Riyadh, Saudi Arabia — Al Majed Oud H1 2025 profit rose 21.5% to SAR 145.2 million, up from SAR 119.5 million in H1 2024, driven by strong Ramadan sales, expanding e-commerce channels, and broader retail operations, according to the company’s Tadawul disclosure.

Al Majed Oud Profit Up 21% in H1 2025 Despite Q2 Dip

Revenues for the first half of 2025 grew 19.7% to SAR 618.8 million, supported by intensive marketing during Ramadan and Hajj. Gross profit reached SAR 406.1 million (↑17.3%), while operational profit rose 21.1% to SAR 157.1 million. EPS improved to SAR 5.81 from SAR 4.78 a year earlier.

Q2 Profit Falls 56% on Seasonal Calendar Shift

Net profit for Q2 2025 declined 56.1% year-on-year to SAR 24.3 million. Revenue dropped 19.6% to SAR 208.7 million. Compared to Q1 2025, revenue fell 49.1% and net income dropped nearly 80%.

The company attributed the decline to seasonality based on the Hijri calendar. While Q1 encompassed the entire month of Ramadan, which significantly boosts sales, Q2 only included Hajj, which has a less pronounced sales impact.

Strong H1 Backed by Expansion and Efficiency

Despite the Q2 dip, first-half performance remained strong. Operational efficiencies helped stabilize margins, and shareholder equity increased 37.4% to SAR 511.86 million year-over-year.

The company also noted that certain prior-period figures were reclassified for improved clarity, with no effect on net profit or equity. The external auditor issued an unmodified opinion with no remarks.

What This Means for Investors

  • Robust H1 growth: Seasonal and strategic factors drove strong first-half profitability.
  • Q2 seasonality: Calendar timing of Ramadan remains a key revenue driver.
  • Operational scale: Margin expansion shows efficiency in cost management and retail strategy.
  • Stable audit profile: Clean financials support investor confidence.

 

 

THE SAUDI STANDARD’S VIEW: Al Majed Oud’s H1 Growth Reflects Retail Resilience and E-Commerce Integration

Al Majed Oud’s SAR 145.2 million profit in H1 2025—up 21.5% year-on-year—demonstrates the strength of Saudi Arabia’s premium retail sector and the effectiveness of consumer-focused innovation aligned with Vision 2030’s economic diversification.

  • The company’s 19.7% revenue growth, supported by strategic product launches and robust Ramadan and Hajj campaigns, underscores the agility of national retail players in aligning with religious tourism cycles and capitalizing on peak consumer seasons.
  • Despite a Q2 slowdown, which saw profit decline 56.1% due to the absence of Ramadan during the quarter, the company delivered strong half-year results through improved operational efficiency and e-commerce expansion, reflecting the resilience of hybrid retail models in Saudi Arabia.
  • A 37.4% rise in shareholders’ equity, combined with the external auditor’s unmodified opinion, validates Al Majed Oud’s financial discipline, investor transparency, and strategic sustainability.
  • The shift in quarterly performance due to the Hijri calendar cycle underscores the importance of calendar-aware inventory and campaign planning, particularly for retailers operating in culturally sensitive markets.

Al Majed Oud’s performance reinforces Saudi Arabia’s retail modernization. It supports the broader goal of becoming a regional hub for consumer brands. As e-commerce, tourism, and consumer sophistication grow, national champions like Al Majed Oud are poised to scale further, anchoring local value creation and economic depth.

 

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