Tanmiah’s 9M 2024 profit lifted by better production capacity: CEO

logo of Tanmiah Food Co.

Tanmiah Food Co. posted profit growth in the first nine months of 2024, backed by improved importance across all business segments on increased production capacity, cost efficiency and enhanced efficiency of operations, CEO Zulfiqar Hamadani told Argaam in an interview.
 
A 24% rise year-on-year (YoY) in revenue boosted the production capacity of fresh poultry and increased its sales volume.

Fresh poultry sales saw 16% YoY growth during the first nine months of the year, representing 78% of total revenues. This growth was driven by key strategic initiatives, including increasing production capacity from 500,000 to 535,000 birds per day, as well as enhancing the distribution network by adding 19% more new routes.

Tanmiah remains committed to supporting the Kingdom’s food security priorities, with plans for further growth in 2025 in line with the goals of Saudi Vision 2023, Hamadani added.

Regarding the reasons behind the 63% increase in feed and animal health products revenues, the CEO explained that the increase was due to continued strong demand for animal health products and equipment, increased market share, and improved customer and product mix.

He also highlighted Tanmiah's strong focus on expanding the operations of Popeyes restaurants, with 15 new branches opened during the first nine months of 2024, bringing the total number of operational branches to 67 as of Sept. 30, 2024. He noted that revenues increased by more than 1.5 times compared to last year.

According to Argaam data, Tanmiah’s profits jumped 39% to SAR 69.1 million in 9M 2024, from SAR 49.6 million during the same period in 2023. Meanwhile, the third-quarter profits amounted to SAR 24.1 million, marking a 40% increase.