Siniora Food Industries announced its consolidated preliminary (unaudited) financial results for 2017. According to the reported results, Siniora achieved net profit after tax of USD 6.6 million in 2017, a growth of 98% year on year, while net profit attributed to Siniora's shareholders amounted to USD 6.43 million, marking 108% growth over 2016. Total revenue grew by 17% year on year and amounted to USD 78.5 million in 2017. Total assets amounted to USD 86.31 million as at December 31, 2017, an increase of 3% over 2016. Net equity attributed to Siniora shareholders amounted to USD 47.33 million as at December 31, 2017, an increase of 11% over 2016.
In his statement, Siniora Chairman Tarek Omar Aggad announced that the strategy put in place by Siniora's management to foster and increase its market share at local and regional levels has paid off, as apparent by the significant results. He confirmed that the company has maintained its leading position in the Jordanian and Palestinian markets. Aggad added that regional sales in 2017 grew by 29% compared to 2016, supported by Siniora subsidiary, Diamond Meat Processing Company (Al Masa) in the United Arab Emirates, which was acquired in 2016 to expand regionally with a focus on Gulf markets as well as to target new ones. He also pointed out the increase in sales of the company's frozen meat products in the Jordanian market in 2017, which marked 12% growth compared to 2016.
Aggad added that in 2017, Siniora increased its paid-up capital to USD 30.985 million by distributing four million free shares to its shareholders and distributed USD 1.521 million in cash dividends. Accordingly, total dividends amounted to USD 7.155 million, a payout of 28.22% of Siniora's paid-up capital.
Siniora CEO Majdi Al Sharif said that the significant growth in Siniora's results came as a result of an increase in the production capacity of its factories as well as the regional expansion of the company. He added that Siniora subsidiary Diamond Meat Processing Company (Al Masa), which is based in Dubai, the United Arab Emirates, has been accredited by the Saudi Food and Drug Authority to export its meat products to Saudi Arabia. Siniora also purchased a 3,500-square-meter warehousing facility in Riyadh, Saudi Arabia, at a total cost of USD 2 million, a move that is in line with Siniora's expansion strategy in the region to focus on Gulf markets. The company also purchased a 11,590-square-meter plot of land in the Industrial Estate in Amman, Jordan, at a total cost of USD 1.55 million, as a preparatory step towards expanding its plant in Jordan in the future.
Siniora is a pioneer in the meat manufacturing sector in the region and a market leader in the manufacture and sale of branded Siniora Al-Quds and Unium processed meat. The company was founded in Jerusalem, Palestine, in 1920, and established its factory in Jordan in 1992. Siniora acquired Diamond Meat Processing Company in Dubai in 2016. Siniora produces cold cuts and canned luncheon meat from three state-of-the-art processing plants built using the latest technologies, one located in East Jerusalem, Palestine, the second located in King Abdullah II Industrial Estate in Jordan and the third in United Arab Emirates. In 2015, Siniora's factory in Jordan launched a new production line of frozen meat products. Siniora factories in Jordan and Palestine maintain a highly-ranked international food safety certificate, the FSSC: Food Safety System Certificate 22000 (ISO/TS22002-1), which represents the adoption of the highest food security standards worldwide and is recognized by key international organizations including the European Food and Beverage Association, the American Manufacturing Association and the Global Food Safety Initiative. It also holds the Palestinian Standard Certificate in Palestine and the Halal Certificate issued by Jordanian Standards. Since 2014, Siniora factories in Jordan and Palestine have been maintaining the international certifications for Occupational Health and Safety Management Systems OHSAS 18001:2007 and Environmental Management Systems ISO14001:2004. The company markets its products through mass merchandisers, grocery stores, high-frequency stores and department stores in Jordan, Palestine, Saudi Arabia and the United Arab Emirates as well as in many other countries in the Middle East. Siniora also has distribution centers in Saudi Arabia, the United Arab Emirates and a dedicated export department covering the Gulf and the Levant. Siniora is a public shareholding company listed on the Amman Stock Exchange (ASE: SNRA).