Edita Food Industries Reports 1H2020 Earnings
Edita records revenues of EGP 1,732.8 million down 6.1% y-o-y, on account of lower volumes due to the outbreak of Covid-19; improved product mix supports gross profit margin at 33.4%.
Edita Food Industries S.A.E. (EFID.CA on the Egyptian Exchange & EFID.L on the London Stock Exchange), a leader in the Egyptian packaged snack food market, announced today its results for the first half of 2020 recording revenues of EGP 1,732.8 million, down 6.1% y-o-y, while net profit came at EGP 67.5 million for the same period.
Edita’s results in the first half of 2020 specially the second quarter reflected lower volumes on account of the Covid-19 pandemic and related restrictions, including a nation-wide curfew, a ban on mass gatherings, and the closure of all schools and universities. Edita’s snacks, which are typically consumed as on-the-go meal replacements, were impacted by limited traffic and activity during the quarter, however, Edita was able to partly offset the impact with improved product mix supported by its ongoing portfolio optimization efforts and the introduction of new products. Moreover, despite the severity of this global situation, Edita is holding its ground and continues to push forward on its strategic objectives.
During the quarter, Edita marked its entrance into Egypt’s EGP 4.6 billion biscuits market with the launch of Oniro. As Edita’s 10th brand, Oniro builds on the company’s track record of successfully penetrating new market segments and developing household brands that satisfy consumers’ needs.
Edita had also made significant investments in expanding its distribution platform, adding 200 new distribution vehicles and inaugurating its 23rd distribution centre in the Mostorod neighborhood of the Greater Cairo Area.
On the regional front, Edita’s greenfield investment in Morocco is on track with construction progressing on schedule and production slated for early 2021.