Revenue, profit, and profitability growth noted in the Vitebsk region's economy in the first half of the year

Financial results achieved by the region's national economy complex for the first half of 2011 are characterized by positive trends: net profit increased by 66% compared to the same period last year and exceeded Br876 billion, while organizations' profit from sales was 2.8 times higher than in the first half of 2010, reaching Br1.7 trillion. Overall, the region's revenue from product sales increased by 48%, and sales profitability rose from 3.3% in 2010 to 6.3%. In January-June, 83% of economic entities operated profitably. However, local authorities are taking insufficient measures to improve the efficiency of the national economy complex. 5.7% of the registered enterprises and organizations operated at a loss. The largest losses were incurred by 4 enterprises: Novopolotsk BVК Plant, Obol Ceramic Plant, and open joint-stock companies "OrshaStroyMaterialy" and "KIM". Their combined losses account for almost 61% of industrial losses and about 44% of the region's total losses.

August 25, Vitebsk /Diana Kurilo - BELTA/. Positive trends in revenue, profit, and profitability growth were noted in the economy of the Vitebsk region in the first half of the current year. This was stated today at a meeting of the Vitebsk Regional Executive Committee by the Deputy Chairman of the Regional Executive Committee, Oleg Matskevich, reports BELTA correspondent.

Financial results achieved by the region's national economy complex for the first half of 2011 are characterized by positive trends: net profit increased by 66% compared to the same period last year and exceeded Br876 billion, while organizations' profit from sales was 2.8 times higher than in the first half of 2010, reaching Br1.7 trillion. Overall, the region's revenue from product sales increased by 48%, and sales profitability rose from 3.3% in 2010 to 6.3%. In January-June, 83% of economic entities operated profitably.

At the same time, Oleg Matskevich noted that local authorities are taking insufficient measures to improve the efficiency of the national economy complex. 5.7% of the accounted number of enterprises and organizations operated at a loss. The analysis conducted by the regional executive committee showed that despite the overall decrease in the number of loss-making organizations, the amount of losses incurred by them increased by 1.2% and amounted to Br83.5 billion. At the same time, the largest amounts of losses are accounted for by 4 enterprises: Novopolotsk BVК Plant, Obol Ceramic Plant, open joint-stock companies "Orshastroy materials" and "KIM". Their total loss constitutes almost 61% of the losses in industry and about 44% of the losses in the region.

The main reason for the loss-making of most enterprises is an excessively high level of costs, believes Oleg Matskevich. In every fifth organization of the region, the share of costs for the production of sold products exceeds 90% of the sales volume.

Chairman of the Vitebsk Regional Executive Committee Alexander Kosinets emphasized that the adoption of increased socio-economic development indicators by the region in 2011 is due to the need to improve the quality of people's lives. "The main thing is to ensure wage growth through effective work and strengthen the social component," the governor stressed.-0-