Almarai says Q2 2022 strong performance driven by improved trading conditions

Almarai headquarters

Almarai Co. stated that the strong performance in Q2 2022 is due to the improvement of the trading conditions, expecting the positive momentum to continue, albeit at a slower rate in coming quarters.

In its Q2 2022 financial statement, the company expects to enter normalized trading patterns in the second half of the year from a comparative perspective.

The key risk remains surging costs for dairy and feed commodities due to inflation, although the current trend is normalizing and even reversing for some commodities.

Almarai will continue to manage this risk by better hedging activities and leveraging its stock cover, where relevant, the statement said.

The dairy producer reported a net profit after Zakat and tax of SAR 940.8 million for the first half of 2022, up 8%, compared to SAR 868 million in the previous year. Q2 2022 net profit stood at SAR 520.4 million, Argaam reported.