Lulu Retail Net Profit Rises 9.1% in H1, Declares $98M Dividend
Revenue and Profit Growth
The retailer reported H1 2025 revenues of $4.1 billion, up 5.9% YoY, with like-for-like sales rising 3.8%. Q2 2025 revenues reached $2.0 billion, marking a 4.6% YoY increase. The performance was driven by strong growth in key categories, supported by Lulu's private label and e-commerce segments.
Private label sales grew 3.5% YoY, accounting for 29.7% of retail revenue, while e-commerce sales surged 43.4% YoY to $108 million, representing 5.6% of retail revenue. Gross profit rose 6.5% YoY to $468 million, and EBITDA increased 7.6% YoY to $204 million in Q2, with margins improving by 28 basis points.
Strategic Expansion and Customer Engagement
During H1, Lulu opened seven new stores and added four more in July, bringing the total store count to 259. The company remains on track to open 20 new stores in 2025. Its Happiness loyalty program also added 1 million members in the quarter, raising total membership to 7.3 million.
CEO Saifee Rupawala commented, 'Our steady and resilient H1 2025 performance is a testament to our well-established growth pillars, enabling record sales and margin improvements. We expect our growth momentum to persist as we focus on expanding our store network, enhancing operational efficiency, and unlocking further potential through private label and e-commerce offerings.'
Regional Performance Highlights
UAE: Q2 revenue up 9.4% YoY, driven by high demand for fresh food and Lulu's omnichannel strategy.
Saudi Arabia (KSA): Revenue up 3.8% YoY, supported by strong electrical goods sales and new store openings.
Kuwait: Revenue increased 4.9% YoY, maintaining consistent positive performance.
About Lulu Retail
Founded in 1974, Lulu Retail is the largest full-line retailer in the GCC by selling space, sales, and store count, operating 256 hypermarkets, express, and mini-market stores across the region. Serving more than 690,000 shoppers daily from 130 nationalities, the company sources products from 85 countries and operates 19 on-the-ground sourcing offices. Its strong GCC brand reputation continues to drive store expansion, customer loyalty, and e-commerce growth.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Daily Tribune
2 days ago
- Daily Tribune
Lulu Retail Net Profit Rises 9.1% in H1, Declares $98M Dividend
Lulu Retail has announced a strong financial performance for the first half of 2025, posting a 9.1% year-on-year increase in net profit to $127 million, reflecting robust operational execution across its markets. The company also declared an interim dividend of $98.4 million (3.5 fils per share), in line with its IPO dividend policy. Revenue and Profit Growth The retailer reported H1 2025 revenues of $4.1 billion, up 5.9% YoY, with like-for-like sales rising 3.8%. Q2 2025 revenues reached $2.0 billion, marking a 4.6% YoY increase. The performance was driven by strong growth in key categories, supported by Lulu's private label and e-commerce segments. Private label sales grew 3.5% YoY, accounting for 29.7% of retail revenue, while e-commerce sales surged 43.4% YoY to $108 million, representing 5.6% of retail revenue. Gross profit rose 6.5% YoY to $468 million, and EBITDA increased 7.6% YoY to $204 million in Q2, with margins improving by 28 basis points. Strategic Expansion and Customer Engagement During H1, Lulu opened seven new stores and added four more in July, bringing the total store count to 259. The company remains on track to open 20 new stores in 2025. Its Happiness loyalty program also added 1 million members in the quarter, raising total membership to 7.3 million. CEO Saifee Rupawala commented, 'Our steady and resilient H1 2025 performance is a testament to our well-established growth pillars, enabling record sales and margin improvements. We expect our growth momentum to persist as we focus on expanding our store network, enhancing operational efficiency, and unlocking further potential through private label and e-commerce offerings.' Regional Performance Highlights UAE: Q2 revenue up 9.4% YoY, driven by high demand for fresh food and Lulu's omnichannel strategy. Saudi Arabia (KSA): Revenue up 3.8% YoY, supported by strong electrical goods sales and new store openings. Kuwait: Revenue increased 4.9% YoY, maintaining consistent positive performance. About Lulu Retail Founded in 1974, Lulu Retail is the largest full-line retailer in the GCC by selling space, sales, and store count, operating 256 hypermarkets, express, and mini-market stores across the region. Serving more than 690,000 shoppers daily from 130 nationalities, the company sources products from 85 countries and operates 19 on-the-ground sourcing offices. Its strong GCC brand reputation continues to drive store expansion, customer loyalty, and e-commerce growth.
Bahrain This Week
4 days ago
- Bahrain This Week
Experience the Flavors of India at Lulu's "Grand India Utsav" in Bahrain
Lulu Hypermarket has launched its vibrant 'Grand India Utsav,' bringing the flavors, fashions, and festivities of India to the community in Bahrain in celebration of Indian Independence Day. The festival, inaugurated by Indian Ambassador Vinod K. Jacob at Lulu Hypermarket Dana Mall, features an array of promotions on Indian products and highlights the cultural ties between the two nations. Ambassador Jacob praised the event for its 'color and energy.' He noted that 'Lulu is well-known for the immersive national festivals it organizes and India Utsav is always a highpoint celebrating the rich ties of friendship and commerce between India and Bahrain.' Shoppers can take advantage of numerous special offers, including a 25% discount onfresh Indian buffalo meat and fish, and great deals on ethnic fashion. The festival also includes a special 'Buy 2, Get 2' deal on men's suits, shirts, trousers, and jeans. The event is more than just a sale; it's a community gathering. It features stalls run by local enterprising ladies and Indian food entrepreneurs, offering a platform to showcase their talents and products. Mr. Juzer Rupawala, Lulu Group's Director of Retail, highlighted the hypermarket's robust network. 'With our vast network of suppliers, logistics, and warehousing across India, we are offering the best on all things Indian,' he said. He added that the festival is a way of 'welcoming the community in Bahrain to share their love of India,' noting that both Indian and other nationalities enjoy the colorful celebration. The 'Grand India Utsav' will continue until August 16th, inviting everyone to experience the best of India.
Daily Tribune
25-07-2025
- Daily Tribune
Lulu celebrates Global Flavours from over 30 countries
LuLu Hypermarket celebrated and drew delicious attention to its vast global supply-chain network with a flavoursome festival that was inaugurated yesterday. In the presence of diplomats from over 13 countries that LuLu worked with, 'The World In Every Aisle' festival was inaugurated at LuLu Hypermarket The Avenues Bahrain . The Ambassadors and VIP guests placed their hands on a giant globe which lit up to mark the start of the festival. The promotion showcases top-quality ingredients from around the world in aisles as well as tasty dishes prepared for the Hot Foods section by LuLu's in-house chefs and amazing breads, savoury and sweet pastries as well as cakes in the Bake Art in-store bakery. LuLu will also be turning the spotlight on a celebrated food trend: flavoured butters. Ms. Aida Al Mudaifa, the founder of Early Riser, a food company, will present a range of flavoured butters that add zing to cooking: nut butters, herb butters, savoury butters as well as sweet flavours. The Campaign, which will run till 30th July 2025, features a special promotion on grocery products Buy Any product and get the Second one for 50% off. (for the selected products in the promotion) The promotion will run Exclusively at Lulu Hypermarket Avenues Bahrain. 'At Lulu Hypermarket, it has always been our core belief that a global supply chain will help to bring the best ingredients to the world. Our global supply chain spans over 30 countries with award-winning centres in New York, Birmingham U.K., Milan in Italy and in Asia across India, Sri Lanka and Indonesia' said Mr. Juzer Rupawala, Director – Retail of LuLu Group, 'These supply and logistics centres help us to source the best products, our investment in state-of-the-art equipment and I.T. means that they reach our aisles in the freshest condition and that wastage is minimal throughout the chain. It is a testament to our commitment to our customers as well as the key role that the LuLu Group plays in global food security, with its over 250 stores around the world.' The Hypermarket also supports local food trends and initiatives which give shoppers a snapshot of the local foodpreneur culture and culinary scene. Shoppers can head over to LuLu for great deals from around the world and explore new culinary zones that they have not tried before.
