Mezzan Holding, one of the largest manufacturers and distributors of food, beverage and pharmaceutical products in the Gulf, has reported an 11.6 percent slump in net profit for 2016 despite a rise in revenue.
The Kuwait-based company said in a statement that full year revenue was KD207.4 million ($679.5 million), up 5.8 percent on 2015 but net profit fell to KD17.2 million.
Its Q4 figures revealed a 12.9 percent increase in revenue to KD51.2 million and net profit of KD4 million, up more than 23 percent on Q4 2015.
The company, which in August completed the acquisition of 70 percent of Al Safi Food Company to get a foothold in Saudi Arabia, also said total Assets rose by 17.4 percent to KD 211.7 million as of the end of last year.
Mohammad Jassim Al Wazzan, Mezzan Holding executive vice chairman, said: “We are pleased to report that the company has recorded record revenues in 2016 and a strong fourth quarter despite the predominant macro-environment challenges in our markets."
He added that the company saw top-line growth in five of the seven markets in which it operates, including Kuwait, Qatar, Jordan, and Saudi Arabia.
Mezzan Holding CEO Garry Walsh said: “Our diversified business once again proved its resilience and defensive nature in the face of economic challenges. The year was challenging for the consumer sector as a whole. However Mezzan’s business mix, diverse products portfolio, geographic spread and strong balance sheet successfully shield the company from adverse market conditions challenges.”For all the latest retail news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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