Edita Food Industries has announced that its financial results for the second quarter (Q2) of 2020 faced significant pressures caused by the novel coronavirus (COVID-19) pandemic.
The company recorded revenues of EGP 768.7m during the quarter, down 20.3% quarter-on-quarter (q-o-q) and 10.9% year-on-year (y-o-y), and short of consensus estimates.
Edita also noted that the downturn in results was also affected by the holy month of Ramadan, typically a low season for snacks, which coincided with Q2 of 2020.
The company sold 483m units during the quarter, down 24.1% q-o-q and 16.7% y-o-y. In terms of tonnes, the company sold 17,700 tonnes, down 21.7% q-o-q and 11.1% y-o-y. The average price per pack currently stands at EGP 1.59, up 4.6% q-o-q and 6.7% y-o-y.
Edita reported gross exports sales of EGP 35.4m, reflecting a downturn of 42.5% q-o-q and 45.1% y-o-y, hampered by difficulties associated with international trade.
The company also reported a bottom-line of EGP 3.5m, a decline of 94.6% q-o-q and 90.6% y-o-y, impacted mainly by weak sales. The profit decline is also attributable to higher interest costs. The company achieved a GPM of 31.7% during the quarter, down 3.1pps q-o-q and 1.8pps y-o-y.