Today's Edition
ABU DHABI (ALETIHAD)
Agthia Group PJSC, one of the region’s leading regional food and beverage companies, announced on Thursday its preliminary and unaudited results for the fiscal year ending 31 December 2023.
Group net revenue increased 12.1% year-on-year to AED 4.6 billion during FY’23, supported by a continued shift in the Group’s product portfolio towards higher growth segments in key target markets. Snacking was the top-performing vertical, with 38.0% year-on-year growth. Group like-for-like (LFL) revenue growth was 5.7% year-on-year, with Agri (+19.9% YoY) and Water & Food (+6.0% YoY) being major contributors of growth during the period.
EBITDA rose 21.1% year-on-year to AED 689 million during the reporting period, with the EBITDA margin expanding +113bps (exceeding the guidance range of 40-60bps) to 15.1%. EBITDA outpaced revenue growth, with greater scale and diversification increasing the Group’s ability to deliver consumer-relevant product innovations, optimize product and channel mix, procure favorably, and preimmunize its product offerings.
Khalifa Sultan Al Suwaidi, Chairman of Agthia Group, said: “Agthia’s continued strong performance, despite a challenging economic environment, demonstrates the company’s ability to reap the rewards from its value-accretive M&A activities, leverage synergies across the Group, prioritize innovation across its product portfolio, and optimize its operations to maintain profitability. I am confident that Agthia will further solidify its position in key market segments, aiming to provide high-quality and trusted food and beverage products to an increasing number of consumers.”
Alan Smith, Chief Executive Officer of Agthia Group, said: “Strong revenue and profit growth over the past year is testament to the tireless efforts and agility of all our colleagues across the Group, despite significant macroeconomic challenges and the high interest rate environment. I am positive that Agthia can consistently deliver on its strategy of acquiring, integrating, and growing attractive businesses in value-add categories, as we continue to pursue our ambition to become a leading food and beverage company in the MENAP region and beyond.”
