Union Coop reports 20% rise in net profit


July 14, 2019 | By RetailME Bureau

UAE-based consumer cooperative, Union Coop has reported a 20% growth in net profit during the first half of 2019, compared to the previous year. The net profit for 2018 was AED237.7 million, whereas in 2019 it rose to AED284.6 million net profit, which is a surge of AED46.9 million.

Commenting on the results, Khalid Humaid Bin Diban Al Falasi, CEO of Union Coop, said, “The increase in net profit was parallel to Union Coop’s effort to reduce the prices of its products. The price reductions on products for the first half of the year amounted to AED268.5 million, which is 18.63% more price reductions compared to the same period of the previous year of 2018. It has been achieved as a result of price reduction and promotions we released to reduce the burden on consumers and guide the market to reduce the prices as well, as Union Coop became an influencer in the retail market prices.”

Al Falasi attributes Union Coop’s performance to the efforts of the board of directors and executive management at all levels “Union Coop’s strong performance in the first half of 2019 is due to the extensive efforts of the board of directors, in addition to the diligent efforts deployed by the executive management and employees at all levels, divisions, departments and sections, who aim to reach the top position in all spheres through deliberate planning, careful implementation, perseverance and determination. This performance reflected positively on consumers in terms of price cuts of 18.63% and on shareholders in terms of higher profits by 20%.”

“Union Coop plays a key role in supporting the nation’s economic growth and development as evident from the financial performance of 2019 first half, which exceeded expectations despite the economic challenges afflicting the retail market,” he added.

Union Coop’s total revenue reported a growth of 1.6% – from AED1.429 billion in the first half of 2018 to AED1.452 billion in 2019 – signifies an improvement of AED23 million.

The growth of profit coincided with a significant reduction in expenses. “The total cost and expenses showed a decline of 2% in form of AED23.591 million, from AED1.191 billion in 2018 to AED1.168 billion in 2019,” Al Falasi pointed out. He credited this improvement as a result of creative ideas, which reduced costs while maintaining the efficiency of performance.

“All this was possible due to Union Coop’s interest in achieving the aspirations of the wise leadership led by His Highness Sheikh Khalifa bin Zayed Al Nahyan the President of the UAE and His Highness Sheikh Mohammed bin Rashid Al Maktoum, the Vice President and Prime Minister of the UAE, and Ruler of Dubai, to achieve a sustainable national economy,” he concluded.

Previous Article Next Article

SHARE

YOU MAY ALSO LIKE /



Mahalle began its operations in 2022 as an “Authentic Turkish Grocery in 

Continue Reading

October 7, 2024 | By Anurima Das
Naresh Kumar Bhawnani, Founder & Chairman, West Zone Group

“Retail is a people’s business. When building a retail brand or the 

Continue Reading

October 3, 2024 | By RetailME Bureau
Sunil Kumar, CEO, Spinneys

From being one of the first retailers in Dubai to ban single-use 

Continue Reading

October 1, 2024 | By RetailME Bureau
Walid Shabana, Co-founder & CTO, Rabbit

For starters, Rabbit is a growing e-commerce grocery platform in Egypt always 

Continue Reading

September 30, 2024 | By RetailME Bureau
Arunachalam Palaniappan, CTO, Choithrams

In 2024 grocery retail major Choithrams has achieved several milestones underscoring its 

Continue Reading

September 12, 2024 | By RetailME Bureau
#Topshelftalks session at Food Business Forum 2024

Industry pioneers are embracing a comprehensive strategy that integrates consumer insights, digital 

Continue Reading

July 3, 2024 | By Anurima Das
#EdgeOfTomorrow session at Food Business Forum 2024

The regional grocery retail market is evolving fast keeping pace with constantly 

Continue Reading

July 3, 2024 | By Rupkatha B
#CartToCouch session at Food Business Forum 2024

If anything, the Middle East market is excited about quick commerce – 

Continue Reading

July 2, 2024 | By Rupkatha B
#EcoEchoes session at Food Business Forum 2024

From ethical and local sourcing to adopting cutting-edge technologies to curb food 

Continue Reading

July 2, 2024 | By Rupkatha B
#ByteSizedBreakthroughs session at Food Business Forum 2024

The regional grocery retail market is becoming more and more diverse, offering 

Continue Reading

July 2, 2024 | By Rupkatha B

Spinneys, the leading premium fresh food retailer, has announced the opening of 

Continue Reading

June 24, 2024 | By RetailME Bureau

Spinneys has announced the launch of The Kitchen by Spinneys, its first-ever 

Continue Reading

May 20, 2024 | By RetailME Bureau




Download Images RetailME Magazine