Spinneys Achieves Significant Growth with 16.2% Rise in Net Profit for H1 2025
ABU DHABI (ALETIHAD) – Spinneys, a renowned name in the grocery retail sector, has reported impressive financial results for the first half of 2025. The company’s net profit reached Dh170 million, representing a robust increase of 16.2% compared to the same period in 2024. This growth underscores the effectiveness of Spinneys’ strategic initiatives, including the enhancement of like-for-like sales and a notable expansion into the online retail space.
Revenue for the six-month period escalated by 13.7% to an impressive Dh1.8 billion, with pre-tax profits soaring by 24.4% to Dh202 million. The company’s adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) also showed remarkable growth, climbing by 20% to Dh365 million, which corresponds to an industry-leading margin of 20.1%. Furthermore, the gross profit for this half of the year was recorded at Dh753 million, a commendable increase of 14.2% compared to the previous year.
The ongoing expansion of Spinneys’ store network is a pivotal element in its overall success. Over the past year, the company has inaugurated nine new outlets across the United Arab Emirates and Saudi Arabia. Notable additions include the recent openings of Spinneys Mina Port and The Kitchen by Spinneys, located in Wafi Mall. These new stores have contributed to a 12.2% year-on-year rise in total transactions, amounting to 20.6 million in H1 2025. Despite the increase in sales volume, the average basket size has remained stable at Dh88, indicating strong consumer loyalty and effective merchandising strategies.
In the first quarter of 2025, Spinneys showcased strong performance, with revenue hitting Dh910 million, marking a significant 16.2% increase from Q1 2024. Quarterly profits rose by 18.5% to Dh85 million, alongside an impressive 19.3% growth in adjusted EBITDA, which reached Dh183 million. These figures exemplify the sustained momentum of the brand in an increasingly competitive market.
CEO Sunil Kumar attributed this remarkable performance to Spinneys’ commitment to delivering high-quality food experiences to its customers throughout the region. “The strength of the Spinneys brand combined with our focus on fresh, high-quality offerings has driven successful outcomes,” said Kumar. He emphasized the importance of the successful launch of the “Discovery by Spinneys” premium private label range, which debuted with a unique variety of Scottish strawberries. “This marks a significant milestone in our journey to introduce exclusive, high-quality products to our discerning customers,” he added.
Looking ahead, Spinneys remains optimistic about its growth trajectory and has reaffirmed its financial guidance for the entirety of 2025. The company plans to open an additional 10 to 12 new stores across the UAE and Saudi Arabia while aiming to maintain a robust adjusted EBITDA margin between 19% and 20%. In a show of confidence in its sustained profitability, the board of directors has approved an interim dividend of approximately Dh120 million for H1 2025, translating to 3.32 fils per share.
Spinneys’ consistent expansion efforts and strategic innovations exemplify the dynamic nature of the grocery retail industry in the Gulf region, particularly in the face of evolving consumer preferences and the increasing significance of online shopping. As the market continues to adapt, Spinneys’ ability to enhance its product offerings while maintaining operational efficiency positions it favorably for the challenges and opportunities that lie ahead.
This robust performance not only cements Spinneys’ reputation as a leader in the grocery sector but also highlights the broader economic resilience of the UAE amidst various global challenges. As one of the region’s trusted names in retail, Spinneys is poised to leverage its established brand strength, strategic store placements, and commitment to quality as it navigates the evolving landscape of consumer retail.
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