Latest news with #Spinneys
Web Release
21-05-2025
- Business
- Web Release
'The Green Festival' at Spinneys: Students and Environmental NGOs Plant Seeds of Hope for a Sustainable Future
Spinneys strongly believes in the power of the new generation to shape a more sustainable future. On Tuesday, May 13, and Wednesday, May 14, 2025, Spinneys organized 'The Green Festival' at its Hazmieh branch. The event brought together several environmental NGOs and over 400 students from various schools to raise awareness about the importance of environmental protection and promote nature-friendly, sustainable practices. The festival offered an engaging and educational atmosphere, serving as an open space for students and NGO representatives to exchange ideas and experiences. A series of awareness activities introduced essential concepts such as sustainability, recycling, and waste management. Students had the chance to interact directly with environmental experts and learn about reusing containers, paper recycling, transforming e-waste into useful tools, and planting in recycled containers. On the occasion, Ralf El Kahe, Chief Marketing Officer at Spinneys, stated: 'With every new edition of this festival, we become more convinced that engaging students in such initiatives is the most effective way to embed sustainability values in our communities. We remain committed to supporting environmental efforts that foster positive change for individuals and society alike, while helping Lebanon align with the eco-friendly practices of leading countries.' The festival concluded with the distribution of symbolic eco-friendly souvenirs, allowing students to take home a meaningful experience filled with practical knowledge and sustainable habits they can implement and share within their families and communities. The participation of environmental NGOs played a key role in the success of the event by delivering informative and hands-on content that made environmental awareness both accessible and interactive. 'The Green Festival' is part of Spinneys' ongoing environmental initiatives launched years ago to encourage eco-consciousness among individuals and institutions. Spinneys has been a pioneer in this field, adopting sustainable solutions such as replacing plastic bags, using biodegradable shopping carts and baskets, and printing reusable promotional materials. Through such efforts, Spinneys continues to reinforce its leadership in supporting both the environment and society, with a clear vision of building a greener future for generations to come.
Gulf Business
13-05-2025
- Business
- Gulf Business
Spinneys posts record Q1 revenue as store expansion drives growth
A customer shops inside a Spinneys supermarket in Dubai. (Image credit: Getty Images) Retailer Spinneys has reported strong results for the first quarter of 2025, delivering a 10.4 per cent year-on-year rise in revenue to Dhs906.5m, up from Dhs814.8m in Q1 2024. The group's net profit for the period rose to Dhs85.2m, compared to Dhs74.7m a year earlier. Profit before tax jumped 23 per cent to Dhs101.9m, driven by revenue growth and operational efficiency gains. UAE operations remained the core revenue engine, contributing Dhs864.2m in sales. Oman generated Dhs23.1m in revenue, while operations in Saudi Arabia and sourcing markets accounted for the rest. The UAE segment also delivered Dhs107.7m in profit before tax, underscoring its dominant role in the group's earnings. Spinneys saw a healthy uptick in gross profit, which climbed to Dhs374.7m in Q1 2025 from Dhs335.6m a year earlier. The group maintained robust cash generation, with net cash from operating activities reaching Dhs189.6m. This supported a 28 per cent increase in cash and cash equivalents, which stood at Dhs242.6m at the end of March. 'We have carried the momentum we built in 2024 into 2025, and this is evident in our Q1 results,' said Sunil Kumar, CEO of Spinneys. 'The continued execution of our growth strategy has again resulted in exceptionally strong financial performance.' Kumar added that the opening of three new stores in Dubai during the quarter demonstrates 'there is still a significant white space opportunity available to us, even where our footprint is strongest.' The company declared a final dividend of Dhs100.8m for FY2024, approved in March and paid out in April 2025. Selling, general and administrative (SG&A) expenses rose to Dhs198.6m, up from Dhs187.8m in Q1 2024, with higher premises and distribution costs contributing to the increase. Meanwhile, the group booked a tax expense of Dhs16.7m — up from Dhs8m last year — as it factored in the UAE's newly implemented 9 per cent corporate tax and a global minimum top-up tax of Dhs6.5m in line with OECD Pillar Two rules. On the investment front, Spinneys spent Dhs21.7m on property, plant and equipment during the quarter, signalling ongoing expansion and modernisation. The retailer currently operates supermarkets in the UAE, Oman, and Saudi Arabia, with its DFM listing completed in May 2024 following an IPO of 900 million shares, amounting to 25 per cent of its share capital at the time.
Arabian Business
13-05-2025
- Business
- Arabian Business
New stores propel Spinneys' Q1 revenue to all-time high of $246.7mn, up 11.3%
Spinneys' first-quarter revenue hit a record high of AED906 million (US$246.7 million), increasing 11.3 per cent year-on-year. Profit before tax grew by 23.2 per cent to AED102 million (US$27.8 million), with profit for the period increasing by 14 per cent to AED85 million (US$23.1 million), after absorbing the impact of 6 per cent additional tax on applicability of Pillar Two Rules, which provides for a minimum tax of 15 per cent. Retail growth momentum The region's fresh food retailer attributed the growth to the opening of three new stores during the quarter, increased Fresh and Private Label sales, strong like-for-like growth, and higher online penetration. Like-for-like sales increased 6.7 per cent with the opening of 10 new stores across the UAE and Saudi Arabia since April 2024. Fresh and Private Label sales were strong, with penetration growing by 1 per cent and 1.2 per cent, respectively. Online sales penetration grew to 15.6 per cent during the year, as compared to 13.7 per cent in Q1 2024. Transaction volume grew by 7.8 per cent YoY to 9.9 million. The average basket size also increased – to AED92 (US$25), up 2.9 per cent compared to AED89 in Q1 2024. Sunil Kumar, Chief Executive Officer at Spinneys, commented: 'We have carried the momentum we built in 2024 into 2025, and this is evident in our Q1 results. 'The continued execution of our growth strategy has again resulted in exceptionally strong financial performance. We have achieved robust growth in revenue driven by increased like-for-like sales coupled with the expansion of our store network in the UAE and Saudi Arabia. Three new store openings in Dubai in the first quarter demonstrate that there is still a significant white space opportunity available to us, even where our footprint is strongest. 'While the UAE remains the core of our operations, we continue to explore growth opportunities throughout the GCC and look forward to more store openings in Saudi Arabia. These will include our first store in Jeddah in the second half of the year, which comes on the back of exceptionally strong consumer demand for us to expand beyond Riyadh.' Gross profit during the quarter increased by 11.7 per cent year-on-year to AED375 million (US$102.1 million), with a stable gross profit margin of 41.3 per cent, compared to 41.2 per cent in 2024. This was achieved through efficient sourcing and supply chain management and Spinneys' successful Private Label strategy, which emphasises high-margin products. Adjusted EBITDA was AED182 million, up 20.6 per cent year-on-year, with an adjusted EBITDA margin of 20.1 per cent, up from 18.5 per cent in the corresponding quarter in 2024. Spinneys maintains a positive outlook for the rest of the year, expecting to open 10-12 new stores across the UAE and Saudi Arabia by year-end. Annual revenue growth is expected to be between 9-11 per cent, driven by new store openings and like-for-like sales growth of 4-6 per cent. The company expects to maintain an adjusted EBITDA margin of 19-20 per cent.
Arabian Post
13-05-2025
- Business
- Arabian Post
Spinneys Sees Strong Q1 2025 Profit Surge Amid Expansion Drive
Supermarket operator Spinneys reported a 14% year-on-year increase in net profit for the first quarter of 2025, reaching AED 85 million , buoyed by new store openings and a significant uptick in online sales. Revenue for the quarter climbed over 11% to AED 906 million, reflecting the company's strategic expansion and digital initiatives. The Dubai-based retailer, which went public on the Dubai Financial Market in 2024, attributed its robust performance to the launch of three new stores and a continued focus on enhancing its e-commerce platform. The company has been actively expanding its footprint, with plans to open 10 to 12 new stores across the UAE and Saudi Arabia by the end of the year. Spinneys' entry into the Saudi market marks a significant milestone in its regional growth strategy. The company inaugurated its first store in Riyadh's La Strada Yard, receiving an exceptional response from customers. CEO Sunil Kumar highlighted the strong demand in the Kingdom, stating that the early performance reinforces a positive outlook for Spinneys in Saudi Arabia. The retailer plans to open additional stores in Riyadh's King Abdulaziz Financial District and other locations before the end of 2025. The company's e-commerce segment has also shown impressive growth. Online sales increased by 21.7% year-on-year, surpassing AED 217 million in the first half of 2024. E-commerce now accounts for 14% of Spinneys' total revenue, driven by the launch of the Spinneys Swift app, which offers hyperlocal delivery services. The app's 60-minute delivery service has been piloted in key locations, with plans for a broader rollout across the UAE. See also Foreign Investors Flock to Gulf Markets Amid Economic Reforms Spinneys' strategic focus on premium grocery segments has positioned it well in the GCC's evolving retail landscape. The company's target market, comprising affluent households, is growing faster than the broader grocery sector. In the UAE, this segment is projected to expand at a compound annual growth rate of 4.4% from 2022 to 2028, while in Riyadh and Jeddah, the growth rate is expected to be 6.7%. The retailer's commitment to quality and innovation is evident in its product offerings and store concepts. Spinneys has introduced 'The Kitchen, by Spinneys,' a food hall concept in Dubai Mall, offering fresh meal solutions with margins exceeding traditional grocery retail. The company plans to open more locations of this concept in the UAE, catering to the growing demand for convenient and high-quality dining options. Financially, Spinneys maintains a strong position. The company reported a 9.9% increase in revenue to AED 1.6 billion in the first half of 2024, with a net profit of AED 146 million, up 15.2% year-on-year. Despite the introduction of a 9% corporate tax in the UAE, Spinneys has continued to deliver solid financial results, supported by efficient sourcing, supply chain management, and a successful private label strategy.
Zawya
13-05-2025
- Business
- Zawya
Dubai Spinneys reports 14% rise in Q1 net profit
The Dubai-based supermarket operator Spinneys posted 14% growth in Q1 2025 net profit to 85 million dirhams ($23 million). Revenue for the quarter grew over 11% year-on-year (YoY) to AED 906 million on the back of three new store openings and higher online sales. Spinneys, which listed on Dubai's DFM exchange following an IPO earlier last year, expects to open 10 to 12 new stores across the UAE and Saudi Arabia by year-end. The company forecasts revenue growth for 2025 at between 9-11% driven by new store openings coupled with like-for-like sales growth of 4-6%. (Writing by Brinda Darasha; editing by Seban Scaria)
