BinDawood Holding (4161.SE): 2Q26 First Take: Revenue above GS/Cons but higher contribution from subsidiaries lead to lower than expected

Research evidence excerpt

Equity Research

10 August 2026 | 10:34AM GST

BinDawood Holding (4161.SE): 2Q26 First Take: Revenue above GS/Cons

but higher contribution from subsidiaries lead to lower than expected

BinDawood Holding reported 2Q26 revenue of SR1.6bn (+11.4% yoy), c.8% above

GSe and c.5% above Bloomberg consensus. Net income came in at SR50mn, down

4.3% yoy, and c.11% below GSe and c.6% below consensus. Net margin came in at

3.0%, down c.50bp yoy, below GSe/consensus of 3.7%/3.4% respectively.

n

Revenue in 2Q26 was up 11.4% yoy driven by growth in Retail segment and

contributions from Toy Triangle. Growth was also supported by revenue

contributions from Vaza Foods and Tech.

Harsh Mehta

+971(4)376-3405 |

Goldman Sachs International

Vaishnavi Gupta

+1(332)245-7817 |

Goldman Sachs India SPL

Swarnilee Patra

+1(332)245-7700 |

Goldman Sachs India SPL

a. Retail Grocery: Revenue growth driven by store expansion and full-quarter

impact of late 2025 store opening, higher transactions and repeat visits.

b. Retail Pharma: Revenue declined yoy due to changes to the Wasfaty

program partly off-set by strong growth in Non-Wasfaty sales.

Management added that it introduced a pharmacy loyalty program to

attract new and retain existing customers.

c. The Distribution business growth was driven by integration of Toy Triangle

and improved sourcing and logistics.

d. Tech segment: Strong performance due to Ykone’s expansion while

International Applications Co. remained stable.

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The company reported gross profit in 2Q26 of SR576mn (up 8.1% yoy); GPm

declined c.110bp yoy to 35.1%. Management mentioned that gross margins

were sustained due to operational and supply chain efficiencies despite

increasing competition, changing consumer spending and cost pressure.

n

Operating profit came in at SR101mn, up 25.7% yoy, with operating margin up

c.70bp yoy to 6.2% in 2Q26 driven by continued revenue growth and improved

operational efficiency. Opex increased by c.4.9% yoy to SR476mn in 2Q26 (Opex

as a % of revenue declined c.180bp yoy to 29%) driven by store expansion,

consolidation of Toy Triangle and integration of Vaza foods partly off-set by

better operational efficiency in Retail and Tech.

n

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