Spinneys 1961 (SPINNEYS) Q4 2025 earnings summary

Executive summary

• Achieved 13.1% year-over-year revenue growth to AED 3.6 billion for FY2025, with profit after tax rising 14.5% to AED 332 million and a profit margin of 9.1%.

• Opened 13 new stores, expanding the network to 90 stores and increasing gross selling area by 12.4%.

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

• Entered new markets in Kuwait and the Philippines, with JVs and first stores planned for 2026.

• Board recommended a final dividend of AED 129.6 million (3.60 fils/share), representing a 75% payout of annual profit.

Financial highlights

• Revenue increased from AED 3.2 billion to AED 3.6 billion (+13.1% year-over-year); 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 generated was AED 463 million, with a 93.6% FCF conversion rate.

• Net debt minimal at AED 59–259 million, with AED 776 million cash on hand.

• Like-for-like sales growth of 10.7% and average basket size of AED 87.1.

Outlook and guidance

• FY2026 revenue growth expected at 9–11%, with like-for-like growth of 6–8% and 6–10 new stores planned, including expansion in KSA, Kuwait, and the Philippines.

• EBITDA margin guidance at 18–20%, reflecting initial costs for new markets.

• CapEx expected at 3.5–4% of revenues, higher due to Foodtech Valley project.

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