Our Six Pillars of Strategic Excellence
Agricultural Expansion
This pillar is driven by cultivating and producing agricultural crops in open fields and smart greenhouses, with the goal of delivering high-quality vegetables and fruits to consumers. Nadec adopts the latest technologies and forms partnerships in the form of contract farming to support local farmers. Additionally, the company remains committed to producing organic olive oil and leading the way in providing premium agricultural seeds, such as wheat and potatoes, to farmers in Saudi Arabia.
Production Expansion
Nadec aims to achieve this pillar by scaling up production and distribution operations, as well as enhancing its existing product range (dairy and juices) to better serve both local and international consumers. Through innovation, investment in supply chains, and expanding distribution capabilities, the company seeks to reach a broader audience. Dairy products and their derivatives serve as the backbone of nadec’s operations, accounting for 92.3% of its revenues as of 2024. Moreover, nadec plans to expand its investments into the protein and vegetable sectors, in line with its five-year strategic plan.
Geographic Expansion
Nadec aims to expand the geographic reach of its branches and services by targeting new markets within Saudi Arabia, the Middle East, North Africa, and untapped global markets. This initiative seeks to provide diverse opportunities for future growth.
Sectoral Expansion
The company seeks to achieve excellence and growth in targeted sectors by investing in the protein, and vegetable sectors. These investments are designed to cater to the diverse preferences and needs of customers and consumers in various markets.
Expansion in Distribution Channels
To achieve its aspirations for geographic and sectoral expansion, nadec plans to invest in the development and expansion of its distribution operations. This includes forming new alliances and partnerships to increase the reach and efficiency of its supply chain.
Expansion in Financing
Nadec aims to diversify its funding sources and utilize them to support geographic and sectoral expansion projects, as well as to enhance distribution channels. This strategic approach continued in 2024, with dedicated capital allocations aligned with the company’s growth objectives.
Operating Review
01-Dairy Products
Nadec’s leading dairy sector delivered solid sales and revenue performance in 2024, benefiting from the strong economic recovery in our key markets. The sector recorded revenues of approximately SAR 2.6 billion, reflecting stable performance compared to approximately SAR 2.7 billion in 2023. This performance underscores the sector’s continued resilience and contribution throughout the year.
The expansion of sales and distribution outlets, which reached 4,700 points of sale, contributed to higher net profits and increased sales. Dairy products accounted for 81.5% of Nadec’s total annual revenue, driven by strong demand for newly introduced products. These included a variety of consumer-friendly packaging sizes and the addition of new offerings within the dairy category, meeting consumer expectations and preferences
Expansion of Dairy Products
In line with Nadec’s commitment to meeting customer expectations and delivering innovative products, 2024 witnessed the expansion of a range of dairy products, the variety of choices available to consumers. This expansion reaffirms Nadec’s dedication to continuous innovation and the delivery of high-quality products that enhance the customer experience. The newly introduced products include.
Ayran laban drink with cucumber and mint
Low-fat cheese category
Nadec High protein milk range
Lactose Free Full Fat Yogurt
Expansion of greek yoghurt range
13.4%
Nadec Fresh Cream
Recorded a 13.4% market share, ranking second in the market.
16.8%
Nadec Yogurt
Achieved a 16.8% market share, ranking second in the market.
15.1%
Nadec Fresh Milk
Held a 15.1% market share, ranking second in the market.
Nadec Dairy Revenue in 2024 vs. 2023
Long-Life Dairy Products (SAR Million)
2024
2023
+0.4%
Cheese & Butter Products (SAR Million)
2024
2023
+5.9%
Operating Review
02-Juice Products
Nadec’s juice sector delivered outstanding performance in 2024, securing the second-largest market share locally and generating revenues of SAR 231.4 million. The company maintained its leadership in this position compared to 2023, demonstrating its ability to sustain growth in a competitive market while aiming for further expansion, reaching new consumer sectors, and strengthening its premium juice portfolio.
Innovation played a key role in maintaining Nadec’s competitive edge in the juice market. The company introduced newly designed consumer-friendly packaging, which received positive feedback from customers. This enhancement further reinforced Nadec’s position in the juice category, offering unique and distinctive flavors.
The juice sector contributed 2.47% of Nadec’s total profits in 2024, driven by strong demand for newly introduced products such as strawberry mojito juice and apricot mixed fruit juice, both of which gained significant popularity among consumers. This success was further supported by the introduction of various consumer-friendly packaging sizes and the expansion of the juice portfolio with new product offerings, strengthening Nadec’s presence in this dynamic sector.
New Juice Products
As part of Nadec’s ongoing commitment to delivering innovative products that meet customer expectations, a new range of juices was introduced in 2024. These additions aim to enhance flavor variety and bring a refreshing and distinctive touch to the consumer experience. The newly launched juice products include:
Strawberry Mojito Nectar Juice (180ml - 1.3L)
Seasonal Flavours Nectar Juice (180ml - 1.3L)
03-Olive Oil Products
Nadec’s olive oil sector delivered outstanding performance in 2024, achieving the highest sales, revenue, and market share locally. The sector recorded revenues of SAR 115.1 million, with Nadec advancing to the top market position, up from second place in 2023. This achievement reflects the exceptional quality of Nadec’s olive oil, which has earned numerous local and international awards over the years. Looking ahead, Nadec remains committed to sustaining its leadership and expanding its consumer base.
Nadec’s market share in the olive oil sector reached 14.7%, solidifying its position as one of the leaders in the olive oil sector locally. This success stems from the company’s strategic initiatives to strengthen its olive oil sector, including expanding distribution channels and investing in the increased production capacity of olive trees. Additionally, Nadec implements rigorous and exceptional quality tests, conducted both seasonally and throughout the year, to ensure consistent productivity and superior quality in the olives it cultivates.
Furthermore, Nadec's organic extra virgin olive oil, our flagship product, leads the local market with a share of 45.8%. Its exceptional quality, coupled with Nadec's dedication to organic farming throughout the production process, has solidified it as the top choice for consumers.
Nadec Olive Oil Revenue in 2024 vs 2023
2024
2023
+67.8%
04-Calves and Protein Products
Nadec’s Protein sector experienced significant growth in 2024, recording a notable increase in sales and revenue. This growth was driven by the company's strategic expansions, including the establishment of dedicated local slaughterhouses, enhancement of distribution networks, and investment in increased capacity by sourcing high-quality red meat from various countries.
As a result, sector revenue rose to SAR 180.3 million, up from SAR 83.6 million in 2023, reflecting an increase of approximately SAR 96.7 million or 114.9%. The protein sector accounted for 5.6% of Nadec’s total sales, underscoring the positive impact of expansion initiatives. The company’s investments in the expansion of network distribution and increased production capacity played a key role in achieving this remarkable growth in the protein sector.
Nadec Calves and Protein Revenue in 2024 vs.2023
2024
2023
+114.9%
New Calves and Protein Products
As part of our commitment to meeting customer expectations and offering a diverse selection to suit their needs, Nadec continued to expand its portfolio of innovative products in 2024. We introduced a new range of products catering to various tastes, while also enhancing the sector with high-yield cattle breeds, supporting consumers’ healthy choices:
- Holstein Veal
- South African Lamb
- Angus Beef
- Australian Lamb
- Topside Beef
- Variety of Beef Cuts (Tenderloin, Striploin, Ribs)
Digital Transformation and Investment
Nadec’s Digital Transformation Strategy in 2024: Chains of Success
During 2024, nadec successfully completed more than 120 digitization projects, including enhancements to the SAP S4HANA system and the digital and technological services it offers. These advancements contributed to the success of new services and operations, including business processes such as finance, procurement, warehousing, production, quality control, sales, transportation, and factory maintenance.
The digital transformation project at nadec aimed to create a unified source of information to assess various areas and enable the seamless integration of its business processes. This initiative allows for real-time data access related to transactions and inventory across multiple departments. The digital transformation projects included enterprise resource planning (ERP) systems and contributed to developing a precise and comprehensive roadmap for business process improvements and strategies.
Sales
Quality Control
Factory Maintenance
Supply Chain
Production
Governance, Risk, and Compliance
Finance
HR
Agriculture
Protein
Digital Transformation Projects
Positive Outcomes of nadec’s Digital Investment Projects
1
Digital Investment for Revenue Growth
Nadec’s digital transformation projects prioritized a key factor: their contribution to revenue growth by improving operational efficiency and supporting marketing and sales strategies. By leveraging data analytics and predictive tools (SAP S/4HANA / SAP Analytics Cloud (SAC) / SAP Datasphere / SCADA), the company enhanced its ability to respond to customer needs and expand its consumer base.
2
Net Profit Margin
Another critical determinant for digital transformation projects was their ability to improve net profit margins. This was achieved by reducing operational costs and optimizing resource management through supply chain automation systems. These systems minimized human errors, accelerated processes, and resulted in significant time and cost savings, leading to sustainable profits.
3
B2B Application Launch
Nadec has launched a B2B application, which is designed to facilitate commercial transactions between nadec and its distributors and wholesalers. This was made possible with the development of a dedicated contact center to handle their inquiries and to drive efficient marketing implementations.
4
Sustainability Metrics
Digital transformation initiatives laid a strong foundation for achieving sustainability goals at nadec. Smart irrigation technologies improved water and energy efficiency, while waste recycling initiatives were enhanced. Additionally, the company launched the "Green Footprint" project to reduce paper usage and transition toward paperless operations, streamlining document management processes.
Digital Transformation Excellence Certification and Awards at Nadec 2024
ISO27001
2022 Certification for Information Security Management
Achieved for the Management of Information Security across food processing and agricultural activities, covering dairy, long-life dairy, cheese and butter, fresh juice, olives, protein products, and more. This certification highlights our rigorous commitment to information security.
Issued Date: April, 2024
Award for "Best Achievement in Operational Management Program
Received this award in collaboration with SAP Signavio at the BTOES Awards, recognizing our success in empowering business users and improving operational excellence.
Issued Date: May, 2024
ISO9001
2015 Certification for Quality Systems in Technology and Digital Division
Awarded for our Quality Management System (QMS) in the Digital & Technology department, emphasizing nadec’s high standards across infrastructure, applications, strategy, governance, and digitalization services.
Issued Date: October, 2024