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Agthia Group Shareholders Approve 16.5% Cash Dividend during 16th Annual General Meeting

Agthia Group Shareholders Approve 16.5% Cash Dividend during 16th Annual General Meeting

Agthia Group PJSC, a leading regional food and beverages company, held its 16th Annual General Meeting (AGM) virtually on Thursday, April 8, 2021. During the AGM, shareholders approved the Board of Directors’ proposal for a cash dividend of 16.5%, equivalent to AED 0.165 per share for a total of AED 118.8 million.

Other resolutions submitted and approved by shareholders include approval of the board of directors’ report, directors’ remuneration, auditors’ report and financial statements for 2020. The directors and auditors were also discharged from any liability for the year 2020, while Deloitte were appointed as the auditors for the financial year 2021.

Agthia recently reported that the Group’s net revenue reached AED 2.06 billion in 2020, which is equivalent to 1.1 percent y-o-y growth compared to the same period last year, while the net profit came in at AED 34.5 million. The consumer business – water, food and beverage – contributed 55 percent of the Group’s top-line, while the remaining 45 percent came from the agri-business – flour and animal feed.

The agri-business registered a 4.9 percent y-o-y growth, mainly driven due to the outperformance of the flour segment, which registered a top line growth of 11 percent. In the water & beverage category, the 5-gallon business registered a growth at 7.8 percent due to higher demand from homes, while all of Agthia’s water portfolio – Al Ain Water, Al Bayan and Alpin – maintained their market leadership at respective 27 and 24 percent volume and value shares. The food segment recorded a significant y-o-y growth of 32 percent, made possible by the proactive response to the increased at-home consumption and growing e-commerce orders.

Khalifa Sultan Al Suwaidi, Chairman, Agthia Group, said: “Agthia’s progress over the past year is a positive indicator of the Group’s resilience and its ability to maintain shareholder confidence despite challenging conditions. As we look towards the future, we will continue our proactive efforts to address consumer demands and unlock new opportunities for growth that will further expand and cement Agthia’s leadership in the region.”

Alan Smith, Chief Executive Officer, Agthia Group, said: “Over the past year, we have rapidly adapted our business to respond to the changing consumer habits and demands, ensuring we are capable of combating the impact of the pandemic in all the countries we operate in. We have strengthened the financial resilience of the Group and are well positioned to look to the future. We will continue to build on this momentum and deliver superior shareholder value through prioritising consumer trust and our commitment to sustainable revenue growth.”

Agthia Group underwent major changes in 2020 including the appointment of a new board, CEO and new top team additions. Key achievements of the group include the acquisitions of Al Foah, the world’s largest dates processing and packaging brand, and Al Faysal Bakery & Sweets, one of Kuwait’s leading industrial bakeries, along with the UAE-distribution partnership agreement with VOSS of Norway AS. On the sustainability front, the Group launched the region’s first plant-based packaging for the Al Ain bottled water while signing an MoU with Veolia to launch a PET water bottles collection initiative in the UAE.

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