- Net profit margin remains healthy at 13%
- Market shares in Ice Cream, Milk, Tomato Paste remain strong
Jeddah, Saudi Arabia: 09 February 2021 – Saudia Dairy and Foodstuff Company (SADAFCO) reports a healthy net profit of 13% despite the various challenges.
SADAFCO continues to expand its market footprint in the ice cream sector with 18% growth in sales in line with the strategic expansion plans of this category. Tomato paste sales also grew 4% year on year.
Overall revenue for the three-month period, which ended on December 31, declined 1.3% year on year to SAR 482 million. The decline in revenue was mainly due to reduction milk value sales triggered by irrational pricing policies adopted by competitors.
“In Q3, SADAFCO continues to deliver a healthy double-digit net profit.” said Wout Matthijs, Chief Executive Officer, SADAFCO. “This reflects strong consumer loyalty to our brand and remain positive once the under construction new ice cream factory commences trial operations in May 2021. There has been a higher half year dividend of SAR 3 per share (a 20%) increase, reflecting the continuous upward trajectory of our dividend payouts and the strong financial position of SADAFCO.
Established in 1976, SADAFCO is a leader in dairy and foodstuff manufacturing, importing, distribution and marketing in Saudi Arabia and has established a strong reputation and loyal following in the food and beverage industry across the GCC region.
About Saudia Dairy & Foodstuff Company (SADAFCO):
SADAFCO is a publicly-listed company which has been producing high-quality dairy and foodstuff products under the Saudia brand name since 1977, a year after the company was formed. Saudia enjoys being one of the market leaders in the Kingdom of Saudi Arabia in the production of tomato paste, ice cream and milk.
Based in Jeddah, SADAFCO operates sales and distribution depots in 24 locations across the Kingdom of Saudi Arabia, Bahrain, Jordan and Kuwait. Saudia products are also exported to several countries in the MENA region.
For more information about SADAFCO, please visit www.sadafco.com