The preliminary financial results of Almarai Company revealed that it recorded an increase in its net profits during the second quarter of 2023 by 7.06% on an annual basis, while it decreased on a quarterly basis by 12.3%.
The company stated, according to a statement it made today, Sunday, on Tadawul Saudi Arabia, that the net profit after zakat and tax amounted to about 557.08 million riyals, compared to 520.36 million riyals in the comparative quarter of last year.
The company attributed the reason for the increase in the net profit attributable to the company’s shareholders for the second quarter of 2023, compared to the same quarter of the previous year, by 7% mainly to several reasons, including an increase in revenues by about 4%. Despite the impact of the devaluation of the Egyptian pound on Almarai’s revenues, basic revenues grew. at a rate of 8% including the remaining days of Ramadan (as the second quarter of 2023 included 20 days of Ramadan compared to 30 days of Ramadan in the second quarter of 2022), and the growth was led by the poultry sector due to the additional capacity, followed by the bakery sectors and dairy products.
The current quarter also saw global commodity costs continue to be flat, although commodities are still at higher levels than in earlier times (particularly corn, soybeans and alfalfa). In addition, general cost control, including general and administrative expenses, supported the growth in operating profits.
In terms of the company's profits in the first half of the current year, it recorded an increase of about 26.7%, to reach 1.19 billion riyals, compared to 940.82 million riyals in the comparative half of last year.
