Agthia sales up 48pc, net profit rises 89pc
Abu Dhabi, March 25, 2009
Agthia Group, a leading Abu Dhabi based food and beverages group, has reported group sales of Dh854 million ($232 million) for 2008, reflecting a 48 per cent growth over 2007.
The group achieved a net profit of Dh72.2 million in 2008, up 89 per cent over the previous year.
Each of Agthia’s operating companies saw a strong growth in revenues, with the main drivers behind this were strong volume growth across the portfolio, an improved pricing structure and the addition of the tomato paste and frozen vegetable business, acquired in January 2008, according to a company statement.
The increase in net profit was driven mainly by increased volumes, higher plant capacity utilisation, cost saving initiatives and improved pricing structures, the statement said.
Earnings per share improved to Dh0.12, reflecting an 89 per cent growth, in line with the increase in profit. Return on capital nearly doubled to 12 per cent compared with 6.4 per cent in 2007.
“Despite the global economic turmoil that has resulted in challenging conditions for the world economy, the company has once again delivered strong operational and financial results for shareholders,” said Rashid Mubarak Al Hajeri, chairman of Agthia.
“For the past two years, management’s commitment to this goal is reflected throughout the business and it devotes considerable time and resources to ensuring that each of its business divisions operates to the highest levels of efficiency and effectiveness within the context of the business strategy. This focus is delivering results.”
Ilias Assimakopoulos, chief executive officer of Agthia, added: “Agthia is committed to delivering long term value to shareholders through strong and sustained sales and profit growth.
“As we look to the future, we will continue to leverage the strength of our brands, expand our product range, improve our regional footprint and further gain distribution and market share. Ultimately, we aim to become the number one player in all of the categories that we choose to compete in,” he added. – TradeArabia News Service