Dairy food giant Almarai gains on half-year results
In Riyadh, the Tadawul All-Share Index gained 0.66 per cent to close at 9,752.16 points on Sunday, July 6.
Almarai, the biggest Arab brand for dairy food in the GCC, added 1.32 per cent to close at SAR70.75.
Earlier in the day, Almarai said the growth in net profit for the second quarter of 8.8 per cent compared to the corresponding period of the previous year was “due to the increase in quarter sales by 14.4% in core business segments, resulting in a growth overall in net profit except poultry.”
In the second quarter Almarai generated a net income of SAR433.3 million ($116.9 million).
In the first six months of 2014, the net profit amounted to SAR706.9 ($190.86 million), representing an increase of 8.2 per cent year-on-year. The drivers for performance were the growth in sales year-to-date of 13.6 per cent, from core business segments, resulting in a growth overall in net profit except poultry, said the firm in a filing to the Tadawul market.
“On the other hand the growth in Selling and Distribution expenses as well as in General and Administrative expenses, is due the continuous infrastructure expansion across product categories and geographies, and increasing depreciation costs from past investments,” it added.