Egypt’s Edita net profit grows 52.1% y-o-y in 2021
Egypt’s largest snack food producer Edita reported on Tuesday a 52.1 percent year-on-year growth in net profit in 2021, primarily driven by increased revenues.
Net profit recorded 528.9 million Egyptian pounds ($33.6 million) during 2021, up from 347.7 million pounds during 2020, with a net profit margin of 10%.
Revenues roses 30.6 percent year-on-year to 5.25 billion pounds in 2021.
“Edita’s FY2021 revenues crossed the EGP 5 billion mark driven by both volumes and prices, which shows the company’s resilience and agility in adapting its business model to face the challenges posed by Covid-19, supply chain disruptions and global inflationary pressures on raw material prices.” the company said in a bourse filling.
“The company’s top-line was supported by a 12.1% increase in average price per pack to EGP 1.81 for FY2021 driven by portfolio optimization, direct and indirect price increases across all segments and higher price-point introductions to ease the pressure on profitability margins. Despite the accelerated migration to higher price-points, volumes rebounded to pre-devaluation levels demonstrating strong demand inelasticity accentuated by Edita’s leading market position.”
In 2021, Edita said its total packs sold increased by 16.6 percent year-on-year to 2.9 million, with cakes, bakery and wafers being the biggest contributing segments.