on liens and dispositions of assets and
limitations on transactions with aliates in case of excess of Net Debt to EBITDA ratio.
The Group subsidiaries are also required to obtain approval from lenders regarding property,
plant and equipment to be used as collateral. During the years ended 31 December 2021 and
2020 the Group has complied with all covenants imposed by banks providing the borrowings.
The Group’s borrowings are drawn from various banks as term loans, credit line facilities and overdrafts.
Repayment terms of principal amounts of bank borrowings vary from monthly repayment to repayment on
maturity depending on the agreement reached with each bank. Interest on borrowings drawn with foreign banks
is payable mostly semi-annually.
As of 31 December 2021 and 31 December 2020, the Group’s bank term loans and credit lines bear floating and
fixed interest rates.
1
WAIR represents the weighted average interest rate on outstanding borrowings.
2
According to the agreements terms, if market EURIBOR becomes negative, it shall be deemed to be zero for calculation of
interest expense.
3
The Secured Overnight Financing Rate (SOFR) is a broad measure of the cost of borrowing cash overnight collateralized by
Treasury securities
Notes to the Consolidated Financial Statements

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SHAREHOLDER
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28. BANK BORROWINGS (CONTINUED)
As of 31 December 2021 the Group has complied
with all bank covenants. As at 31 December 2021,
the Group’s leverage ratio improved to 1,90 to 1
from 3.66 to 1 as at 31 December 2020.
The Group’s bank borrowings are jointly and
severally guaranteed by MHP, Myronivsky Plant
of Manufacturing Feeds and Groats, Oril-Leader,
Peremoga Nova, Starynska Ptakhofabryka,
Zernoproduct MHP, Katerinopilskiy Elevator,
Agrofort, SPF Urozhay, MHP SE, Scylla Capital
Limited, Myronivska Pticefabrika, Ptakhofabryka
Snyatynska Nova, Vinnytska Ptakhofabryka,
Zakhid-Agro MHP, MHP-Urozhayna Krayina,
Raftan Holding Limited. But the bank borrowings
of Perutnina Ptuj - Pipo d.o.o., Perutnina Ptuj d.o.o.,
Perutnina Ptuj - Topiko d.o.o. are guaranteed by
Perutnina Ptuj.
As of 31 December 2021, the Group had
borrowings of USD 75,084 thousand that were
secured by property, plant and equipment with
a carrying amount of USD 91,931 thousand (31
December 2020: USD 60,958 thousand and USD
102,587 thousand respectively) (Note 14).
As of 31 December 2021, the Group had
borrowings of USD 30 550 thousand that were
secured by agricultural produce with a carrying
amount of USD 38,188 thousand (31 December
2020: USD 15,000 thousand and USD 18,750
thousand respectively) (Note 21).
As of 31 December 2021, the deposit with carrying
amount of USD 2,555 thousand (31 December
2020: USD 3,632 thousand) was restricted as
collateral to secure bank borrowings.
As of 31 December 2021 and 31 December 2020,
interest payable on bank borrowings was USD 423
thousand and USD 730 thousand, respectively.
29. BONDS ISSUED
Bonds issued and outstanding as of 31 December 2021 and 2020 were as follows:
CARRYING AMOUNT NOMINAL AMOUNT
31 DECEMBER 2021 31 DECEMBER 2020 31 DECEMBER 2021 31 DECEMBER 2020
7.75% Senior Notes due in 2024 490,851 487,480 500,000 500,000
6.95% Senior Notes due in 2026 538,346 536,153 550,000 550,000
6.25% Senior Notes due in 2029 347,623 347,366 350,000 350,000
Unamortized debt issuance cost - - (23,180) (29,001)
1,376,820 1,370,999 1,376,820 1,370,999
As of 31 December 2021 and 2020 accrued
interest on bonds issued was USD 20,757
thousand and USD 20,757 thousand, respectively.
6.25% SENIOR NOTES
On 19 September 2019, MHP Lux S.A., a public
company with limited liability (société anonyme)
incorporated in 2018 under the laws of the Grand
Duchy of Luxembourg, issued USD 350,000
thousand 6.25% Senior Notes due in 2029 at par
value. The funds received were used to satisfy
and discharge the 8.25% Senior Notes due in
April 2020, for debt refinancing and for general
corporate purposes.
All expenses associated with the placement of
the 6,25% Senior Notes amounted to USD 2,888
thousand and were capitalized.
The Senior Notes are jointly and severally
guaranteed on a senior basis by MHP SE, PrJSC
“Oril – Leader”, PrJSC “Myronivska Pticefabrika”,
“SPF “Urozhay” LLC, “Starynska Ptakhofabryka”
ALLC, “Vinnytska Ptakhofabryka” LLC, “Peremoga
Nova” SE, “Katerinopolskiy Elevator” LLC, PrJSC
“MHP”, PrJSC “Zernoprodukt MHP” and PrJSC
“Agrofort”.
Interest on the Senior Notes is payable semi-
annually in arrears in March and September.
These Senior Notes are subject to certain
restrictive covenants including, but not limited
to, limitations on the incurrence of additional
indebtedness in excess of Net Debt to EBITDA
ratio as defined by the indenture, restrictions on
mergers or consolidations, limitations on liens
and dispositions of assets and limitations on
transactions with aliates. If the Group fails to
comply with the covenants imposed, the Trustee
or the Holders of at least 25% in principal amount
of outstanding Notes may, upon written notice to
the Group, declare all outstanding Senior
Notes to be due and payable immediately. If a
change of control occurs, the Group shall make
an oer to each holder of the Senior Notes to
purchase such Senior Notes at a purchase price in
cash in an amount equal to 100% of the aggregate
principal amount thereof, plus accrued and unpaid
interest and additional amounts, if any.
6.95% SENIOR NOTES
On 3 April 2018, MHP Lux S.A. issued USD
550,000 thousand 6.95% Senior Notes due in
2026 at par value. Out of the total issue amount
USD 416,183 thousand were designated for
redemption and exchange of the existing 8.25%
Senior Notes due in 2020.
The part of expenses, connected with placement
of the 6,95% Senior Notes amounted to USD
11,564 thousand were capitalized, including USD
10,413 thousands related to the exchange. All other
related expenses in the amount of USD 32,915
thousand were expensed as incurred.
As a result of a non-substantial modification,
the dierence between the present value of the
cash flows under the original and modified terms
discounted at the original eective interest rate
was recognised as a gain in the amount of USD
4,733 thousand at the date of modification in the
consolidated profit or loss.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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29. BONDS ISSUED (CONTINUED)
6.95% SENIOR NOTES
The Senior Notes are jointly and severally
guaranteed on a senior basis by MHP SE, PrJSC
“MHP”, PJSC “Myronivsky Plant of Manufacturing
Feeds and Groats”, PrJSC “Zernoprodukt MHP”,
PrJSC “Agrofort”, PrJSC “Oril-Leader”, PrJSC
“Myronivska Pticefabrika”, “SPF “Urozhay” LLC,
“Starynska Ptakhofabryka” ALLC, “Vinnytska
Ptakhofabryka” LLC, “Peremoga Nova” SE,
“Katerinopolskiy Elevator” LLC, Scylla Capital
Limited.
Interest on the Senior Notes is payable semi-
annually in arrears in April and October.
These Senior Notes are subject to certain
restrictive covenants including, but not limited
to, limitations on the incurrence of additional
indebtedness in excess of Net Debt to EBITDA
ratio as defined by the indenture, restrictions on
mergers or consolidations, limitations on liens
and dispositions of assets and limitations on
transactions with aliates. If the Group fails to
comply with the covenants imposed, the Trustee
or the Holders of at least 25% in principal amount
of outstanding Notes may, upon written notice to
the Group, declare all outstanding Senior Notes
to be due and payable immediately. If a change
of control occurs, the Group shall make an oer
to each holder of the Senior Notes to purchase
such Senior Notes at a purchase price in cash in
an amount equal to 101% of the principal amount
thereof, plus accrued and unpaid interest and
additional amounts, if any.
7.75% SENIOR NOTES
On 10 May 2017, MHP SE issued USD 500,000
thousand 7.75% Senior Notes due in 2024 at
par value. Out of the total issue the amount of
USD 245,200 thousand were designated for
redemption and exchange of existing 8.25%
Senior Notes due in 2020.
The carrying amount of the Senior Notes was
adjusted on transition to IFRS 9. Under IFRS 9,
as a result of a non-substantial modification, the
difference between the present value of the
cash flows under the original and modified terms
discounted at the original eective interest rate
should be recognised as a gain at the date of
modification. The dierence between the carrying
amount of the Senior Notes under IAS 39 and IFRS
9 was recognised in opening retained earnings in
the amount of USD 7,566 thousand.
The Senior Notes are jointly and severally
guaranteed on a senior basis by PrJSC “MHP”,
PJSC “Myronivsky Plant of Manufacturing Feeds
and Groats”, PrJSC “Zernoprodukt MHP”, PrJSC
“Agrofort”, PrJSC “Oril-Leader”, PrJSC “Myronivska
Pticefabrika”, “SPF “Urozhay” LLC, “Starynska
Ptakhofabryka” ALLC, Vinnytska Ptakhofabryka
LLC, SE “Peremoga Nova”, “Katerinopolskiy
Elevator” LLC, Scylla Capital Limited.
Interest on the Senior Notes is payable semi-
annually in arrears in May and November. These
Senior Notes are subject to certain restrictive
covenants including, but not limited to, limitations
on the incurrence of additional indebtedness in
excess of Net Debt to EBITDA ratio as defined
by the indenture, restrictions on mergers or
consolidations, limitations on liens and dispositions
of assets and limitations on transactions with
affiliates. If the Group fails to comply with the
covenants imposed, the Trustee or the Holders
of at least 25% in principal amount of the then
outstanding Notes may, upon written notice to the
Group, declare all outstanding Senior Notes to be
due and payable immediately.
If a change of control occurs, the Group shall
make an oer to each holder of the Senior Notes
to purchase such Senior Notes at a purchase price
in cash in an amount equal to 101% of the principal
amount thereof, plus accrued and unpaid interest
and additional amounts, if any.
Covenants
Certain restrictions under the indebtedness
agreements (e.g. incurrence of additional
indebtedness, restricted payments, dividends
payment) are dependent on the leverage ratio
of the Group. Once the leverage ratio exceeds
3.0 to 1, it is not permitted for the Group to make
certain restricted payments, declare dividends
exceeding USD 30 million in any financial year,
incur additional debt except that is defined as a
Permitted Debt. According to the indebtedness
agreement, the consolidated leverage ratio is
tested on the date of incurrence of additional
indebtedness or restricted payment and after
giving pro forma effect to such incurrence or
restricted payment as if it had been incurred or
done at the beginning of the most recent four
consecutive fiscal quarters for which financial
statements are publicly available (or are
made available). The Group has tested all the
transactions occurred prior to publication of these
financial statements and has complied with all the
covenants defined by indebtedness agreement
during the reporting periods ended 31 December
2021 and 31 December 2020.
As at 31 December 2021 the leverage ratio of the
Group is 1.90 to 1 (31 December 2020: 3.66 to 1),
lower than the defined limit 3.0 to 1. The Group
believes that since, as at the interim reporting
date, it improved the leverage ratio and met
the covenants imposed, the aforementioned
restrictions are no longer applicable to the Group
as from 9 September 2021, the date of publication
of reviewed interim condensed consolidated
financial statements for the three and six months
ended 30 June 2021.
Consent solicitation
On 30 March 2022, the Group received consent
from the Holders to postpone the semi-annual
interest payments on each of the 2024 Notes,
the 2026 Notes and the 2029 Notes scheduled
for Spring 2022 for a period up to 270 days (the
“Support Period”). The unpaid interest payments
will continue accruing during the Support Period.
As defined by the Consent Solicitation
Memorandum, the Group will undertake the
following restrictions during the Support Period:
•
the Company and its Restricted Subsidiaries
shall not be able to incur Indebtedness pursuant
to the ratio-based permission for the Incurrence
of Indebtedness;
•
the “general basket” for the incurrence of
Permitted Debt shall be reduced to U.S.$10
million in aggregate principal amount;
•
the Company and its Restricted Subsidiaries
will be prohibited from incurring new Liens on
existing Indebtedness for borrowed money,
other than Permitted Refinancing Indebtedness
relating to existing secured Indebtedness;
•
the Company and its Restricted Subsidiaries will
be prohibited from making Restricted Payments
other than payments constituting Permitted
Investments;
•
the Permitted Investments “general basket”
shall not be available;
•
the threshold at which an Aliate Transaction
must be approved by a majority of the
disinterested members of the Board of Directors
shall be reduced to U.S.$1 million;
•
the Group is committed to paying no more than
U.S.$12.5 million in the aggregate in satisfaction
of any debt service payments in respect of any
Indebtedness of the Group, excluding any
interest payment in respect of any of the 2024
Notes, the 2026 Notes during the Support
Period;
•
within 25 days of each calendar month end, the
Company will provide a trading update detailing
operational data relating to the Group’s
business segments.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
30. LEASE LIABILITIES
Long-term lease obligations represent amounts
due under agreements for the leasing of
agricultural land, trucks, agricultural machinery and
equipment. As of 31 December 2021, the weighted
average interest rates on lease obligations were
3.21% (2020: 3.32%) and 17.60% (2020: 19.20%) for
lease obligations denominated in EUR and UAH
respectively.
Amount of interest expense on lease liabilities
for the year ended 31 December 2021 was USD
45,398 thousand (2020: USD 37,692 thousand).
The total cash outflow for leases for the year
ended 31 December 2021 was USD 66,254
thousand (2020: USD 53,215 thousand).
Amount of depreciation charge for right-of-use
assets and additions to right-of-use assets for the
year ended 31 December 2021 was USD 44,175
thousand and USD 31,152 respectively (2020: USD
33,056 thousand and USD 27,175 thousand ).
The carrying amount of lease liabilities as at 31
December 2021 includes USD 254,036 thousand
of land lease liabilities (2020: USD 176,840
thousand).
The following are maturity analysis of lease payments under the lease agreements as of 31 December
2021 and 2020:
2021 2020
AS AT 1 JANUARY 198,499 215,863
Cash repayments of lease liabilities (66,254) (53,215)
Foreign exchange movements (778) 2,442
Non-cash additions and change in terms 109,834 36,373
Non-cash repayments of lease liabilities
1
(10,793) (9,134)
Interest charged 45,398 37,692
Translation dierence 5,344 (31,522)
AS AT 31 DECEMBER 281,250 198,499
Current portion of lease liabilities 77,111 62,004
Long-term portion of lease liabilities 204,139 136,495
1
Non-cash repayments are represented by grains and other agriculture produce provided to lessors of land as settle-
ment of lease liabilities.
31. OTHER CURRENT LIABILITIES
Other current liabilities were as follows as of 31 December 2021 and 2020:
2021 2020
Aсcrued payroll and related taxes 65,804 47,925
Amounts payable for property, plant and equipment 14,194 8,646
VAT paybable 3,215 11,315
Provision for claims, penalties and indemnification 1,042 12,440
Other financial liabilities 9,034 6,312
93,289 86,638
Notes to the Consolidated Financial Statements

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SHAREHOLDER
INFORMATION
32. RELATED PARTY BALANCES AND TRANSACTIONS
For the purposes of these financial statements,
parties are considered to be related if one party
controls, is controlled by, or is under common
control with the other party, or exercises significant
influence over the other party in making financial
or operational decisions. In considering each
possible related party relationship, attention is
directed to the substance of the relationship, not
merely the legal form.
Related parties may enter into transactions which
unrelated parties might not, and transactions
between related parties may not be eected on
the same terms and conditions as transactions
between unrelated parties.
TRANSACTIONS WITH RELATED PARTIES UNDER
COMMON CONTROL
The Group, in the ordinary course of business,
enters into transactions with related parties that
are companies under common control of the
Principal Shareholder of the Group (Note 1) for the
purchase and sale of goods and services and in
relation to the provision of financing arrangements.
Terms and conditions of sales to related parties
are determined based on arrangements specific
to each contract or transaction. The terms of
the payables and receivables related to trading
activities of the Group do not vary significantly
from the terms of similar transactions with third
parties.
The transactions with the related parties during the years ended 31 December 2021 and 2020 were as
follows:
2021 2020
Loans and finance aid provided to related parties 3,694 57,106
Loans and finance aid repaid by related parties 71,000 10,000
Interest charged on loans and financial aid repaid 7,849 2,476
Interest charged on loans and finance aid provided 5,014 4,028
Sales of goods - 76
Purchases from related parties 398 16
Key management personnel of the Group
Loans provided 1,024 1,582
Loans repaid 766 721
The balances owed to and due from related parties were as follows as of 31 December 2021 and 2020:
2021 2020
Loans and finance aid receivable 2,971 73,035
Less: expected credit losses (2,521) (4,340)
450 68,695
Loans to key management personnel 4,774 4,698
Less: expected credit losses (397) (218)
4 377 4,480
Trade accounts receivable (Note 23) 113 109
Payables due to related parties 25 17
RELATED PARTY LOANS AND FINANCE AID
RECEIVABLE
On 21 January 2020, the Board approved a loan
facility of up to USD 80,000 thousand to the
Company’s principal shareholder, WTI Trading
Limited (“WTI”) to meet WTI’s general liquidity
requirements and other corporate purposes for a
maximum of three years.
As of 31 December 2021, all loans under this
facility had been fully repaid to the Group by WTI;
as at 31 December 2020, the total outstanding
balance amounted to USD 67,400 thousand.
During the year ended 31 December 2021 the
Group provided loans to WTI in the gross amount
of USD 3,600 thousand (31 December 2020: USD
57,000 thousand) and received repayments from
WTI in the amount of USD 71,000 thousand (31
December 2020: USD 10,000 thousand).
The Group’s Directors believe that the loans were
issued at arm’s length terms and for fair market
value, that they were in the best interests and for
the commercial benefit of the Group and did not
violate the terms of the Senior Notes (Note 29).
For other loans and finance aid receivable, credit
risk increased to the point where it is considered
credit-impaired. The expected credit loss for such
loans amounted to USD 2,482 thousand and USD
2,350 thousand as at 31 December 2021 and 2020
respectively.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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SHAREHOLDER
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COMPENSATION OF KEY MANAGEMENT
PERSONNEL
Key management personnel totalled 22 individuals
as of 31 December 2021 and 2020, including 3
and 4 independent non-executive directors as of
31 December 2021 and 2020, respectively.
Total compensation of the Group’s key
management personnel included primarily in
selling, general and administrative expenses in
the Consolidated Statements of Profit and Loss
and Other Comprehensive Income amounted to
USD 16,886 thousand and USD 15,141 thousand
for the years ended 31 December 2021 and 2020,
respectively. Compensation of key management
personnel consists of contractual salary and
performance bonuses.
Total compensation of the Group’s non-executive
directors, which consists of contractual salary,
amounted to USD 696 thousand and USD 958
thousand in 2021 and 2020, respectively.
Total compensation of the Group’s Executive
Chairman, which consists of contractual salary,
amounted to USD 643 thousand in 2021 (2020:
US$ 622 thousand).
LOANS TO KEY MANAGEMENT PERSONNEL
The Group has provided several of its key
management personnel with unsecured loans.
The loans to key management personnel provided
during 2021 and 2020 mainly include loans made
by the Ukraininan subsidiaries to the Group’s
executive directors which amounted to USD 1,024
thousand and USD 1,465 thousand, respectively.
32. RELATED PARTY BALANCES
AND TRANSACTIONS
(CONTINUED)
OPERATING ENVIRONMENT
On 24 February 2022, Russian forces commenced
a military invasion of Ukraine resulting in a full-
scale war across the Ukrainian state. The ongoing
military attack has led, and continues to lead, to
significant casualties, dislocation of the population,
damage to infrastructure and disruption to
economic activity in Ukraine. Sea ports and
airports are closed and have been damaged, and
many roads and bridges have been damaged or
destroyed, further crippling transportation and
logistics.
The situation remains highly fluid and the outlook
is subject to extraordinary uncertainty. The
economic consequences are already very serious.
The government has implemented appropriate
emergency measures to stabilize markets and
the economy, but the country faces large fiscal
and external financing gaps. Ukrainian authorities
have continued to service their external debt
obligations and the country’s payment system
remains operational, with banks open and mostly
liquid. Most Ukrainian companies still paying taxes.
International organizations (IMF, EBRD, EU, World
Bank), along with individual countries and charities,
have provided Ukraine with financing, donations
and material support. In total, international support
has reached more than USD 15 billion.
In view of the large-scale armed assault in Ukraine
by Russian forces, the National Bank of Ukraine
(‘NBU’) decided to postpone a decision on the
discount rate, leaving it unchanged at 10% and,
when the war started, moved to a fixed exchange
rate of UAH 29.25 to the US Dollar. The NBU has
also said that once the economy and financial
system return to operation, it will revert to the
traditional format of inflation targeting with a
floating exchange rate. The Ukrainian government
has introduced export licensing of key foodstus
including wheat, corn, poultry meat, and sunflower
oil. As of 15 March 2022, the Verkhovna Rada of
Ukraine approved a set of taxation amendments
to support Ukrainian businesses under war
conditions. The law establishes a special
economic regime during the period of martial
law. The key innovation is that all companies with
annual turnover of up to UAH 10 bln may now
stop paying VAT and corporate profit tax (CPT),
switching to a 2% turnover tax. Physically lost
goods are not subject to VAT. Reimbursement of
VAT for exporters is frozen. Private entrepreneurs
(Group 1 and Group 2) are allowed to pay no taxes
at all (and they are not expected to pay united
social contribution during 1 year after martial law
ends). For car fuel, excise tax is zeroed and VAT
rate is decreased from 20% to 7%. Also, support
of the national war eort is relieved from taxation.
Ukraine’s economy is expected to contract by 10%
to 30% in 2022 as a result of Russia’s invasion, but
the outlook could worsen sharply if the conflict
lasts longer.
TAXATION AND LEGAL ISSUES
Ukrainian tax authorities are increasingly directing
their attention to the business community as
a result of the overall Ukrainian economic
environment. The local and national tax
environment is constantly changing and subject
to inconsistent application, interpretation and
enforcement. Non-compliance with Ukrainian
laws and regulations can lead to the imposition
of severe penalties and fines. Future tax
examinations could raise issues or assessments
which are contrary to the Group companies’ tax
filings. Such assessments could include taxes,
penalties and fines, and these amounts could be
material. While the Group believes it has complied
with local tax legislation, new significant changes
to the tax legislation may be introduced in the near
future.
Management believes that the Group has been in
compliance with all requirements of eective tax
legislation.
The Group exports vegetable oil, chicken meat
and related products, and performs intercompany
transactions, which may potentially be in the
scope of the Ukrainian transfer pricing (“TP”)
regulations. The Group has submitted the
controlled transaction report for the years ended
31 December 2019 and 31 December 2020 within
the required deadlines.
As of 31 December 2021, the Group’s management
assessed its possible exposure to tax risks for a
total amount of USD 5,658 thousand related to
corporate income tax (31 December 2020: USD
5,459 thousand). No provision was recognised
relating to such possible tax exposure.
As of 31 December 2021, companies of the Group
were engaged in ongoing litigation with tax
authorities for the amount of USD 73,147 thousand
(2020: USD 36,616 thousand), including USD
59,670 thousand (2020: USD 26,153 thousand)
of litigations with the tax authorities related to
disallowance of certain amounts of VAT refunds
and deductible expenses claimed by the Group. Of
this amount, USD 48,912 thousand as of 31
33. CONTINGENCIES AND CONTRACTUAL COMMITMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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December 2021 (2020: USD 289 thousand)
relates to cases where court hearings have taken
place and where the court in either the first or
second instance has ruled in favour of the Group.
Manage¬ment believes that, based on the past
history of court resolutions of similar lawsuits by
the Group, it is unlikely that a significant settlement
will arise out of such lawsuits and, therefore, no
respective provision is required in the Group’s
financial statements as of the reporting date.
CONTRACTUAL COMMITMENTS ON PURCHASE
OF PROPERTY, PLANT AND EQUIPMENT
During the years ended 31 December 2021 and
2020, the companies of the Group entered into
a number of contracts with foreign suppliers for
the purchase of property, plant and equipment
for development of agricultural operations. As
of 31 December 2021, purchase commitments
amounted to USD 30,952 thousand (2020: USD
15,396 thousand).
33. CONTINGENCIES
AND CONTRACTUAL
COMMITMENTS
(CONTINUED)
At the extraordinary general meeting, held on 28
April 2021, the Shareholders of MHP SE approved
payment of an annual dividend of USD 0.2803
per share, equivalent to USD 30,000 thousand to
shareholders on the register as of 07 May 2021.
At its meeting on 17 November, in recognition of
the Company’s exceptional performance in 2021,
the Board of Directors approved the payment
of a one-o special dividend of US$ 0.2803 per
share, equivalent to USD 30,000 thousand. On
13 April 2020, the Board of Directors approved
payment of an interim dividend of USD 0.2803
per share, equivalent to USD 30,000 thousand to
shareholders on the register as of 24 April 2020.
34. DIVIDENDS
Fair value disclosures in respect of financial
instruments are made in accordance with the
requirements of IFRS 7 “Financial Instruments:
Disclosure” and IFRS 13 “Fair value measurement”.
Fair value is defined as the amount at which the
instrument could be exchanged in a current
transaction between knowledgeable willing
parties in an arm’s length transaction, other than
in forced or liquidation sale.
As no readily available market exists for a large
part of the Group’s financial instruments, judgment
is necessary in arriving at fair value, based on
current economic conditions and specific risks
attributable to the instrument. The estimates
presented herein are not necessarily indicative of
the amounts the Group could realize in a market
exchange from the sale of its full holdings of a
particular instrument.
The fair value is estimated to be the same as the
carrying value for cash and cash equivalents,
short-term bank deposits, trade accounts
receivables, other current assets and trade
accounts payable due to the short-term nature of
the financial instruments.
35. FAIR VALUE OF
FINANCIAL INSTRUMENTS
Set out below is the comparison by category of carrying amounts and fair values of all the Group’s financial
instruments, excluding those discussed above, that are carried in the consolidated statement of financial
position:
CARRYING AMOUNT FAIR VALUE
2021 2020 2021 2020
FINANCIAL LIABILITIES
Bank borrowings
(Note 28)
225,485 105,126 225,574 103,737
Senior Notes due in
2024, 2026, 2029
(Note 29)
1,397,577 1,391,756 1,389,024 1,515,005
The fair value of bank borrowings was estimated
by discounting the expected future cash outflows
by a market rate of interest for bank borrowings
1.8% (31 December 2020: 3.4%), and is within Level
2 of the fair value hierarchy.
The fair value of Senior Notes was estimated
based on market quotations and is within Level 1
of the fair value hierarchy.
In determining fair value of financial instruments,
the impact of potential climate-related matters,
including legislation, climate change, and
company climate objectives which may aect the
fair value measurement of financial assets and
liabilities has been considered. At present, the
impact of climate-related matters is not material
to the Group’s financial statements.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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RECONCILIATION OF LIABILITIES ARISING FROM FINANCING ACTIVITIES
The tables below details changes in the Group’s liabilities arising from financing activities, including both
cash and non-cash changes. Liabilities arising from financing activities are those for which cash flows were,
or future cash flows will be, classified in the Group’s consolidated statement of cash flows as cash flows from
financing activities:
35. FAIR VALUE OF FINANCIAL INSTRUMENTS (CONTINUED)
BANK
BORROWINGS
BONDS
ISSUED
LEASE
OBLIGATIONS
TOTAL
AS OF 31 DECEMBER 2020 104,396 1,370,999 198,499 1,673,894
Cash flow from proceeds /
(repayments)
120,054 - (66,254) 53,800
Non-cash movements
Foreign exchange movements 414 - (778) (364)
Non-cash additions and
change in terms
- - 109,834 109,834
Non-cash repayments of lease
liabilities
1
- - (10,793) (10,793)
Acquisition of subsidiaries 595 - - 595
Finance costs 2,741 106,730 45,398 154,869
Reclassification to interest
payable
(2,227) (100,909) - (103,136)
Translation dierence (911) - 5,344 4,433
AS OF 31 DECEMBER 2021 225,062 1,376,820 281,250 1,883,132
BANK
BORROWINGS
BONDS
ISSUED
LEASE
OBLIGATIONS
TOTAL
AS OF 31 DECEMBER 2019 100,825 1,365,669 215,863 1,682,357
Cash flow from proceeds /
(repayments)
(5,233) - (53,215) (58,448)
Non-cash movements
Foreign exchange
movements
11,827 - 2,442 14,269
Non-cash additions and
change in terms
- - 36,373 36,373
Non-cash repayments of
lease liabilities
1
- - (9,134) (9,134)
Finance costs 3,813 105,967 37,692 147,472
Reclassification to interest
payable
(3,291) (100,631) - (103,922)
Translation dierence (3,545) (6) (31,522) (35,073)
AS OF 31 DECEMBER 2020 104,396 1,370,999 198,499 1,673,894
1
Non-cash repayments are represented by grains and other agriculture produce provided to lessors of land as settlement
of lease liabilities.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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SHAREHOLDER
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36. RISK MANAGEMENT POLICIES
During the years ended 31 December 2021 and
2020 there were no material changes to the
objectives, policies and process for credit risk,
capital risk, liquidity risk, currency risk, interest
rate risk, livestock diseases risk and commodity
price and procurement risk managing.
CAPITAL MANAGEMENT
The Group manages its capital to ensure that
entities of the Group will be able to continue
as a going concern while maximising the return
to the equity holders through maintaining a
balance between the higher returns that might
be possible with higher levels of borrowings and
the security aorded by a sound capital position.
The management of the Group reviews the capital
structure on a regular basis. Based on the results
of this review, the Group takes steps to balance
its overall capital structure through new share
issues and through the issue of new debt or the
redemption of existing debt.
The Group’s target is to achieve a gearing ratio of
not higher than 2.5. The Group defines its gearing
ratio as the proportion of total liabilities to total
equity.
As of 31 December 2021 and 2020 the gearing ratio was as follows:
2021 2020
Total Liabilities 2,309,591 2,028,619
Total Equity 1,794,188 1,254,203
Total liabilities to Equity 1.29 1.62
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
MAJOR CATEGORIES OF FINANCIAL INSTRUMENTS
2021 2020
FINANCIAL ASSETS
Cash and cash equivalents (Note 25) 275,237 217,579
Trade accounts receivable (Note 23) 156,878 119,187
Other current financial assets (Note24 ) 16,156 81,314
Non-current financial assets (Note 18 ) 28,764 23,083
Long-term bank deposits 9,904 4,612
486,939 445,775
2021 2020
FINANCIAL LIABILITIES
Bonds issued (Note 29) 1,376,820 1,370,999
Lease liabilities (Note 30) 281,250 198,499
Trade accounts payable 174,242 149,768
Bank borrowings (Note 28) 225,062 104,396
Accrued payroll and related taxes (Note 31) 65,804 47,925
Interest payable (Note 28,29) 21,180 21,487
Amounts payable for property, plant and equipment (Note 31) 14,194 8,646
Provision for claims, penalties and indemnification (Note 31) 1,042 12,440
VAT payable (Note 31) 3,215 11,315
Other financial liabilities (Note 31) 9,034 6,312
2,171,843 1,931,787
The main risks inherent to the Group’s operations
are those related to credit risk, liquidity risk,
currency risk, interest rate and commodity price
risk.
CREDIT RISK
The Group is exposed to credit risk which is the
risk that one party to a financial instrument will fail
to discharge an obligation and cause the other
party to incur a financial loss. The Group does not
hold any collateral or other credit enhancements
to cover its credit risks associated with its financial
assets. The carrying amount of financial assets
disclosed in the table “Major categories of
financial instruments” represent the maximum
credit exposure.
The Group structures the levels of credit risk it
undertakes by placing limits on the amount of risk
accepted in relation to one customer or group of
customers. The approved credit period for major
groups of customers, which include franchisees,
distributors and supermarkets, is set up to 30
days.
Limits on the level of credit risk by customer
are approved and monitored on a regular basis
by the management of the Group. The Group’s
management assesses amounts receivable from
the customers for recoverability starting from 30
and 60 days for receivables on sales of poultry
meat and receivables on other sales, respectively.
As of 31 December 2021 about 17% (2020: 17%) of
trade accounts receivable comprise amounts due
from 12 large supermarket chains, which have the
shortest contractual receivable settlement period
among customers.
The credit risk on liquid funds is limited because
the counterparties are banks with high credit-
ratings assigned by international credit-rating
agencies.
Notes to the Consolidated Financial Statements

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SHAREHOLDER
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36. RISK MANAGEMENT POLICIES (CONTINUED)
LIQUIDITY RISK
Liquidity risk is the risk that the Group will not be able to
settle all liabilities as they are due. The Group’s liquidity
position is carefully monitored and managed. The Group
has in place a detailed budgeting and cash forecasting
process to help ensure that it has adequate cash available
to meet its payment obligations.
The following table details the Group’s remaining
contractual maturity for its financial liabilities. The table
has been drawn up based on the undiscounted cash flows
of financial liabilities using the earliest date on which the
Group can be required to pay. The table includes both
interest and principal cash flows as of 31 December 2021
and 2020. The amounts in the table may not be equal to
the statement of financial position carrying amounts since
the table includes all cash outflows on an undiscounted
basis.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
CARRYING
AMOUNT
CONTRACTUAL
AMOUNTS
LESS THAN
1 YEAR
FROM 2ND
TO 5TH YEAR
AFTER
5TH YEAR
YEAR ENDED 31 DECEMBER 2021
Bank borrowings 225,485 229,766 123,615 92,188 13,963
Bonds issued 1,397,577 1,843,888 98,850 1,329,413 415,625
Lease liabilities 281,250 529,679 77,954 233,731 217,993
Trade accounts
payable
174,242 174,242 174,242 - -
Other current
liabilities
93,289 93,289 93,289 - -
TOTAL 2,171,843 2,870,864 5 6 7,9 5 0 1,655,332 647,581
YEAR ENDED 31 DECEMBER 2020
Bank borrowings 105,126 109,620 42,150 67,470 -
Bonds issued 1,391,756 1,942,738 98,850 837,275 1,006,613
Lease liabilities 198,499 405,127 57,204 184,699 163,224
Trade accounts
payable
149,768 149,768 149,768 - -
Other current
liabilities
86,638 86,638 86,638 - -
TOTAL 1,931,787 2,693,891 434,610 1,089,444 1,169,837
All other financial liabilities (excluding those disclosed
above) are repayable within one year.
The Group’s target is to maintain its current ratio, defined
as the proportion of current assets to current liabilities, at
the level of not less than 1.2. As of 31 December 2021 and
2020, the current ratio was as follows:
2021 2020
Current assets 1,654,939 1,174,348
Current liabilities 529,263 374,912
3.13 3.13
Notes to the Consolidated Financial Statements

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SHAREHOLDER
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36. RISK MANAGEMENT POLICIES (CONTINUED)
2021 2020
USD EUR USD EUR
ASSETS
Long-term bank deposits - 7,203 - 4,612
Non-current financial assets 19,657 - 18,162 -
Trade accounts receivable 29,280 21,341 20,906 12,584
Other current financial assets 661 - 68,681 8
Cash and cash equivalents 91,107 13,339 101,549 14,208
140,705 41,883 209,298 31,412
LIABILITIES
Current liabilities
Trade accounts payable 4,723 8,141 6,691 9,031
Other current liabilities 1,186 3,235 3,165 1,865
Interest payable 20,860 304 20,770 462
Short-term bank borrowings 110,086 10,445 15,000 14,821
Short-term lease liabilities - 2,884 - 3,512
136,855 25,009 45,626 29,691
NON-CURRENT LIABILITIES
Long-term bank borrowings 150 12,450 97 24,983
Bonds issued
1
1,376,820 - 1,370,999 -
Long-term lease liabilities - 4,936 - 5,230
1,376,970 17,386 1,371,096 30,213
NET LIABILITY 1,373,120 512 1,207,424 28,492
CURRENCY RISK
Currency risk is the risk that the value of a financial
instrument will fluctuate due to changes in foreign
exchange rates. The Group undertakes certain transactions
denominated in foreign currencies. The Group does not
use any derivatives to manage foreign currency risk
exposure, but the management of the Group sets limits
on the level of exposure to foreign currency fluctuations in
order to manage currency risk.
The carrying amounts of the Group’s foreign currency denominated monetary assets and liabilities as of 31 December were
as follows:
The table below illustrates the Group’s sensitivity to a change in the exchange rate of the
Ukrainian Hryvnia against the US Dollar and EUR. The sensitivity analysis includes only
outstanding foreign currency denominated monetary items and adjusts their translation at
the year end for possible change in foreign currency rates.
CHANGE IN FOREIGN
CURRENCY EXCHANGE
RATES
EFFECT ON PROFIT
BEFORE TAX, GAIN/
(LOSS)
2021
Increase in USD
exchange rate
15% (205,968)
Increase in EUR
exchange rate
15% (77)
Decrease in USD
exchange rate
15% 205,968
Decrease in EUR
exchange rate
15% 77
2020
Increase in USD
exchange rate
15% (181,114)
Increase in EUR
exchange rate
15% (4,274)
Decrease in USD
exchange rate
15% 181,114
Decrease in EUR
exchange rate
15% 4,274
During the year ended 31 December 2021 the Ukrainian Hryvnia appreciated against the EUR
and USD by 12.34% and 3.65% respectively (2020: depreciated against the EUR by 23.94%
and 16.23% against the USD). As a result, during the year ended 31 December 2021 the Group
recognised net foreign exchange gain in the amount of USD 40,466 thousand (2020: foreign
exchange loss in the amount of USD 203,664 thousand) in the consolidated statement of
profit or loss and other comprehensive income.
1
Bonds were issued by MHP Lux S.A. and MHP SE, which functional currency is USD. Proceeds from bonds issue were transferred in the form of USD denominated intragroup loans to Ukrainian subsidiaries of the Group, which functional currency is
UAH, therefore the Group treats bonds issued balance as foreign currency denominated balance. Foreign exchange gain/loss on such intragroup loans is recognized in the consolidated statement of profit or loss, while loan balances themselves are
eliminated on consolidation.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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36. RISK MANAGEMENT POLICIES (CONTINUED)
CURRENCY RISK (CONTINUED)
The currency risk is mitigated by the existence of USD-denominated proceeds from sales of sunflower oil, grain and chicken meat, which are
sucient for servicing the Group’s foreign currency denominated liabilities and were as follows during the years, ended 31 December 2021
and 2020:
2021 2020
Chicken meat and related products 769,563 577,255
Vegetable oil and related products 290,230 274,979
Grain 140,072 114,304
Other agricultural segment products 69,564 49,217
1,265,429 1,015,755
INTEREST RATE RISK
Interest rate risk arises from the possibility that changes in interest rates will aect primarily borrowings by changing future cash flows. For
variable rate borrowings, interest is linked to SOFR or EURIBOR.
The below table illustrates the Group’s sensitivity to increases or decreases of interest rates by 1%. The analysis was applied to interest bearing
liabilities (bank borrowings and lease obligations) based on the assumption that the amount of liability outstanding as of the reporting date
was outstanding for the whole year.
INCREASE/ (DECREASE) OF FLOATING RATE EFFECT ON PROFIT BEFORE TAX, GAIN/(LOSS)
2021
SOFR 1% (106)
SOFR -1% 106
EURIBOR 1% (1,200)
EURIBOR -1% 969
2020
LIBOR 1% (150)
LIBOR -1% 150
EURIBOR 1% (817)
EURIBOR -1% 59
The eect of interest rate sensitivity on shareholders’ equity is equal
to that on consolidated statement of profit or loss.
LIVESTOCK DISEASES RISK
The Group’s agro-industrial business is subject to risks of outbreaks
of various diseases. The Group faces the risk of outbreaks of
diseases, which are highly contagious and destructive to susceptible
livestock, such as avian influenza or bird flu for its poultry operations.
These and other diseases could result in mortality losses. Disease
control measures were adopted by the Group to minimize and
manage this risk. Management is satisfied that its current existing
risk management and quality control processes are eective and
sucient to prevent any outbreak of livestock diseases and related
losses.
COMMODITY PRICE AND PROCUREMENT RISK
Commodity price risk arises from the risk of an adverse effect
on current or future earnings from fluctuations in the prices of
commodities. To mitigate this risk the Group continues expansion of
its grain growing segment, as part of vertical integration strategy, and
also accumulates sucient commodity stock to meet its production
needs.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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37. PENSIONS AND RETIREMENT PLANS
The employees of the Group receive pension benefits
from the government in accordance with the laws and
regulations of respective jurisdictions.
The Group’s contributions to the State Pension Fund for
the yThe Group’s contributions to the State Pension Fund
for the year ended 31 December 2021 was USD 58,458
thousand and is recorded in the consolidated statement
of profit or loss and other comprehensive income on an
accrual basis (2020: USD 51,465 thousand). The Ukrainian
companies of the Group are not liable for any other
supplementary pensions, post-retirement health care,
insurance benefits or retirement indemnities to its current
or former employees, other than pay-as-you-go expenses.
In accordance with the legislative regulations, collective
contract, and internal rules, the companies of the European
operating segment are committed to the payment of loyalty
bonuses to employees and severance payments upon
their retirement for which long-term provisions are made.
Provisions are recognized in other operating expenses in
the Consolidated Statement of Profit or Loss and Other
Comprehensive Income and in other non-current liabilities
in the Statement of Financial Position.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
The balances of provisions for employee benefits were as follows as of 31 December 2021 and 2020:
2021 2020
Provisions for severance payments 4,731 4,932
Provisions for loyalty bonuses 1,182 1,328
5,913 6,260
The following table represents movements in provisions for employee benefits for the year ended 31 December 2021:
PROVISIONS FOR
SEVERANCE PAYMENTS
PROVISIONS FOR
LOYALTY BONUSES
31 DECEMBER 2020 4,932 1,328
Formation 272 49
Expenditure (85) (95)
Translation Dierences (388) (100)
31 DECEMBER 2021 4,731 1,182
38. EARNINGS PER SHARE
The earnings and weighted average number of ordinary shares used in calculation of
earnings per share are as follows:
FROM CONTINUED
OPERATIONS
2021 2020
Profit for the year attributable to
equity holders of the Parent
378,968 (135,024)
Earnings used in calculation of
earnings per share
378,968 (135,024)
Weighted average number of shares
outstanding
107,038,208 107,038,208
Basic and diluted earnings per share
(USD per share)
3.54 (1.26)
The Group has neither potentially dilutive ordinary shares nor other dilutive instruments;
therefore, the diluted earnings per share equal basic earnings per share. The
denominators used are the same as those detailed above for both basic and diluted
earnings per share from discontinued operations presented in Note 3.
Notes to the Consolidated Financial Statements

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39. SUBSEQUENT EVENTS
On 24 February 2022, Russian forces commenced
a military invasion of Ukraine resulting in a full-
scale war across the Ukrainian state. Many
Ukrainian cities suered substantial damage as
a consequence of the continuous missile and
artillery strikes, resulting in thousands of deaths
and injuries, including among civilians.
As a result of the invasion, the Group has
experienced a number of significant disruptions
and operational issues within its business,
including, but not limited to:
Production and Sales
While MHP continues commercial poultry sales
in Ukraine, export sales have significantly
reduced due to the closure of Ukrainian seaport
infrastructure. MHP is evaluating remaining options
to carry out export deliveries via alternative routes,
including by road and rail, although this is also
problematic due to logistical issues caused
by infrastructure damage and low capacity. In
addition, domestic deliveries in some regions have
been and continue to be significantly disrupted
due to active hostilities.
There have been significant supply chain
disruptions due to logistical challenges, including
the supply of vitamins and minerals for production
of feed, plant protection materials, diesel and
other inputs. Nonetheless, having received
substantial support from global agricultural
companies, the Group’s production facilities are
now able to run at close-to-normal utilization, with
production directed primarily to satisfy domestic
needs with the balance to partially meet export
orders. The Group is taking all actions necessary
to enable a return to full-scale production as soon
as practically possible. Escalation of the situation
in the Donetsk region increases the risks and
dangers of the Group’s employees’ security. MHP
has decided to temporarily suspend operations of
“Ukrainian Bacon” (meat-processing operations
with 34,000 tonnes annual capacity, Donetsk
region).
The Group’s European operations at Perutnina
Ptuj have not been aected in any way by events
in Ukraine, as they are fully independent and self-
sucient from an operational and supply chain
perspective, and continue to produce at full
capacity.
Continuous humanitarian eorts
The Group, working with volunteers, has been
providing humanitarian aid (mainly through food
supply) to the population of Ukraine since the
beginning of the war, despite logistical challenges.
Since the invasion, MHP has provided over 11,000
tonnes of poultry products pro bono.
Condition of Assets
As of 05 May 2022, the Group’s poultry production
facilities have not suered any damage.
A stock of poultry products worth USD 6.1 million
was destroyed by a Russian missile strike on a
rented warehouse in the Kyiv region on 12 March
2022.
The Group has been able to commence its 2022
sowing campaign on the majority of its land
bank although, as up to 2,000 hectares in the
Sumy region remains temporarily inaccessible to
the Group, MHP’s sowing campaign cannot be
conducted in this region according to schedule.
Impact on financial position and results of
operations
Realization of the 2022 sowing campaign, with
its associated working capital requirements,
will be crucial for the continuity of the business.
The success of the harvest is also expected
to contribute to food security in Ukraine and
internationally. While, under normal conditions,
the sowing campaign is predominantly financed
through the Group’s working capital facilities, the
majority of the Group’s undrawn finance facilities
are not available (including USD 154 million).
As a consequence of the current situation, and
in order to preserve cash, on 30 March 2022,
the Group received consent from the Holders
to postpone the interest payments on each of
the 2024 Notes, the 2026 Notes and the 2029
Notes scheduled for Spring 2022 for a period
up to 270 days (the “Support Period”). he unpaid
interest payments will continue accruing during
the Support Period, and at the same time, the
Group has undertaken a number of restrictions
(Note 29), as stipulated in the Consent Solicitation
Memorandum. The proposed measures are
expected to allow the Group focusing on its
operational objectives and business continuity in
this unique and challenging environment. Also,
the Group has already requested its bank lenders
to agree to a general postponement of debt
servicing in the current environment for at least
the same period of up to 270 days. Historically
Management maintained a fruitful relation with
IFI and banks having excellent credit history in
2008, in 2014 crisis periods and through COVID
pandemic period and expects to complete such
postponement in the near future. The Group has
determined that these events are non-adjusting
subsequent events. Accordingly, the financial
position and results of operations as of and for
the year ended 31 December 2021 have not been
adjusted to reflect their impact. The duration and
impact of the war in Ukraine remains unclear at
this time. It is not possible to reliably estimate the
duration and severity of these consequences, as
well as their impact on the financial position and
results of the Group for future periods.
After consideration of all available evidence and
actions taken and planned by the Group to o-
set the adverse eects of the on-going military
invasion on the business up to the date when
these financial statements are authorized for issue,
Management concluded that it is appropriate
to prepare the financial statements on a going
concern basis, while acknowledging a material
uncertainty therein as discussed in Note 4.
40. AUTHORIZATION OF THE
CONSOLIDATED FINANCIAL
STATEMENTS
These consolidated financial statements were
authorized for issue by the Board of Directors of
MHP SE on 05 May 2022.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
(in thousands of US dollars, unless otherwise indicated)
Notes to the Consolidated Financial Statements

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MHP at a glance
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163 Financial Calendar
163 Key Contacts & Advisors
164 Glossary of Terms

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Shareholder Information
ANASTASIYA SOBOTYUK
DIRECTOR OF INVESTOR
RELATIONS
FINANCIAL CALENDAR
MHP’s financial calendar can be found here:
mhp.com.ua/en/investor-relations/calendar.
The calendar is updated to show relevant events and
dates.
KEY CONTACTS & ADVISORS
Company Registered Oce
16-18 Zinas Kanther Street,
Ayia Triada,
3035 Limassol,
Cyprus
Company Oce
EB 1, Nicolaides Sea View City Block AB,
3-7 Archbishop Makarios III Avenue,
6017 Larnaca,
Cyprus
Director of Investor Relations
and International Communications
Anastasiya Sobotyuk
Email: a.sobotyuk@mhp.com.ua
+38 050 339 29 99
+38 641 30 72 65
Website
Shareholders are encouraged to visit our websites:
• www.mhp.ua
• www.mhp.com.cy to obtain information on the
Company including its history, reports, news and
press information.
Auditor
Ernst & Young Cyprus Limited,
Jean Nouvel Tower,
6 Stasinou Avenue,
1511 Nicosia,
Cyprus
Registrar
Citigroup Global Markets Deutschland AG
Reuterweg 16 60323 Frankfurt Germany

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Shareholder Information
AС Audit Committee
AGM Annual general meeting
AI Artificial Intelligence
B2B Business to Business
Broiler A young chicken raised for meat
CAPEX Capital expenditure
CEO Chief Executive Ocer
CFO Chief Financial Ocer
CIS Commonwealth of
Independent States
Company MHP SE
COSO Committee of Sponsoring
Organisations
CO2 Carbon Dioxide
CO2e Carbon Dioxide Equivalent
COVID-19 Coronavirus Disease 2019
CSR Corporate Social Responsibility
DAP Delivered At Place
EBITDA Earnings before interest, tax,
depreciation and amortisation
EBRD European Bank for Reconstruction
and Development
EGM Extraordinary general
meeting
EOS European Operating Segment
ERP Enterprise Кesource Planning
ESG Environmental, Social and
Governance
EU European Union
EUR Euro
FOB Free On Board
Fodder Food for livestock
FX Foreign Exchange
GCC Gulf Cooperation Council
GDP Gross Domestic Product
GFSI Global Food Safety Initiative
GDR Global depositary receipt
GMO Genetically Modified Organisms
Greenfield Relating to previously
undeveloped sites
GRI Global Reporting Initiative
Group MHP SE and its subsidiaries
Grow-out The period during which the
broilers are raised
GWP Global warming potential
Ha Hectares
HR Human resources
IAS International Accounting
Standards
IEA International Energy Agency
IFC International Finance Corporation
IFI International financial institution
IFRS International Financial Reporting
Standards
IR Investor relations
JV Joint venture
Kg Kilograms
KPIs Key performance indicators
KSA Kingdom of Saudi Arabia
LHS Left Hand Scale
LTM Last twelve months
M&A Mergers and acquisitions
MENA Middle East and North Africa
region
MW Megawatt
NBU National Bank of Ukraine
NED Non-executive director
NGO Non-governmental
organisation
NBC Nominations and
Remuneration Committee
OECD Organisation for Economic
Co-operation and Development
PP Perutnina Ptuj, acquired during
2019
pps Persentage Points
R&D Research and development
RHS Right Hand Scale
SE Societas Europaea
SKU Stock keeping unit, or
distinct type of item for sale
SPOT A contract for immediate settle-
ment on the spot date
UAE United Arab Emirates
UAH Ukrainian Hryvnia
UK United Kingdom
UNIC Ukrainian Network of Integrity and
Compliance
US United States
US$ /USD United States Dollar
y/y Year-on-year
VAT Value-added tax

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