Egyptian businessman Safwan Thabet is set to receive a dividend of EGP 94.3 million ($5.1 million) from his stake in Juhayna Food Industries after the Egypt-based food product manufacturer reported a profit of EGP526 million ($28.45 million) due to strong sales growth across its operating segments.
Juhayna is a family-owned company that manufactures, processes and packages dairy, juice and cooking products. The company operates in five business segments in the food-processing and agro-allied industry.
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, with the stake presently valued at $195 million.
The $5.1-million dividend that the Egyptian businessman is set to receive will be paid from Juhayna’s retained earnings of EGP1.21 billion ($65.48 million).
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) at the end of 2021, driven by strong sales growth across its operating segments.
The double-digit percent increase in earnings at the end of 2021 was fueled by a 17-percent increase in revenue from EGP7.4 billion ($400.3 million) to EGP8.8 billion ($476 million) as a result of robust consumer demand on the Egyptian packaged dairy, yogurt and juice markets.
The strong financial performance for the year prompted Juhayna’s board of directors to recommend a cash dividend distribution of EGP188.3 million ($10.17 million) for 2021.
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.
