Spinneys 1961 (SPINNEYS) Q4 2025 earnings summary

Executive summary

• Achieved 13.1% year-over-year revenue growth to AED 3.6 billion for 2025, with profit after tax up 14.5% to AED 332 million and a profit margin of 9.1%.

• Opened 13 new stores, the largest annual network growth, and expanded into KSA, with preparations for Kuwait and Philippines entries.

• E-commerce sales grew 37% year-over-year, now representing 17% of total sales.

• Board recommended a final dividend of AED 129.6 million, representing 75% of annual profit.

• Entered new markets in Kuwait and the Philippines, marking significant regional and international growth milestones.

Financial highlights

• Revenue increased from AED 3.2 billion to AED 3.6 billion; gross profit rose 14.7% to AED 1.53 billion.

• Adjusted EBITDA grew 16% to AED 731 million, with a margin of 20%.

• Free cash flow reached AED 463 million, with a 93.6% conversion rate; cash and bank balances of AED 776 million.

• Net debt minimal, with most gross debt relating to lease liabilities.

• Basic and diluted EPS was AED 0.0949 for 2025.

Outlook and guidance

• 2026 guidance: 6–10 new store openings, revenue growth of 9%–11%, like-for-like growth of 6%–8%.

• EBITDA margin expected at 18%–20%, with slight dilution from international expansion and pre-opening costs.

• CapEx to rise to 3.5%–4% of revenue due to Foodtech Valley and new market entries.

• Continued investment in existing stores and focus on high-margin private label products.