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Juhayna Food Industries, an Egyptian dairy, juice, and cooking product manufacturer led by prominent businessman Safwan Thabet, reported a double-digit increase in net profit in 2021, owing to strong sales growth across all operating segments.
Despite a difficult year marked by supply chain disruptions and an increase in raw material prices, the Egyptian consumer goods company reported a 23-percent increase in profit from EGP428 million ($23.15 million) in 2020 to EGP526 million ($28.45 million), driven by strong sales growth across its operating segments.
The double-digit percent increase in earnings at the end of 2021 was supported by a 17-percent rise in revenue from EGP7.4 billion ($400.3 million) to EGP8.8 billion ($476 million) as a result of a recovery in the Egyptian packaged dairy, yogurt and juice markets’ robust consumer demand.
This strong financial performance during the year prompted Juhayna’s board of directors to recommend a cash dividend distribution of EGP188.3 million ($10.17 million) for 2021.
Juhayna is a family-owned business that specializes in the production, processing, and packaging of dairy, juice, and cooking products. In the food-processing and agro-allied industry, the company operates in five business segments.
In 2021, Juhayna launched its plant-based segment to meet growing consumer demand and contribute to the segment’s development with its natural products and vegan/unique flavor compositions in an effort to capitalize on Egypt’s young and rapidly growing population and present them with an expanding array of products that cater to their changing tastes.
It also launched five new stock-keeping units (SKUs) under the new sub-brand “N&G” (Nuts and Grains), making it the first Egyptian company to offer a full plant-based milk range on the market.
As of press time, shares in the Egyptian consumer goods manufacturer were trading at EGP7.64 ($0.413) per share, giving the company an Egyptian Exchange valuation of EGP7.2 billion ($390-million).
Thabet, who founded the Egypt-based food product manufacturer nearly 38 years ago, owns a majority 50.07-percent stake in the company through Pharon Investments Limited. His stake is currently worth EGP3.6 billion ($194.7 million) in the market.
