Almarai Co. (2280.SE): 2Q26 earnings call takeaways

Research evidence excerpt

Almarai Co. (2280.SE): 2Q26 earnings call takeaways

Equity Research

8 July 2026 | 9:06AM GST

Almarai held its 2Q26 earnings call on July 7. Key takeaways include: Harsh Mehta

+971(4)376-3405 |

harsh.mehta@gs.com

Impact of Middle East conflict: In the context of the current regional conflict, Goldman Sachs International

management highlighted that it remains focused on ensuring product availability on Swarnilee Patra

+1(332)245-7700 |

shelves for consumers. Management has proactively maintained safety stock levels swarnilee.patra@gs.com

Goldman Sachs India SPL

of raw materials to protect against sudden supply chain disruptions. For example, it

Vaishnavi Guptaalready has a near one-year inventory of alfalfa in KSA and several months of +1(332)245-7817 |

inventory of other raw materials. vaishnavi.x.gupta@gs.comGoldman Sachs India SPL

Price impact: Almarai implemented strategic price increases in June, notably in the

Dairy segment for family-size products (e.g., 1-liter, 2-liter, and 2.8-liter packs),

which represent approximately two-thirds of fresh dairy sales, while keeping prices

unchanged for smaller SKUs. Management noted that these price increases take

about three to four weeks to normalize and therefore impacted roughly one-third

of 2Q26. Additionally, the company benefited from price increases on Bakery SKUs in

multi-serve categories. Management noted that price increases are determined

largely by market conditions, competitive dynamics, and the need to mitigate rising

commodity and operating costs. Management also noted that it did not see any

impact on demand following the price increases, apart from some temporary

softness.

Elevated costs in 2Q26: Almarai’s profitability in 2Q26 was affected by elevated