ZAWYA-PRESSR: SADAFCO declares cash dividend as revenue growth continues in 2025

Jeddah, Saudi Arabia: Saudia Dairy and Foodstuff Company (SADAFCO) has announced that its Board of Directors has approved the distribution of cash dividends to shareholders for the second half of the year ending 31 December 2025, underscoring the company’s continued commitment to delivering sustainable shareholder value. The total dividend payout amounts to SAR 255,677,016, to be distributed across 31,959,627 eligible shares, representing a dividend of SAR 8 per share. Dividend distribution is scheduled for 10 March 2026.The announcement comes as the company reported positive financial results for the year ended December 31, 2025, delivering revenue growth, improved operating performance, and continued market leadership across its core product categories.In a challenging operating environment, SADAFCO successfully delivered against its 2025 priorities of driving volume growth while protecting and strengthening market share.The business achieved high single-digit volume growth across the portfolio. Notably, SADAFCO’s flagship SKU — 1-litre UHT milk — recorded 14% volume growth. In addition, its ice cream hero product, Saudia Sandwich, accelerated significantly, delivering close to 20% volume growth in the second half of 2025 in Saudi Arabia.Market share performance was equally strong. Comparing year-end 2024 with year-end 2025, SADAFCO recorded substantial gains across key categories: +550 basis points for 1-litre milk, +540 basis points for flavoured milk, and +150 basis points for ice cream (AC Nielsen, Nov 24 vs Nov 25).SADAFCO recorded full-year revenue of SAR 2.99 billion, representing a 4.96% increase year-on-year, reflecting strong consumer demand and continued progress in strategic growth channels. This performance builds on momentum seen earlier in the year, with first-half revenue reaching SAR 1.56 billion, an 8.6% increase compared to the same period in 2024.Operating profit increased to SAR 483.6 million, up 1.21%, supported by disciplined execution and operational focus. Total comprehensive income attributable to shareholders rose 1.73% to SAR 489.5 million, demonstrating the company’s ability to maintain resilient profitability while continuing to invest in future growth.First-half net profit reached SAR 243.8 million, while net profit for the first nine months stood at SAR 428.31 million, underscoring consistent earnings strength across the year.Performance was underpinned by strong momentum in high-growth channels, with e-commerce sales rising by 54.9%, the out-of-home channel growing by 38.4%, and export sales increasing by 26.0%. SADAFCO also continued to expand its international footprint, entering new export markets, while its Mlekoma operations delivered a 29.8% year-on-year increase in sales, reinforcing the benefits of its international expansion strategy.The company maintained its leadership across key categories, retaining market share positions of 58.4% in UHT milk, 51.3% in tomato paste, and 30.5% in ice cream. A healthy gross margin of 31.1% supported an overall profitability level of 15.9%, reflecting the strength of SADAFCO’s product portfolio and operational resilience.Commenting on the results, Patrick Stillhart, Chief Executive Officer of SADAFCO, said: “Our 2025 performance reflects the strength of our strategy and the disciplined execution of our teams across the business. By accelerating growth in high-potential channels, expanding our international footprint, and reinforcing our leadership across core categories, we continue to build a more resilient and future-ready company. We remain focused on delivering sustainable growth and long-term value for our shareholders.”About Saudia Dairy & Foodstuff Company (SADAFCO):SADAFCO is a publicly listed company that has been producing high-quality dairy and food products under the Saudia brand since 1976. SADAFCO is considered one of the leading companies in the Kingdom of Saudi Arabia in the production of tomato paste, ice cream, and milk.SADAFCO is headquartered in Jeddah and manages sales and distribution operations across 24 locations within the Kingdom of Saudi Arabia. The company also has a presence in the Gulf Cooperation Council (GCC) countries and exports its products to selected markets in the Middle East and North Africa.Send us your press releases to pressrelease.zawya@lseg.comDisclaimer: The contents of this press release was provided from an external third party provider. This website is not responsible for, and does not control, such external content. This content is provided on an “as is” and “as available” basis and has not been edited in any way. Neither this website nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this press release.The press release is provided for informational purposes only. 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