SAUDI: Investment in PepsiCo JV boost Almarai profits
Almarai took majority stake in PepsiCo dairy venture in March
Saudi food group Almarai has reported an increase in third-quarter profits as growth across the business and its acquisition of a majority stake in a dairy venture with PepsiCo boosted results.
Almarai booked a 4.7% increase in net profit to SAR450m (US$120m) for the three months to the end of September. Operating profit came in 6.6% higher at SAR508.6m.
The improved profits were on the back of a 27% leap in turnover to SAR2.67bn. Almarai pointed to a "strong performance" across its divisions but highlighted bakery and poultry.
It also cited its increased investment in IDJ, its dairy and juice venture with PepsiCo. In March, Almarai upped its stake in the venture from 48% to 52%.
IDJ was set up in 2009 to target countries in the Middle East, Africa and south-east Asia, excluding the Gulf Cooperation Council states. Its main markets are Egypt and Jordan, from where it exports to other countries.
PepsiCo has benefited from its strong presence in sweet and savoury snacks, which continue to make up the majority of its sales in packaged food. It did however reduce its reliance on this category wi...
PepsiCo do Brasil is expected to strengthen its presence in biscuits through brand extensions of popular and traditional brands such as Toddy and Quaker, which received investment to introduce biscuit...
- BRICs: The thinking behind Mondelez's Vietnam deal
- Interview part 1: BRF CFO Augusto Ribeiro
- Prospects for protein: Snacks growth to continue
- Comment: Why Gardein is Pinnacle's ideal fodder
- Deal or no deal: Should Danone buy Mead Johnson?
- 2 Sisters Food Group posts higher annual losses
- Kellogg trumps Abraaj bid for Bisco Misr
- Live blog: Food Matters Live
- Raisio buys UK, Ireland and Belgium Benecol ops
- Lactalis submits takeover bid for Arab Dairy
- Early Signals: future scenarios that will drive consumption and product innovation over the next five years
- Energy Bars Market in Canada: Market Profile to 2017
- The Snackification of Breakfast
- Dairy Product Production in China
- PepsiCo, Inc. : Consumer Packaged Goods - Company Profile, SWOT & Financial Report