Saudia Dairy and Foodstuff Company (Sadafco), a leading manufacturer of an extensive range of nutritious dairy and foodstuff items for consumers of all age groups, generated a consolidated net profit amounting to SR35.6 million for the nine-month period that ended Dec. 31, 2012, a decrease of 17 percent compared to the same period last year (SR42.69 million) and a decrease of 23 percent compared to the 2nd quarter 2012 (SR46.13 million). The total gross profit for the 3rd quarter ended Dec. 31, 2012 amounted to SR115.76 million, an increase of 13 percent compared to the same period last year (SR102.65 million). Furthermore, the operating profit for the 3rdquarter ended Dec. 31, amounted to SR39.08 million, a decrease of 8 percent compared to the same period last year (SR42.41 million). “While Sadafco continued to achieve robust sales growth and operational profits, a decrease in net profit for the current quarter is mainly attributed to negative impact of stock revaluation, higher manufacturing and overhead due to the initial startup of Dammam factory, higher selling and distribution expenses as planned in Q3 and lower income from Murabaha deposits,” said Wout Matthijs, Chief Executive Officer, Saudia Dairy and Foodstuff Company. He further added that demand for Sadafco's products increased due to the implementation of consumer focused commercial activities in the market, rejuvenation of the ice cream business and enhanced efficiencies across various functions.” – SG
