Agthia Group reports a 10.3% increase in 9-month revenue, reaching $980 million, due to improved business unit performance
Abu Dhabi’s food and drink company, Agthia Group, announced on Wednesday that its net revenue grew by 10.3% over the past year, reaching $980.1 million (AED 3.6 billion) in the first nine months of 2024. This increase was due to stronger results across its four business units.
Agthia Group, a leading food and beverage company in the UAE, has reported a significant financial milestone for the first nine months of 2024, with a 10.3% increase in revenue, reaching $980 million. This positive result reflects the company’s robust performance across its various business units and a strategic approach to growth and diversification.
The company’s strong revenue growth can be attributed to improved performance in key sectors, including its beverage, food, and snacks divisions. Agthia’s ability to tap into evolving consumer trends and expand its product offerings has been a critical factor in driving this growth. The company has also benefited from its continued investment in brand development, product innovation, and operational efficiencies.
The beverage division, in particular, has been a standout performer, fueled by growing demand for health-conscious drinks and bottled water in the region. Agthia’s focus on expanding its portfolio of healthy beverages, including functional waters and plant-based drinks, has resonated well with consumers, particularly in the UAE market, where a strong shift towards wellness and sustainability is evident.
In the food segment, Agthia has also seen a significant uptick in demand, especially for its staple products such as packaged foods, grains, and dairy. The company’s ability to adapt to changing consumer preferences and introduce new product variations has further strengthened its position in the competitive food sector. Agthia’s commitment to quality and customer satisfaction has solidified its reputation as a trusted brand in the region.
Snacks have been another area of growth for Agthia, with the company introducing new and innovative products that appeal to a wider consumer base. The snack division’s performance has been driven by the rising popularity of on-the-go convenience foods, which has gained traction especially among younger demographics. Agthia has leveraged this trend by enhancing its snack offerings with healthy alternatives to traditional products, ensuring that it remains relevant in a rapidly changing market.
Additionally, Agthia’s international expansion has played a role in its overall success. The company has focused on diversifying its revenue streams by exploring new markets in the Middle East, North Africa, and beyond. Strategic partnerships and acquisitions have helped Agthia broaden its footprint and gain access to new growth opportunities, further boosting its revenue performance.
The increase in revenue has also been supported by a strong operational framework, with Agthia investing in automation and digital technologies to enhance efficiency and streamline its supply chain. This has allowed the company to manage costs effectively while maintaining high-quality standards across its product lines.
Looking ahead, Agthia Group remains optimistic about its future prospects. The company is well-positioned to continue its growth trajectory, leveraging its strong brand portfolio, diversified product range, and commitment to innovation. With a focus on sustainability, health, and consumer-centric solutions, Agthia is poised to build on its momentum and achieve even greater success in the years to come.
Nine-Month Performance
- The group’s net profit grew by 24% to $69.4 million (AED 254.9 million) compared to the same time last year, according to a report on Wednesday.
- Agthia stated that its overall net revenue increased due to an 8.5% rise in sales volume and a 1.8% increase in prices.
- Revenue from the snack business grew by 14.2% compared to last year, driven by strong sales in its coffee products.
- The agribusiness also contributed to the growth, with an 18.3% increase in revenue from last year.
- In addition, the water and food business saw a 5.8% revenue increase, and the protein and frozen food division recorded a 1.1% rise in revenue.
Published: 7th November 2024
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