Although Baladna achieved a growth in revenues for the year 2022 by 28% compared to the revenues achieved for the year 2021, which was accompanied by a significant growth in the market share of Baladna, the net profits witnessed a decrease due to the increase in the costs of animal feed, raw materials, packaging materials, fuel, logistics and the cost of financing. All of this negatively affected the company’s financial results and the profits that are supposed to be distributed to shareholders for the company’s results in 2022, as is the custom every year. Coordination is currently taking place with the concerned authorities to study various solutions to reduce the effects of high production costs on the company’s profitability.
Baladna Q.P.S.C (Baladna) yesterday disclosed its results for the year ending on December 31, 2022, with total revenues of QR 986 million (28% year-on-year growth) and net profit of QR 81 million for the year ending December 31, 2022, compared to With 773 million Qatari riyals in revenues and 134 million Qatari riyals in net profit in the previous year.
During the twelve-month period ending December 31, 2022, Baladna was able to significantly increase its revenues and achieve revenues of QR 986 million compared to QR 773 million in the previous year, which represents a growth of 28%. Baladna achieved a net profit of 81 million Qatari riyals in the fiscal year 2022, compared to 134 million Qatari riyals in the previous year. The impact of rising global commodity prices such as animal feed, raw materials, packaging materials, fuel, logistics and financing cost. All of this has negatively affected the company’s financial results and the profits that are supposed to be distributed to shareholders for the company’s results for the year 2022, as is the custom every year.
This is while the prices of most products are still the same, and coordination is currently taking place with the concerned authorities to study various solutions to reduce the effects of high production costs on the company’s profitability. In light of this, and in order to reduce the impact of the increase in input costs and through the implementation of management plans for new initiatives to take advantage of the improvement in market dynamics during the FIFA,Football,Soccer,Football,Soccer World Cup-Qatar 2022 period, Baladna was able to increase sales volume across both the retail sector, and the hotel, restaurant and cafeteria sector. This resulted in increased sales volume across all product categories. Baladna was also able to enhance operational efficiency by reducing sales losses and managing overheads. Baladna is constantly evaluating opportunities to enhance its product portfolio by developing and introducing innovative new products and improving its existing product portfolio. During the year 2022, Baladna was able to introduce a number of new products and improve and enhance its product portfolio. As part of the company’s plans to increase growth in the local market, Baladna is pleased to announce that the construction of the evaporated milk plant is progressing well and is now in its final stages. All construction works and fit-outs are expected to be completed by the end of the first quarter of 2023. Commercial production will begin at the beginning of the second quarter of 2023.
In addition, as part of our diversification strategy, we are constantly looking for and evaluating new investment opportunities locally and abroad. The recent acquisition of 75% of E-Life Detergent Factory – Qatari detergent processing plant is expected to start generating more revenue for the company in 2023.
Partnerships and opportunities for international expansion are key to long-term growth and remain an area of ​​focus for Baladna. The opportunities available in the local and foreign market are evaluated on the basis of each opportunity separately, as there are a number of feasibility studies currently underway. In addition, and as part of the company’s initiative to enhance operational efficiencies, support food security and self-sufficiency, and ensure certainty of supply chains and feed quality, Baladna is studying several options related to complementary projects that are expected to add cumulative value to the company. Baladna’s strategic focus remains on creating shareholder value and further enhancing food security and self-sufficiency in the State of Qatar by offering superior quality products, expanding product portfolio, and focusing on efficiency across the entire value chain. To view the consolidated financial statements, please visit the company’s website www.baladna.com/investor-relations Or communicate via e-mail [email protected]
