The increase in profitability was mainly due to higher profit from the parent company, Oman Flour Mills said in a Feb. 12 report posted to the Muscat Securities Market.
The parent company posted a net profit of 7.137 million Omani rials for the six-month period in 2016, up from 4.546 million Omani rials in the same period a year ago.
“The increase in profit is due to higher sales and smart purchases,” the company said.
Revenues at Oman Flour Mills in the six months totaled 43.503 million Omani rials, up from 41.563 million Omani rials in the same period a year ago.
The company’s subsidiary, Atyab Bakery LLC had a net profit of 728,000 Omani rials in the period, down from 738,000 in the same period a year ago. Revenues, though, increased about 13% to 6.533 million Omani rials.
“With new customers and products added, we expect the profitability to be maintained in the coming months,” Oman Flour Mills said.
Established as a joint stock company in 1977 with a wheat milling capacity of 150 tonnes per day, Oman Flour Mills has evolved into Oman’s second largest miller with a current capacity of 800 tonnes per day. The company also operates an animal feed mill that has total capacity of 1,100 tonnes per day.
Oman markets its flour products under the name “Dahabi,” meaning gold. The company offers more than 20 varieties of flour and allied products under this brand name. The company also produces more than 20 different animal feeds under the brand name “Barakat.”