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Spinneys 1961 Holding PLC — Earnings Release 2026
May 11, 2026
66457_rns_2026-05-11_7b75c51d-872b-4007-8652-130217083ce4.pdf
Earnings Release
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PRESS RELEASE
Spinneys
Spinneys Reports Q1 2026 revenue growth of 11.9% to AED 1,014 million, with Profit Growing 1.9% amidst challenging regional dynamics
- Q1 2026 revenue reached AED 1,014 million, driven by like-for-like sales growth, new store openings, increase in online sales and higher penetration of fresh and private label sales
- Adjusted EBITDA of AED 184 million, up 1.2%
- Profit before tax stable at AED 101 million
- Profit for the period increased 1.9% to AED 87 million
- Spinneys robust integrated sourcing model kept availability strong during the regional conflict in March 2026.
Dubai, UAE – 12 May 2025: Spinneys (“Spinneys” or the “Company”), the region’s leading premium fresh food retailer, has announced its financial results for the three-month period ended 31 March 2026, marking a resilient performance for the quarter despite the regional conflict situation. First quarter revenue grew to AED 1,014 million, increasing 11.9% vs. Q1 2025, driven by three new store openings during the quarter, increased fresh and private label sales, strong like-for-like growth, and higher online penetration. Profit before tax was stable, at AED 101 million, with profit for the period increasing by 1.9% to AED 87 million. Spinneys managed to keep availability levels strong thanks to its robust sourcing model and integrated supply chain which was able to withstand the freight complexities.
Sunil Kumar, Chief Executive Officer at Spinneys, commented:
“Our strong first-quarter performance, delivered against a backdrop of regional uncertainty, is a testament to the resilience of our business model and the commitment of our people across the region. Our strong revenue, profitability and store footprint in these conditions underscore the strength of our customer relationships and the advantages of our integrated sourcing and supply chain. We have also been relatively fortunate in the current environment, with around 88% of our stores located in residential communities rather than in tourist or office-led locations, meaning that the majority of our business has been impacted less from the disruption seen elsewhere as a result of the regional conflict. This community-based footprint, combined with the stability and leadership of the UAE, allows companies like Spinneys to invest with confidence, keep shelves full and continue serving the communities that rely on us every day.”
Financial Highlights
| AED (m) | Q1 2026 | Q1 2025 | YoY (%) | Like-for-Like Growth (%) |
|---|---|---|---|---|
| Revenue | 1,014 | 906 | 11.9% | 7.4% |
| Gross Profit | 406 | 375 | 8.4% | - |
| Adj. EBITDA¹ | 184 | 182 | 1.2% | - |
| Profit Before Tax | 101 | 102 | -0.7% | - |
| Profit for the Period | 87 | 85 | 1.9% | - |
Top-Line Growth with Resilient Profitability
Revenue: Increased by 11.9% year-on-year, reaching AED 1,014 million in the first quarter with a very strong January and February while sales slowed during March due to the regional conflict. Top-line growth was driven
¹ Adjusted EBITDA is profit before tax plus depreciation and impairment of property, plant and equipment, depreciation and impairment of right-of-use assets, impairment of goodwill, finance costs minus finance income.
PRESS RELEASE
Spinneys
by like-for-like sales growth of 7.4% and the opening of thirteen new stores across the UAE and Saudi Arabia since April 2025, and particularly strong performance in Fresh and Private Label sales, with penetration growing by 0.6% and 1.9%, respectively. Online sales penetration grew to 18.8% during the period, as compared to 15.6% in Q1 2025.
Profitability: Overall profitability was healthy for the quarter. Gross profit increased by 8.4% year-on-year to AED 406 million, with a decrease in gross profit margin of 40.1% compared to 41.3% in 2025.
Adjusted EBITDA² totaled AED 184 million in the first quarter, up 1.2% year-on-year, with an adjusted EBITDA margin³ of 18.2%.
Profit before tax was stable at AED 101 million at 10% profit before tax margin, while profit for the period increased by 1.9% to AED 87 million at 8.6% profit margin.
Transaction growth: Transaction volume grew by 8.5% year-on-year to 10.8 million in the first quarter, reflecting resilience under difficult regional circumstances, while the average basket size increased to AED 92.9 as compared to AED 89.9 in Q1 2025 up 3.4%.
Supply chain resilience under pressure
The month of March 2026 saw Spinneys' supply chain thoroughly tested as regional conflict introduced significant volatility, disruption risk and freight complexity across key corridors. In anticipation of potential bottlenecks, the company activated a series of contingency plans, including diversified sourcing options, forward-buying of critical categories and closer coordination with logistics partners to protect availability on the everyday essentials customers rely on. These measures enabled Spinneys to keep service levels high, maintain strong on-shelf availability and continue delivering on its promise of quality and freshness, despite the challenging backdrop.
At the same time, Spinneys used this period to reinforce its role as a community partner, launching initiatives that extended support beyond its stores. Programmes such as The Chef's Counter were introduced to open up space, visibility and new revenue opportunities for homegrown chefs and food founders, many of whom were facing increased financial pressure. Combining operational resilience with targeted community support, helped Spinneys strengthen the ecosystems it is part of, from regional suppliers and partners to the local food businesses and neighbourhoods it serves.
Business Outlook
As the company looks toward the remainder of 2026, providing a definitive outlook remains challenging due to the regional dynamics and uncertainty surrounding it. While Spinneys is encouraged by the strong start to the year, the uncertainty of the current climate necessitates a highly disciplined and cautious approach to operations. To safeguard margins and ensure long-term value for shareholders, Spinneys is maintaining a rigorous focus on cost optimization across the entire value chain. This includes streamlining logistics and supply chain frameworks to mitigate inflationary pressures and applying a stringent review process to all discretionary capital and operating expenditure. By tightening the operational belt and enhancing efficiency today, the company is positioned to remain resilient and agile, regardless of how the broader economic environment evolves.
-Ends-
PRESS RELEASE
Spinneys
About Spinneys
Spinneys' story started in 1961 when the first grocery opened in Al Nasr Square, Dubai. It has since grown to become the leading premium fresh food retailer in the region, with 94 stores (82 owned and 12 operated, including Waitrose) across the UAE, Oman and Saudi Arabia. Much loved by expats and locals in the region, Spinneys enjoys a well-deserved reputation for forward thinking, keeping pace with changes in cooking trends and the emergence of new products worldwide. Today, Spinneys has built a name for supplying top-quality produce and offering an elevated level of customer service. Food quality, safety and freshness have always been at the forefront of the Company's ethos – just one reason the Spinneys brand is defined as 'The fresher experience'. www.spinneys.com
Contact
Investor Enquiries
Jean Jacque van Zyl
Investor Relations Officer
[email protected]
Media Enquiries
Warwick Gird
General Manager - Marketing & E-commerce
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