Agthia reports 22% rise in profit

RetailME Bureau

UAE-based Agthia Group reported 22% rise in its full-year net profit in 2014 touching $52.6 million, while its net sales grew 9% to $450 million during the said period.

The company attributes this significant growth in profit to higher sales and strong margin improvements, adding that gross profit margins rose to 28%, following an aggressive focus on the competitive sourcing of grains, ongoing cost saving initiatives, in-house production of previously outsourced animal feed and stable flour pricing in the northern emirates.

“Last year was very strong for Agthia, with new products launches, installation of a new water bottling line, commencement of production of frozen baked goods and our mega distribution centre becoming fully operational,” shares Dhafer Ayed Al Ahbabi, chairman of Agthia Group. “We are well placed to further grow our business by expanding our product portfolio and distribution reach going forward.”

“We have built a solid platform to accelerate the development of our business, and I am confident that 2015 will be another successful year for the company,” adds Iqbal Hamzah, CEO of Agthia.