Revenues up, incomes down for Edita in 3Q: Edita Food Industries saw its revenues rise by 25.5% y-o-y to EGP 3.9 bn during the third quarter of the year driven by a “price point migration strategy implemented to mitigate cost pressures” following the EGP float that saw average price per pack of its good sold rise around 50%, the local snackmaker said in its latest earnings release (pdf). Despite the rise in revenues, net income was down 15.9% y-o-y to EGP 357 mn during the same period.

The country’s sweet tooth helped drive the company’s topline, with the company’s cake segment revenues rising 27.6% y-o-y to EGP 1.9 bn and accounting for 48.9% of total revenues, which the company attributed to higher prices. In second place was the company’s bakery segment that brought in EGP 1.3 bn, up 11.3% y-o-y and accounting for 33.0% of total sales.

The company’s smaller segments grew the most during the period, with its biscuits segment rising 126.4% y-o-y in the quarter to EGP 34.6 mn in the quarter, alongside wafers that rose 50.9% y-o-y to EFP 353.7 mn and rusks that increased 52.0% y-o-y to EGP 198.8 mn.

On a 9M basis, Edita’s revenues grew by 36.0% y-o-y to EGP 11.9 bn, which the firm said was driven by its “diversification strategy, focus on high-value propositions, and expansion into smaller segments,” the company said in an accompanying press release (pdf). The company’s net income fell by 6.4% during the period.

Exports are becoming increasingly important to the snackmaker, with export sales rising 71.9% in the quarter to EGP 533.1 mn on the back of strong demand in Palestine, Libya, Iraq, and Jordan, which collectively account for 87% of the company’s exports. Exports accounted for 13.8% of total revenues, a 3.8 percentage point increase from the same period last year.

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