MHP SE Posts Strong Q3 2025 Growth with 46% Net Profit Surge and Expands European Footprint via UVESA Acquisition

Q3 2025 at a glance: revenue up 29% and net profit up 46%

MHP SE has delivered a strong third quarter, with net profit jumping 46% year-on-year to US$ 140 million. Revenue climbed 29% to US$ 1,000 million, underpinned by robust global demand for chicken and processed products, firmer pricing, and solid execution despite a very tough operating backdrop in Ukraine.

Margins were mixed. Operating profit (excluding impairment) rose 15% to US$ 177 million, but the operating margin eased to 18% from 20%. Adjusted EBITDA (net of IFRS 16) increased 27% to US$ 219 million, with the margin steady at 22%.

Q3 2025 headline figures	Q3 2025	Q3 2024	Change
Revenue	US$ 1,000 million	US$ 773 million	+29%
Operating profit (excl. impairment)	US$ 177 million	US$ 154 million	+15%
Adjusted EBITDA (net of IFRS 16)	US$ 219 million	US$ 173 million	+27%
Net profit	US$ 140 million	US$ 96 million	+46%

In plain English: MHP is selling more at higher prices and converting that into stronger earnings, even while absorbing war-related costs and some segment headwinds.

Nine-month snapshot: growth, FX tailwinds, and some margin pressure

For 9M 2025, revenue increased 16% to US$ 2,635 million. Adjusted EBITDA edged up 4% to US$ 455 million, though the margin slipped to 17% from 19% as costs – including war-related items and payroll – bit into profitability. Operating profit fell 10% to US$ 313 million.

Net profit rose to US$ 215 million (9M 2024: US$ 141 million), helped by a US$ 23 million net foreign exchange gain compared to a US$ 98 million loss last year. Basic EPS came in at US$ 1.94 for the nine months.

UVESA acquisition: bigger European footprint and added capacity

In July, MHP acquired 92% of Spain’s Grupo UVESA, a leading vertically integrated poultry and pork producer. The total consideration was EUR 271 million (US$ 312 million). From 1 August to 30 September, UVESA contributed US$ 126 million of revenue and US$ 3 million of net profit. In those two months, UVESA produced 32,913 tonnes of poultry and 19,537 tonnes of pork.

The deal adds scale in the EU, broadens product mix, and should support export reach to Europe and the Middle East. Provisional goodwill of US$ 44 million reflects expected synergies; the purchase price allocation is not yet final. Management’s integration priorities include operational alignment, efficiency investment and product innovation.

Operational trends: prices up, Ukraine volumes down, exports steady

• Ukraine poultry production fell 10% y/y in Q3 to 151,023 tonnes, reflecting the operational challenges of war. The European operating segment (excluding UVESA) increased poultry production 7% to 41,288 tonnes.
• Pricing did the heavy lifting. MHP Ukraine’s average poultry price rose 18% to US$ 2.45 per kg; in Europe (excluding UVESA), the average price rose 3% to EUR 3.66 per kg.
• Exports from Ukraine were stable at 88,714 tonnes in Q3 (Q3 2024: 90,486 tonnes) and 274,303 tonnes for 9M (9M 2024: 276,340 tonnes).

Bottom line: firm pricing and resilient exports offset lower Ukrainian volumes, while the UVESA acquisition boosts European production and sales.

Segment breakdown: poultry strong, vegetable oil soft, agriculture shines

Poultry and processed meat

• Q3 revenue up 23% to US$ 505 million.
• Gross profit US$ 105 million; margin 21% (Q3 2024: 20%).
• Adjusted EBITDA US$ 73 million; margin 14% (stable).

This is the core engine: strong pricing and processed products supported growth despite lower Ukrainian volumes.

Vegetable oil

• Q3 revenue down 25% to US$ 89 million.
• Adjusted EBITDA down 53% to US$ 7 million; margin 8% (Q3 2024: 13%).

Rising oilseed costs squeezed margins sharply. This remains the soft spot in the portfolio.

Agriculture

• Q3 revenue down 3% to US$ 89 million.
• Adjusted EBITDA up 43% to US$ 136 million.

Agriculture benefitted from seasonality and revaluation effects, translating into a strong EBITDA performance in the quarter.

European operating segment

• Q3 revenue up 111% to US$ 317 million, reflecting UVESA consolidation and growth in existing European operations.
• Adjusted EBITDA up 41% to US$ 38 million; margin 12% (down from 18% as mix and input costs weighed).

Cash flow, debt and liquidity: headroom maintained, refinancing on the radar

Cash generation improved. Net cash from operating activities was US$ 197 million in Q3 and US$ 359 million for 9M. Heavy investment and M&A drove net investing outflows of US$ 299 million in Q3 and US$ 478 million year-to-date, including US$ 276 million cash out for UVESA. Cash at 30 September stood at US$ 463 million (31 December 2024: US$ 355 million).

Net debt was US$ 1,529 million, with LTM adjusted EBITDA of US$ 586 million, giving a Net debt/EBITDA ratio of 2.61 – below the 3.0 covenant limit. On a pro forma basis for the acquisition, leverage was 2.40 to 1. The US$ 550 million 6.95% Senior Notes due April 2026 have been reclassified as current; management plans to initiate the refinancing execution in Q1 2026. The Group reports covenant compliance across its facilities.

War impact and key risks: resilient, but not risk-free

The war in Ukraine continues to affect energy, staffing, logistics and infrastructure. War-related costs recognised in 9M 2025 totalled US$ 51.5 million, including community support and costs for mobilised employees. The auditor highlighted a material uncertainty related to going concern due to the unpredictable course of the war and related assumptions. Importantly, the review conclusion itself was not modified.

Trade conditions in the EU have also shifted, with the expiry of Autonomous Trade Measures on 5 June 2025 and the reinstatement of tariffs and quotas on key agricultural exports. Management is monitoring and adjusting operations to the evolving landscape.

Dividends and shareholder returns

No final dividend was declared for 2024, and no interim dividend has been declared for the nine months to 30 September 2025. Given the operating environment and the upcoming bond maturity, liquidity preservation remains the priority.

Why this update matters: my take

• Positive – earnings momentum: Q3 shows pricing power and operational resilience. Net profit and EBITDA growth are clear positives.
• Positive – strategic expansion: the UVESA deal materially scales MHP’s European platform, diversifies revenue and adds pork exposure.
• Mixed – margins: group operating and EBITDA margins dipped year-to-date. Vegetable oil pressure and wartime costs are the key drags.
• Key watch – refinancing: the US$ 550 million 2026 notes move centre stage in 2026. Leverage of 2.61x and strong cash generation help, but execution timing and cost of capital will matter.
• Risk lens – war and EU trade: elevated operational risk persists in Ukraine, and EU market access conditions have tightened versus 2024. Both are manageable so far, but they are not trivial.

Net-net, this is a solid quarter with a meaningful strategic step in Europe. If MHP keeps integrating UVESA smoothly, holds pricing, and navigates the 2026 refinancing as planned, the investment case strengthens. The flip side remains the war-driven uncertainty and segment volatility in vegetable oil.

Useful links and next steps

• Results presentation and details: MHP SE Results and Presentations
• Live slides for the results call: Conference call slides

If you’re following the name, keep an eye on UVESA integration metrics, poultry pricing, vegetable oil margins, and any early signals around the 2026 notes refinancing.