Food Empire more than doubles final dividend as H2 profit rises to US$33m
Uma Devi
FOOD and beverage manufacturer Food Empire Holdings on Monday (Feb 27) posted a net profit of US$33 million for the second half of 2022, up from earnings of US$8 million for the same prior-year period.
The better bottomline figures resulted in a sweeter payout to shareholders. Food Empire’s board of directors have proposed a first and final cash dividend of S$0.044 per share, more than double the first and final dividend of S$0.0162 per share back in 2021. Back in 2021, the company had also proposed a special dividend of S$0.0058 per share.
The dividend, if approved by shareholders at the upcoming annual general meeting on Apr 25, will be paid out to shareholders on May 19.
Revenue for H2 was up 29.7 per cent to US$221 million from US$170.5 million. The growth in revenue was mainly contributed by the group’s Russia, Ukraine, Kazakhstan and CIS and South Asia segments.
For the full year, Food Empire’s earnings came in at US$60.1 million versus US$19.5 million in FY2021. Revenue for the year rose 24.5 per cent to US$398.4 million from US$320.1 million.
Food Empire said it has experienced “high levels of growth” in the Russian, Kazakhstan and CIS markets on the back of strong consumer demand.
As the geopolitical situation still remains uncertain, the group said it could face some margin pressure due to volatility in the foreign exchange rates and economic situation.
“The group will continue to monitor the economic and political developments closely and implement strategies to attain higher operational efficiency,” it said.
Shares of Food Empire rose 0.6 per cent or S$0.005 to end Monday at S$0.805.
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