Tuesday March 5th, 2024
Download the app
Copied

Saudi Conglomerate Almarai Reports SAR 2.03 Billion in Profits in 2023

The company reports growth despite its revenues being affected by the decline in the value of the Egyptian pound and the decline in feed sales from its operations in the United States of America.

Scene Now Saudi

Saudi Conglomerate Almarai Reports SAR 2.03 Billion in Profits in 2023

Saudi Arabian dairy conglomerate Almarai Company experienced a 16% growth in its net profits for the year 2023, reaching SAR 2.05 billion (USD 546 million). Despite challenges such as the devaluation of the Egyptian pound and decreased feed sales in the United States, these profits align closely with the projected SAR 2.1 billion for the entire year.

In a statement shared on its website, the company noted a 5% increase in annual revenues, totaling SAR 19.6 billion. This growth was supported by the poultry and dairy sectors in key Gulf markets, demonstrating an 8% increase. The company attributed its success to effective cost management and expense control strategies.

The rise in net profits can be largely attributed to the successful acquisition and integration of operations in Egypt and Jordan earlier in the year. However, higher financing costs, driven by increased interest rates, posed a challenge.

In the last quarter of the previous year, Almarai Company's net profits amounted to SAR 371 million (USD 99 million), showcasing a 4.2% annual growth. Nevertheless, net profit attributable to shareholders experienced a 24% decline compared to the previous quarter, attributed to seasonal shifts in consumer behavior.

As the largest food and beverage manufacturing company in the Middle East, Almarai navigated economic fluctuations and operational challenges to secure commendable annual profits, demonstrating resilience in a dynamic market.

×

Be the first to know

Download

The SceneNow App