Obour Land for Food Industries reports 16% revenue growth in Q1 2026

EGYPT – Obour Land has reported 16% revenue growth and a Net profit of USD 3.95 million (EGP 208.1 million) in Q1 2026.

The company’s net sales for the period were US$56.2 million (EGP 2.96 billion), a 16.0% growth compared to Q1 2025. Gross profit was US$13.8 million (EGP 728.8 million), an increase of 42.3%, translating into a gross profit margin of 24.6%.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) were US$8.16 million (EGP 429.5 million), a 33.5% y-o-y increase, yielding an EBITDA margin of 14.5%.

The Milk and Juice segments generated gross revenues of US$3.70 million (EGP 194.8 million) and US$624,000 (EGP 32.8 million) respectively.

Milk and juice segments delivered strong growth, supported by an effective deployment in selling and marketing expenses to support the latest campaign, with sales volume and revenue improving by 9% and 11%, respectively.

The company has been able to gain market share even while maintaining strict sales policies, including cash-only payments for retailers and wholesalers.

The milk segment benefited from a rebranding of its packaging, executed in line with management’s strategy and supported by the campaign.

The white cheese segment recorded a 17% increase in gross revenues, recording US$48.4 million (EGP 2.55 billion) in Q126 compared to US$41.4 million (EGP 2.18 billion) in Q1 2025.

The increase in revenues was mainly driven by a 6% increase in volumes and a 10.1% increase in average prices. Obour Land maintains its dominant position in the White Cheese market while increasing its market share gradually.

Starting in 2024, processed cheese became the company’s new rising star in exports, driven primarily by a strategic decision to enter new international markets. A robust export department was established, successfully pushing exports to over 44 countries.

The processed cheese revenues surged by 26% in 1Q26. To meet a booming international and local demand, Obour Land invested over $4 million to build a new processed cheese factory.

The new expansion, which tripled the company’s processed cheese production capacity, became operational in December 2025.

The recently introduced production line demonstrated its value by driving local market growth in processed cheese, offsetting export pressures from ongoing geopolitical crises.

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