Jarir Marketing Company (4190.SE)

研报英文原文证据摘录

Jarir Marketing Company (4190.SE)

Flash |

15 Jul 2026 03:17:05 ET │ 10 pages

Gross margin expansion drove strong 20% y/y EPS growth in Q2 26A,

while resilient demand supported 7% y/y sales growth.

CITI'S TAKE Neutral

Price (14 Jul 26 15:00) SAR17.85 Jarir reported Q2 26A results with revenues at SAR 2.8bn (+7% y/y) driven

Target price SAR15.50 by network expansion, demand on smartphones, and strong GCC

operations (positive impact from inventory build up). Gross margin Expected share price return -13.2%

expanded by 170bps y/y, driven by a favorable sales mix toward higher- Expected dividend yield 4.5%

margin categories and, more importantly, lower promotional activity and Expected total return -8.6%

discounting, as supply constraints reduced the need for price incentives. Market Cap SAR21,420M

EBIT arrived at SAR 253m (+16% y/y) driven by gross profit growth but US$5,703M

impacted by higher SG&A costs and lower other income. As a result, net

income arrived at SAR 236m (+20% y/y) due to lower promotions and

resilient demand.

Michel SalamehAC

Implications — Strong results, with supply constraints reducing promotional +971-4509-9587

activity and discounting, which translated into a 170bps y/y gross margin expansion. michel.salameh@citi.com

Demand remained resilient in Q2, particularly in smartphones, driving 7% y/y

revenue growth. The company also continues to benefit from its strong supply chain

and logistics capabilities, as well as inventory built up in prior periods. We believe

margins are likely to normalize as product availability improves and imports into the

GCC return to more normal levels. Despite the strong near-term momentum, we

maintain our Neutral rating on valuation grounds

Jarir Marketing Company (SAR)

Year to 31 Dec 2024A 2025A 2026E 2027E 2028E