Dubai grocer Spinneys to pay Dh120m as H1-2025 interim dividend

Dubai: The Dubai-based premium grocery retailer Spinneys tallied revenues of Dh1.8 billion for the first six months of 2025 - with more sales coming from online and its private label business under the 'Discovery by Spinneys' label.

Profit for the period was up 16.2% to Dh170 million, with help from as many as nine new stores opening in UAE and Saudi Arabia.

Spinneys has confirmed an interim dividend of around Dh120 million, or 3.32 fils a share for H1-2025.

On DFM, the stock is up 10.2% in the last month, and trading at Dh1.61.

"We remain focused on deepening our presence in core markets, continuing our expansion in Saudi Arabia, enhancing operational efficiencies...," said Sunil Kumar, CEO at Spinneys.

"Strong like-for-like growth, the success of our fresh and private label ranges, and the acceleration of our online and store expansion strategy have all contributed to robust top- and bottom-line results."

According to analysts, Spinneys' numbers also point to solid consumer spending trends in UAE and Saudi Arabia, where the retailer has quite a visible presence.

On the new private label operations, The Spinneys' CEO said: "This marks the beginning of a broader journey to bring exclusive, high-quality products to our customers.”

The 10% plus gain the stock has seen on DFM reflects investors warming up to the higher operating margins Spinneys has been putting together.

Revenues in the first six months were at Dh1.81 billion, a gain of 13.7% on Dh1.59 billion a year ago.

The retailer expects to open 10-12 stores in its two markets for full year 2025. “Annual revenue growth is expected to be between 9-11%, driven by new store openings coupled with like-for-like sales growth of 4%-6%,” the forecast says. “The company expects to maintain its industry-leading adjusted EBITDA margin of 19%-20%.”