For the last quarter (ended September 30, 2024), Tanmiah Food Company reports revenue of 657.4 million riyal (SAR; US$175.3 million). With operational profit for the period of SAR48.1 million, these represent year-on-year increases of 23% and 50%, respectively. At SAR24.1 million, net profit was more than 40% higher than in the same period of last year.
The company records improvements in performance across all its businesses for these positive developments.
Fresh poultry accounts for 75% of total sales, and it generated a 13% increase in sales for the three months to SAR494.0 million. Greater production capacity and geographical expansion — as well as more focused marketing and improvements to sales channel coverage — contributed to this development, according to the company.
For its feed and animal health operations, Tanmiah attributes a 72% year-on-year increase in revenue to SAR124.2 million to strong demand for its animal health products and equipment.
Over the quarter just ended, the company’s food franchise opened six more Popeyes outlets. Bringing its total to 67 to that date, these operations attracted revenue of SAR39.1 million. This represents a year-on-year increase of more than 66%.
At close to SAR1.879 billion, revenue for the first nine months of 2024 represents a year-on-year increase of almost 24%, Tanmiah Food Group reports. Furthermore, it contributed to a near-45% increase in operational profit compared with the end of the third quarter in 2023 at SAR130.4 million.
New partnership to expand poultry production
Representatives of the Agricultural Development Company (ADC) — a subsidiary of Tanmiah Food Company — recently signed a Memorandum of Understanding with two Chinese partners.
Under this agreement, ADC will conduct a feasibility study with Chengdu Design & Research Institute and Jiangsu Huali Co. Ltd. to establish modern, highly automated poultry farms in the Kingdom.
There is no financial implication of the agreement, which was signed at the recent Saudi Agriculture Show, according to Tanmiah.
More on Tanmiah Food Company
Annual slaughtering of more than 136 million chickens puts Riyadh-based Tanmiah Food Group easily among the 10 largest poultry companies in the Middle East region, according to WATTPoultry.com’s Top Poultry Companies survey for 2023.
Tanmiah Food Group is the agricultural holding company for Al-Dabbagh Group, and the parent company for the Agricultural Development Company (ADC), which produces and distributes broiler meat under the brand name Tanmiah, as well as animal feeds, day-old broiler chicks and hatching eggs, animal health products, and livestock equipment. It is also the parent company for Supreme Foods Processing Company, which supplies fresh and further processed chicken and beef. Supreme supplies several fast-food restaurant chains and hotels, and operates a distribution network across the Middle East.
For the last full financial year (ended December 31, 2023), the Tanmiah Food Company reported a 21% year-on-year increase in sales revenue at almost SAR2.1 billion, while operating profit was also up by close to 21% compared with the previous 12 months.
During the last quarter, the company was awarded the highest grade of food safety for its chicken by an international certification body.
