i-Tail reports solid growth performance
American and European markets drove the Thai Union subsidiary’s sales during the third quarter.
Bangkok-headquartered i-Tail hit THB 4.4 billion ($127.5M/€119.8M) in sales between July and September 2024, reflecting a 10.9% year-on-year (YoY) growth. During the same period last year, the firm posted sales worth THB 4 billion ($115.9M/€108.9M).
This increase is attributed to rising pet food demand in the US and European markets, higher premium product sales, and a strategic price adjustment.
Gross profits during the quarter reached THB 1.3 billion ($37.6M/€35.4M), a 71.8% YoY improvement, driven by increased sales orders and premium product sales.
Operating profit hit THB 907.3 million ($26.3M/€24.7M) – a 79.5% increase – while net profit climbed 51.5% to THB 976.2 million ($28.3M/€26.5M).
Between July and September 2024, pet food sales grew by 15.4% YoY, with increases in cat food (3.7%), dog food (114.7%) and pet treats (2.3%).
Regional performance
The American market contributed 50% of i-Tail’s sales during the quarter, followed by Asia and Oceania (35%) and Europe (15%). Sales in America grew 21.5% YoY, while Europe saw a 42.2% increase.
The company says that Asia and Oceania’s sales declined by 8.9% YoY due to weaker demand in Japan and Thailand.
9-month financials and yearly guidance
The Thai Union subsidiary reported THB 13 billion ($376.9M/€354M) in sales in the first 9 months of 2024, a 20.3% YoY increase.
Europe led the sales growth (75.7%), followed by America (21.3%) and Asia and Oceania (3.8%).
For its 2024 fiscal year, i-Tail anticipates YoY sales growth of 15% to 17%, with gross profit margins rising 26% to 28%.
i-Tail’s role in Thai Union’s ‘Strategy 2030’
As a subsidiary of Thai Union, one of the world’s largest seafood producers, i-Tail is set to expand the company’s footprint in the pet food sector, as outlined in its ‘Strategy 2030.’
The company is positioned to contribute to the goal of achieving $7 billion (€6.6 billion) in revenue and doubling earnings by 2030.
Rising demand for high-quality pet food in key markets like the US and Europe will continue to drive i-Tail’s sales growth, further reinforcing Thai Union’s commitment to enhancing its pet care portfolio.
