Almarai’s quarterly profits are continuing their downward trajectory. On Sunday, the Saudi Arabian dairy giant reported a 34% fall in third-quarter net profits compared to the same period last year. The fall wasn’t due to a lack of sales, but rather rising commodity costs, an increase in value-added tax, and COVID-related supply chain issues. Sales came in at SAR 3.9b, a 2% increase from the same quarter last year.

Almarai was founded in 1977 with 350 cows and has since grown into the MENA region's largest dairy company. Almarai’s poultry business, in particular, experienced a more than 50% decrease in net profits, while its dairy and juice business saw a 30% decline that was driven by higher costs of feeder corn.