Tanmiah reports robust revenue performance, and remains poised for further growth

Tanmiah reports robust revenue performance, and remains poised for further growth

- Continued expansion of food franchise operations, with 26 outlets now operational across the Kingdom

- Board recommends distribution of SAR 3.5 per share in cash dividends for FY2022

Riyadh, Saudi Arabia: Tanmiah Food Company (“Tanmiah” or the “Company”, 2281 on the Saudi Exchange), a market-leading provider of fresh and processed poultry and other meat products, animal feed and health products, and a foods brand franchise operator, today announced its results for the first quarter ending on 31 March 2023, reporting a significant improvement in net profit attributable to owners of the company, from SAR 1.5 million to SAR 21.0 million.

As per the applicable accounting standards, the 1Q2022 financial figures have been adjusted to reflect the Tyson Foods transaction, whereby the further processed products business is now classified as discontinued operations.

Revenues increased 42.2% year-on-year (“YoY”) to SAR 484.5 million, primarily driven by a 37.4% rise in fresh poultry sales. Gross margin substantially improved from 20.7% in 1Q2022 to 24.8%, while EBITDA of SAR 66.2 million (+164.8% YoY) yielded a margin of 13.7%.

Zulfiqar Hamadani CEO of Tanmiah, commented:

“Tanmiah reported healthy financial indicators during the first quarter of 2023, with an improvement in revenues, as we are witnessing a sustained increase in sales volumes