Latest news with #SavolaGroup
Zawya
4 days ago
- Business
- Zawya
Savola Group reports strong revenue growth and significant profit improvement for H1 2025
Jeddah, Kingdom of Saudi Arabia – Savola Group – the leading strategic investment holding group in the food and retail sectors across the MENA region, today announced its interim financial results for the six months ended 30 June 2025, delivering strong revenue growth and a substantial improvement in profit after excluding the impact of prior‑year one‑off transactions. The Group achieved revenues of SAR 13.7 billion in H1 2025, compared to SAR 12.3 billion in the same period of 2024. This growth was primarily driven by: Retail Segment: +6% revenue growth, supported by store network expansion and the Customer Experience Revival (CXR) program at Panda Retail Company. Food Processing Segment: Higher volumes and commodity prices in edible oils, particularly in the Saudi market, plus the consolidation of United Sugar Company of Egypt —despite lower sugar volumes and prices. Frozen Foods Segment: 4% revenue increase. The increase came despite lower revenues in the Food Services segment. Strong Financial Performance during H1 2025 Savola Group reported a net profit of SAR 294.9 million for H1 2025, versus SAR 484.1 million in the same period last year. The year‑on‑year decline reflects the absence of the SAR 447.4 million share of profit from Almarai and SAR 54.3 million from discontinued operations, partially offset by lower financial charges (SAR 181.7 million) following debt repayments in 2024. After excluding the impact of these transactions, H1 2025 net profit of SAR 294.9 million represents an increase of SAR 130.8 million versus SAR 164.1 million for H1 2024. The improvement after exclusions was mainly driven by: Stronger performance in Retail and Food Processing segments; Reduction of losses at Herfy (Food Services); Improved results from associates (excluding Almarai and United Sugar Company Egypt) Higher other operating income from reversal of accruals (SAR 52.7 million), partly offset by a SAR 7.9 million net loss on derecognition of non‑current assets due to a regulatory project; Lower finance costs, zakat, and income tax; Partially offset by higher operating expenses mainly due to the effect of consolidating United Sugar Company of Egypt and additional lease arrangements. Q2 2025 Performance Revenue: SAR 6.1 billion (+18% YoY) Net Profit: SAR 105.7 million vs. net loss of SAR 6.3 million in Q2 2024 after excluding prior‑year one‑offs Driven by continued growth in core segments, a Herfy turnaround, and higher other operating income Savola Group's 2024 strategic transactions —including a rights issue, capital reduction, debt repayment, and the distribution of its Almarai stake—have strengthened the Group's balance sheet and created a foundation for sustainable earnings going forward. About Savola Group Founded in 1979, Savola Group is a publicly listed company and a leading strategic investment holding company focused on the food and retail sectors across the MENA region (Middle East, and North Africa). Its core platform, Savola Foods, produces and exports a wide range of food products including edible oils (such as Afia & Shams, and Alarabi brands), sugar (Alosra sugar), pasta (Almaleka and Italiano brands), Bayara and Afia nuts, spices, snacking and multiple ghee brands to more than 50 countries. The Group also owns Panda Retail Company, one of the largest grocery chains in Saudi Arabia, and holds strategic stakes in companies such as Herfy Food Service and Alkabeer Frozen Food. Contact Information ir@
Zawya
4 days ago
- Business
- Zawya
Saudi Savola's Q2 net profit drops 22% amid lower associate contributions
Savola Group, Saudi Arabia's largest food products company, reported a 22% year-on-year (YoY) decline in net profit for Q2 2025 to 105.7 million riyals ($28 million), as reduced contributions from associates offset a decline in finance costs. The result came in below analysts' average estimate of SAR 114 million, according to data from LSEG. In 2024, Savola undertook several one-off transactions — including a rights issue, capital reduction, distribution of its stake in Almarai, debt repayment, and the divestment of its Iran operations. Excluding the impact of these transactions from the prior-year quarter, the company said the current quarter's net profit represents an improvement of SAR 112 million over a net loss of SAR 6.3 million in Q2 2024. Revenue for the quarter rose 18% YoY to SAR 6.06 billion, driven by stronger sales in the retail segment. For the first half of 2025, Savola posted a net profit of SAR 295 million, marking a 39% decline from the same period last year, excluding the share of profit from Almarai. (Writing by Brinda Darasha; editing by Bindu Rai)
Arab News
09-07-2025
- Business
- Arab News
Savola Group announces leadership transition
Savola Group, a strategic investment holding company in the food and retail sectors across the MENA region, has announced a leadership transition to further progress the group's strategic transformation. The board of directors accepted the resignation of Waleed Khalid Fatani from his position as CEO of Savola Group. The move is in line with the group's strategic transformational direction that focuses on the food sector, following a successful tenure marked by major milestones. These include the launch of a SR6 billion ($1.6 billion) rights issue to strengthen the group's capital position, as well as the distribution of Savola's entire stake in Almarai to its shareholders. Meanwhile, Sameh Mahmoud Hassan has been named the new Savola Group CEO based on the recommendation of the Remuneration and Nomination Committee. Hassan currently holds the position of the CEO of Savola Foods Company (a wholly owned subsidiary of Savola Group) since December 2018. He is a seasoned executive in the FMCG and food industries. He will continue to lead Savola Foods in addition to being group CEO. This leadership change reflects the group's continued evolution, with Savola Foods at the center of its future growth ambitions. Sulaiman A.K. Al-Muhaidib, chairman of Savola Group, said: 'The appointment of Sameh Hassan marks a new phase in Savola's journey as we focus our efforts on building a scaled and integrated food platform with regional and global ambitions. On behalf of the board, I thank Fatani for his leadership and contributions. With Hassan at the helm, Savola is well-positioned to accelerate its growth in the food sector while continuing to manage its broader portfolio in a value-maximizing manner.' Fatani said: 'It has been a privilege to lead Savola during this transformative period.' I am proud of what we have accomplished together — from the execution of value-enhancing transactions to laying the foundation for the future with Savola Foods at the center of its future growth ambitions. I am confident that Sameh Hassan will continue this momentum and take the group to even greater heights.' Incoming CEO Hassan said: 'It is an honor to take on the role of group CEO at this pivotal time. We will continue to build on Savola's heritage and strengths, driving sustainable growth in our food platform. I look forward to working closely with the board and our teams to execute this next chapter of our strategy.'
Zawya
01-07-2025
- Business
- Zawya
Savola Group announces CEO transition
Jeddah, Kingdom of Saudi Arabia: Savola Group ('Savola' or 'the Group'), a leading strategic investment holding company in the food and retail sectors across the MENA region, announces today a leadership transition to further progress the Group's strategic transformation. The Board of Directors has accepted the resignation of Mr. Waleed Khalid Fatani from his position as CEO of Savola Group, effective June 30,2025, based on a mutual agreement as part of the Group's strategic transformational direction that aims to focus on the Food Sector, following a successful tenure marked by major strategic milestones. These include the launch of a SAR 6.0 billion rights issue to strengthen the Group's capital position, as well as the distribution of Savola's entire stake in Almarai to its shareholders. The Board extends its deepest appreciation to Mr. Fatani for his leadership, commitment, and contributions to Savola's transformation journey. In line with the transformation strategy, the Board is pleased to announce the appointment of Mr. Sameh Mahmoud Hassan, as the new Savola Group CEO based on the recommendation of the Remuneration and Nomination Committee (RNC) as of July 1, 2025. Mr. Sameh currently holds the position of the CEO of Savola Foods Co. (a wholly owned subsidiary of Savola Group) since December 2018. Mr. Sameh Hassan is a seasoned executive in the FMCG and food industries. He brings decades of leadership experience across prominent regional and global organizations. Prior to his current role, he held senior positions including Chief Portfolio Officer at Al Faisaliah Group, Chief Operating Officer at Basamh Trading and Industries Group, in addition to almost 20 years in several international roles at Procter & Gamble company. He also serves on the boards of various companies, reflecting his broad industry expertise and strategic leadership. He will continue to lead Savola Foods Company in addition to being Group CEO. This leadership change reflects the Group's continued evolution, with Savola Foods at the center of its future growth ambitions. While food will anchor the Group's core operations going forward, Savola remains committed to responsibly managing and maximizing value from its portfolio assets and other non-core holdings. As communicated in the February 2024 announcement, Savola continues to explore strategic alternatives to unlock value from these assets for the benefit of its shareholders, including potential listings, partnerships, or monetization avenues, subject to market conditions and regulatory approvals. Mr. Sulaiman A.K. Al-Muhaidib, Chairman of Savola Group, commented: 'The appointment of Mr. Sameh Hassan marks a new phase in Savola's journey as we focus our efforts on building a scaled and integrated food platform with regional and global ambitions. On behalf of the Board, I thank Mr. Fatani for his leadership and contributions. With Mr. Hassan at the helm, Savola is well-positioned to accelerate its growth in the food sector while continuing to manage its broader portfolio in a value-maximizing manner.' Mr. Waleed Khalid Fatani, outgoing CEO of Savola Group, added: 'It has been a privilege to lead Savola during this transformative period. I am proud of what we have accomplished together—from the execution of value-enhancing transactions to laying the foundation for the future with Savola Foods at the center of its future growth ambitions. I am confident that Mr. Sameh Hassan will continue this momentum and take the Group to even greater heights.' Mr. Sameh Hassan, incoming CEO of Savola Group, said: 'It is an honor to take on the role of Group CEO at this pivotal time. We will continue to build on Savola's heritage and strengths, driving sustainable growth in our food platform. I look forward to working closely with the Board and our teams to execute this next chapter of our strategy.' About Savola Group Founded in 1979, Savola Group is a publicly listed company and a leading strategic investment holding company focused on the food and retail sectors across the MENA region (Middle East, and North Africa). Its core platform, Savola Foods, produces and exports a wide range of food products including edible oils (such as Afia & Shams, and Alarabi brands), sugar (Alosra sugar), pasta (Almaleka and Italiano brands), Bayara and Afia nuts, spices, snacking and multiple ghee brands to more than 50 countries. The Group also owns Panda Retail Company, one of the largest grocery chains in Saudi Arabia, and holds strategic stakes in companies such as Herfy Food Service and Alkabeer Frozen Food.
Reuters
02-06-2025
- Business
- Reuters
Gulf stocks settle varied on tariff uncertainty, rise in oil prices
June 2 (Reuters) - Stock markets in the Gulf ended varied on Monday, as investor sentiment remained fragile after U.S. President Donald Trump's threat to double tariffs on worldwide steel and aluminium. Trump accused China of violating a bilateral deal to roll back tariffs and announced a 50% tariff on steel and aluminium, rattling international trade. The tariffs are set to come into effect starting June 4. Oil prices - a catalyst for markets in the Gulf - jumped by more than 4% after the OPEC+ group decided to keep output increases in July at the same level as the prior two months. . Brent crude futures was up 3.97%, at $65.27 a barrel by 1220 GMT. The Organization of the Petroleum Exporting Countries and its allies, decided on Saturday to raise output by 411,000 barrels per day in July. S&P 500 futures fell 0.5%, while Nasdaq futures lost 0.7%, suggesting a retreat at the opening bell later. Saudi Arabia's benchmark stock index (.TASI), opens new tab settled 0.23% higher with packaging provider United Carton Industries ( opens new tab up 4.52% and industrial company Savola Group ( opens new tab up 4.66%. "Sector performance was mixed but generally supportive, notably from the banking sector, which had experienced significant losses recently. Energy stocks also contributed positively, buoyed by higher oil prices," said Joseph Dahrieh, Managing Principal at Tickmill. Al Rajhi Bank ( opens new tab, Saudi Arabia's second-largest lender by assets, settled up 1.24%. The UAE stock markets presented a mixed picture, with Dubai's main share index (.DFMGI), opens new tab settling flat and Abu Dhabi's, benchmark index (.FTFADGI), opens new tab finishing down 0.39%. The Abu Dhabi index recorded a second straight session of losses. "The Dubai stock market was relatively stable after two previous sessions of losses. Momentum could remain intact and the market could continue to rise," said Dahrieh. In Dubai, food and groceries delivery provider Talabat Holding ( opens new tab was down 1.39%, while Amlak Finance ( opens new tab rose by 14.55%. Qatar's benchmark stock index (.QSI), opens new tab settled 0.16% lower. Commercial Bank ( opens new tab was the top loser on the index, down 1.78%. The index touched its lowest levels since May 1. Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab fell 0.54%, extending losses for a second consecutive session. Real estate companies took a hit, with Orascom Development Egypt ( opens new tab down 3.2% and Emaar Misr for Development ( opens new tab down 3.01%.
