Almarai Sees Steady Q1 Profit Amid Rising Revenues

Almarai, a leading dairy company, announced a net profit of SR732.2 million ($195 million) for the first quarter of 2026. This figure is nearly identical to the SR731.2 million profit recorded in the same period last year. The growth in revenue, which reached SR6.16 billion, marked a 6.8% year-on-year increase, attributed to stronger sales during Ramadan and increased volumes across various markets and product categories, especially in dairy and poultry.

The company's gross profit for the quarter was SR1.87 billion, a 5.5% rise compared to the previous year, while operating profit slightly increased by 0.1% to SR875.1 million. However, the quarterly operating profit rose by 42.2%, reflecting enhanced sales and efficiency improvements.

Almarai reported mixed results across different segments. The dairy and juice category experienced a net profit increase, driven by improved sales and robust Ramadan performance, with fresh dairy products performing particularly well. In contrast, the protein category saw a decline in net profit due to supply conditions in the poultry market.

Despite the stable earnings, Almarai faced pressure on its profit margins, with declines in gross, operating, and net profit margins compared to a year earlier. Total comprehensive income attributable to shareholders decreased by 33% to SR601.9 million, while total equity increased to SR21.1 billion. Earnings per share remained steady at SR0.74.

The company is monitoring regional developments and continues to manage supply chain and operational risks, ensuring adequate inventory levels are maintained.