Spinneys 1961 (SPINNEYS) investor relations material

Executive summary

• Revenue for H1 2026 rose 5.1% year-over-year to AED 1.9 billion, driven by like-for-like sales growth, new store openings, and increased e-commerce and private label sales.

• Profit after tax increased 2.5% to AED 175 million, with adjusted EBITDA up 1.2% to AED 369 million and margin at 19.4%.

• Interim dividend of AED 122.4 million (3.40 fils per share) declared for H1 2026.

• Store count expanded to 93, with 11 new stores opened and one closed; gross selling area surpassed 1 million square feet.

• Business resilience maintained despite regional disruptions, with transaction growth of 6% and strong supply chain agility.

Financial highlights

• Gross profit for H1 2026 was AED 784 million, up 4.1% year-over-year, with a gross margin of 41.0% (down 0.5% YoY).

• Adjusted EBITDA margin for H1 2026 was 19.4%; profit before tax was AED 203 million (10.7% margin).

• Free cash flow conversion was 77.5% (AED 194 million), supporting expansion and dividend commitments.

• Net debt stood at AED 225 million, with cash and bank balances of AED 843 million.

• Earnings per share for H1 2026 was AED 0.051.

Outlook and guidance

• FY2026 revenue growth guidance is 9–11%, with like-for-like revenue growth of 6–8% and adjusted EBITDA margin guidance of 18–20%.

• Store expansion to continue in Saudi Arabia, Kuwait, and the Philippines, leveraging local partnerships.

• Guidance will be revisited in Q3 2026; management remains confident in achieving set targets.