In what seems like an effort to grab a slice of the largely untapped frozen food industry of Pakistan – which accounts only 5 percent of the total poultry sales – Al-Shaheer Corporation has now ventured into the frozen meat segment.
The parent company of Meat One – a high-end retail chain of red and white meat –announced the decision after its analyst briefing on the outlook of FY2015-16 result. The company recorded a net profit of Rs358 million, up 87 percent against last year’s after-tax profit of Rs194 million. The revenues of ASC clocked in at Rs6.8 billion against Rs4.9 billion of sales it recorded in FY2014-15.
Established in Karachi in 2008 as a meat supplier to the Middle East, the company soon began its domestic operations by launching first ever outlet of Meat One in 2010. The retail outlets provided high end and quality chicken, mutton and beef cuts to the consumers.
After becoming a successful player in the country’s Rs1.25 trillion meat industry, Meat One owners now plan to expand their operations in the frozen food industry which is growing at the rate of 10 percent every year.
The company’s poultry facility that will sell frozen raw and ready chicken products is set to come out by March next year. ASC has also invested in frozen fruits and vegetables segment which is expected to come out by December 2017.
‘’ASC management looks very optimistic on the upcoming poultry foods facility owing to the growing processed meat industry, increasing number of consumers becoming hygiene conscious and growing demand from quick service industries, including restaurants and hotels,’’ said an analyst report released by Insight Securities.
On the back of phenomenal growth, the meat supplier increased its retail outlets from 23 to 33 during last one year. It’s now planning to furtheropen 12 to 15 Meat One outlets in coming year.
ASC has also signed a MOU with Shell Pakistan recently. Under the MOU, Meat One will establish its outlets at designated Shell petrol stations, particularly those in residential areas.