Agthia Group Delivers Strong Financial Performance for H1 2024
Abu Dhabi, UAE – Agthia Group PJSC, a prominent food and beverage company based in Abu Dhabi, has released its financial results for the first half of 2024, ending June 30th. The company has shown remarkable performance, aligning well with its full-year financial objectives.
Revenue and Profit Growth
Agthia’s impressive results stem from profitable growth across all four key business segments: Water & Beverage, Food, Protein & Frozen, and Snacking. Each segment contributed significantly to the Group’s overall success. By leveraging efficiencies across the organization, Agthia achieved substantial profitability, surpassing the growth rate of its revenue.
In H1 2024, Agthia’s net profit soared by 31.8% year-on-year, reaching AED 190.0 million. This notable increase reflects the Group’s operational effectiveness, despite external challenges such as foreign exchange fluctuations and the introduction of new income taxes in the UAE. The company’s net profit margin expanded by 98 basis points to 7.5%, underscoring its efficient cost management and strong performance.
On the revenue front, Agthia experienced a 14.7% year-on-year growth, with net revenue totaling AED 2.5 billion. This growth is attributed to robust demand across Agthia’s diverse product lines and successful market expansion efforts. The Group’s ability to cater to a wide range of consumer needs and enter new markets played a crucial role in driving sales and revenue.
Dividend Distribution
Agthia’s board of directors has proposed an interim cash dividend of AED 85.7 million, equivalent to 10.31 fils per share. This recommendation aligns with the Group’s semi-annual dividend policy and represents a 25% increase compared to the previous year. Shareholders will vote on this proposal at Agthia’s next Annual General Meeting (AGM).
Chairman’s Statement
Khalifa Sultan Al Suwaidi, Chairman of Agthia Group, expressed his satisfaction with the company’s performance. “Agthia continues to deliver strong results, solidifying our growth momentum in the first half of the year,” Al Suwaidi stated. He highlighted the Group’s commitment to its long-term strategic goals and its ability to navigate challenging market conditions effectively.
Al Suwaidi also emphasized Agthia’s resilience and strategic focus on achieving sustainable growth. “Our unwavering commitment to strengthening our business and achieving our long-term goals remains clear,” he added. He noted that the Group’s strong performance is a testament to its strategic focus and operational excellence.
Looking ahead, Al Suwaidi pointed out that Agthia is well-positioned to capitalize on opportunities in the Middle East and North Africa (MENA) region and beyond. The Group plans to leverage its strengths in innovation, digitalization, and operational efficiency to drive future growth. “This quarter’s results underscore our resilience and strategic focus on driving sustainable value across diverse portfolios,” he remarked.
CEO’s Remarks
Alan Smith, Group Chief Executive Officer, also commented on the company’s performance. “Agthia delivered solid top and bottom-line results in the first half of the year,” Smith said. He praised the teams for their focus and agility in executing the long-term growth strategy. Smith emphasized that Agthia will continue to invest in its brands, capture synergies, and drive efficiency gains.
Smith highlighted the importance of adaptability and innovation in achieving business success. “Our commitment to delivering high-quality products that meet evolving consumer needs remains a priority,” he added. Smith also reiterated Agthia’s dedication to sustainability and corporate responsibility.
Agthia’s strong performance in H1 2024 reflects the Group’s strategic foresight and operational acumen. The company is set to build on its successes and continue its growth trajectory throughout the year. With a clear strategic direction, strong leadership, and a commitment to excellence, Agthia is well-positioned to achieve its ambitious goals and deliver value to its shareholders, customers, and stakeholders.