Food Empire profits rise by 27% to $9.9m in Q3

Thanks to its ingredients business segment in key markets.

Food Empire profits are up by 27% YoY to $9.9m (USD7.29m) in Q3.

According to RHB research, the gradual recovery of oil prices and improvement of foreign currencies is good news for the food and beverage (f&b) manufacturing company as it positively affects the company’s core markets in Russia, Ukraine, Kazakhstan and Commonwealth of Independent States (CIS) markets.

Russia and other CIS markets account for 60% of Food Empire’s revenue.

Revenue also rose 2.7% YoY to $95.29m (USD$70.1 million) due to increased sales contributions from the group’s upstream projects – an instant coffee plant in India and non-dairy and snacks manufacturing facility in Malaysia.

Analyst Juliana Cai adds that Food Empire is in a good position to tap into the geographies outside its core markets – particularly ASEAN countries – in an effort to diversify its business portfolio.