Edita Food Industries, led by multimillionaire businessman Hani Berzi, has experienced a substantial boost in profits during the first quarter of 2023, showcasing the group’s ability to capitalize on the growing consumer demand and its strong presence in the region.
The Egypt-based consumer goods conglomerate witnessed a remarkable 146.2-percent rise in profits, reaching EGP399.92 million ($12.94 million), compared to EGP162.42 million ($5.25 million) in the same period last year, as stated in its recently released financial statement.
The surge in earnings can be attributed to a double-digit percent increase in revenue driven by pricing benefits and heightened consumer demand for Edita’s products.
The sustained rise in household purchases of consumer goods items has played a crucial role in this impressive performance.
During the first quarter of 2023, Edita’s revenue soared by 78.3 percent, from EGP1.55 billion ($50.1 million) to EGP2.77 billion ($89.5 million), compared to the previous year.
The increase in revenue can be attributed to a rise in the volume of packaged food items sold, alongside a pricing benefit resulting from a double-digit percentage increase in the average price per tonne. Both direct and indirect factors contributed to this price increase.
Edita Food Industries is the leading player in Egypt’s flourishing packaged snack food market, offering a range of branded snack products such as packaged cakes, croissants, rusks, and wafers.
The company has established an extensive retail channel to distribute its products effectively. Berzi, the founder, chairman, and managing director of Edita, owns a significant 41.95-percent stake in the company through Quantum Invest BV.
The investment has positioned Berzi as one of the richest investors on the Egyptian Exchange, with his stake in Edita Food Industries presently valued at EGP5.72 billion ($185 million).
As of now, Edita shares are trading at EGP18.86 ($0.61), reflecting a 1.34-percent increase compared to the opening price on the Egyptian Exchange this morning.
With a market capitalization of EGP13.64 billion ($441.1 million), Edita Food Industries remains one of the largest listed companies on the local bourse.
