On 2026-02-11 15:49:23 (Saudi Time), Saudia Dairy and Foodstuff Co. announced its Annual financial results for the twelve months ended on December 31, 2025.
Element List
Current Year
Previous Year
%Change
Sales/Revenue
2,999,400
2,857,652
4.96
Gross Profit (Loss)
933,944
1,041,725
-10.35
Operational Profit (Loss)
483,603
477,813
1.21
Net Profit (Loss) Attributable to Shareholders of the Issuer
477,389
483,163
-1.2
Total Comprehensive Income Attributable to Shareholders of the Issuer
489,510
481,195
1.73
Total Shareholders Equity (after Deducting Minority Equity)
1,742,709
1,807,250
-3.57
Profit (Loss) per Share
14.92
15.12
All figures are in (Thousands) Saudi Arabia, Riyals
Element List
Amount
Percentage of the capital (%)
Profit (Losses) Resulting From The Change In Investment Propertie’s Fair Value
-
-
Accumulated Losses
-
-
All figures are in (Thousands) Saudi Arabia, Riyals
Element List
Explanation
The reason of the increase (decrease) in the sales/ revenues during the current year compared to the last year
Sales of SAR 2,999 Mln versus SAR 2,858 Mln represent an increase of 4.96%, attributable to:
• Strong performance of emerging channels, particularly OOH, Export, and E-Commerce, which delivered robust YoY growth of 38.4%, 26.0%, and 54.9% respectively.
• International markets continued to support growth, led by export markets in new countries, which recorded strong double-digit revenue growth.
• Mlekoma operations delivered 29.8% sales growth vs last year.
Overall SADAFCO achieved sales of SAR 3,065 Mln (including discontinued operations of Kuwait, Jordan & Bahrain, which has moved now to a distributor model, replacing legal entity and it’s a business as usual).
SADAFCO maintained its position as a market leader with market shares of UHT milk 58.4%, Tomato Paste 51.3% and Ice cream 30.5%, despite a challenging environment.
For comparison of total results (including discontinued operations), please refer table given as an attachment.
The reason of the increase (decrease) in the net profit during the current year compared to the last year is
Net profit in 2025 reached SAR 477 Mln versus SAR 483 Mln in previous year, primarily attributed to the following factors:
• Gross margin of 31.1% was maintained at a healthy level vs 36.5% for last reported period driven by a) higher key raw material costs of carried stock. b) general inflationary trend c) unfavorable product mix especially ice cream sales reduction and d) fuel price increase.
• Selling & distribution expenses are 14.8% of net sales versus 16.0% last reported period, driven by efficiency across.
• General & administrative expenses are 4.05% of net sales, reflecting a marginal increase versus last year.
• Financial income decreased by SAR 15.7 Mln due to higher dividend payout.
• Zakat & tax expense is based on zakat base.
Profitability remains at a healthy level of 15.9%.
Statement of the type of external auditor's report
Unmodified opinion
Comment mentioned in the external auditor’s report, mentioned in any of the following paragraphs (other matter, conservation, notice, disclaimer of opinion, or adverse opinion)
None
Reclassification of Comparison Items
Certain comparative figures have been reclassified to conform to the current period’s presentation including.
Additional Information
SADAFCO is pleased to announce another year of solid top-line growth, reinforcing our commitment to disciplined execution and a continued emphasis on sustainable returns.
• SADAFCO is focused on maintaining its market share in a challenging environment.
• SADAFCO continues to maintain a strong balance sheet through disciplined working capital management, reflected in a robust cash position of SAR 605 million.
• Our innovations continue to deliver new offerings 32 new SKUs were launched to strengthen the current portfolio.
• SADAFCO will continue to invest in capex and A&P to ensure future growth and cost optimization.
• The company announced its decision to voluntarily liquidate three owned subsidiaries in Kuwait, Jordan, and Bahrain, as part of a strategic shift from a self-operated model to a distributorship model aimed at reducing operating costs and improving efficiency. Consequently, the financial performance of these three subsidiaries is presented as discontinued operation in the annual financial statements.
• The company has a one-off gain on sale of property in Riyadh amounting to SAR 107.4 Mln.
• The company recorded one-off impairment of assets, amounting to SAR 16.4 Mln.
• Shareholders’ equity stands at a solid SAR 1.74 billion versus SAR 1.81 billion in the prior year, following the payment of a SAR 17 per share dividend in 2025.
• SADAFCO initiated treasury shares buy back. During the year, 40,123 shares were bought. Total treasury shares 540,373.
• The earning per share is computed as follows:
Profit attributable to owners of SADAFCO SAR 477,389,000
Total shares 32,500,000
Treasury shares held by the Company 540,373
Total shares outstanding 31,959,627
Weighted average number of ordinary shares outstanding at end of the period 31,993,324
EPS 14.92
Attached Documents
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Year-on-Year Performance Drivers
Sales increased 4.96% YoY to 2,999.40 million driven by strong performance in emerging channels with OOH, Export, and E-Commerce growing 38.4%, 26.0%, and 54.9% respectively, plus 29.8% growth from Mlekoma operations. Net profit declined slightly by 1.2% to 477.39 million despite revenue growth, primarily due to gross margin compression from 36.5% to 31.1% caused by higher raw material costs, inflationary pressures, unfavorable product mix from reduced ice cream sales, and increased fuel prices. The decline was partially offset by improved selling and distribution efficiency, which decreased from 16.0% to 14.8% of net sales, and a one-off property sale gain of 107.4 million.
Quarter-on-Quarter Performance Drivers
Revenue increased 4.96% to SAR 2,999.40 million driven by strong performance in emerging channels (OOH +38.4%, Export +26.0%, E-Commerce +54.9%) and Mlekoma operations growth of 29.8%. Net profit declined 1.2% to SAR 477.39 million primarily due to compressed gross margin from 36.5% to 31.1%, caused by higher raw material costs, general inflation, unfavorable product mix from reduced ice cream sales, and increased fuel prices. The decline was partially offset by improved selling & distribution efficiency (14.8% vs 16.0% of sales) and a one-off property sale gain of SAR 107.4 million, though financial income decreased by SAR 15.7 million due to higher dividend payouts.
Other Items
The external auditors issued an unmodified opinion with no additional comments or reservations mentioned in other matter, conservation, notice, disclaimer, or adverse opinion paragraphs. The company shows no accumulated losses, maintaining a strong financial position with shareholders' equity of SAR 1.74 billion and a robust cash position of SAR 605 million. Key financial highlights include earnings per share of 14.92 based on weighted average shares outstanding of 31,993,324 after accounting for 540,373 treasury shares. The company executed a strategic restructuring by voluntarily liquidating subsidiaries in Kuwait, Jordan, and Bahrain to transition from self-operated to distributorship model for cost reduction and efficiency improvement. Notable one-time items include a SAR 107.4 million gain on property sale in Riyadh and SAR 16.4 million asset impairment. The company paid dividends of SAR 17 per share in 2025 and initiated a share buyback program, purchasing 40,123 shares during the year.
Important Notice: The announcement information and market data in this report are sourced directly from the Saudi Exchange (Tadawul). This summary is generated by Sahm’s proprietary AI model for informational purposes only. While we strive for accuracy, it should not be construed as financial advice or an investment recommendation.
