Safwan Thabet’s Juhayna smashes expectations with $20-million profit

Yusuf Abdulfatai -

Juhayna Food Industries, an Egyptian dairy, juice, and cooking product manufacturer led by renowned businessman Safwan Thabet, has delivered a stellar financial performance with profits exceeding the $20-million benchmark, according to recently published results.

Despite the unprecedented challenges faced by the global and local economy, the group’s profit surged by double digits, increasing 21 percent from EGP526.38 million ($17 million) in 2021 to EGP637.99 million ($20.65 million) at the end of its 2022 fiscal year.

The growth was fueled by an impressive 29 percent increase in revenue, which soared from EGP8.8 billion ($284.8 million) to EGP11.36 billion ($367.6 million).

Juhayna launched its plant-based segment to meet growing consumer demand and contribute to the segment’s development with natural products and vegan-unique flavor compositions in an effort to expand its operations and deliver increased value to shareholders.

Juhayna, a family-owned food-processing and agro-allied company, is a leading producer of dairy, juice, and cooking products.

With a 38-year legacy, the Egypt-based company operates in five business segments and is majority-owned by renowned businessman Safwan Thabet, who holds a 50.07-percent stake worth $180 million through Pharon Investments Limited.

The group’s impressive financial performance in 2022 resulted in a 17-percent increase in total assets, growing from EGP5.45 billion ($176.4 million) to EGP6.36 billion ($205.8 million).

Thabet, CEO of Juhayna Foods and son of Safwan Thabet, lauded the company’s ability to exhibit resilience and agility, enabling them to navigate through unprecedented challenges.

He noted that despite facing issues such as scarcity of foreign currency, double-digit inflation, and a significant 57 percent decline in the value of the Egyptian pound against the U.S. dollar in 2022, Juhayna Foods managed to maintain an advantageous supply position in the market due to their strategic vertical integration and strong relationships with global and local suppliers.

Thabet added that the company had successfully expanded its core segments, gained market share, increased sales reach, and passed on price increases of more than 60 percent in 2022, despite the formidable challenges.