Savola's brands include Afia cooking oil and Savola sugar. (Savola)
One of Saudi Arabia's biggest food groups made less money this year, but mostly because last year's numbers were flattered by a one-off tax gain.
Savola Group's net profit fell 22% to 529.6 million Riyal ($141 million) in the first nine months of 2026, the company said in a filing on Thursday. Third-quarter profit fell 67% to $34 million.
The one-off: a year ago, Savola booked a $66 million reversal of Zakat provisions, plus a $13 million gain from settling put options. Neither came back this year.
Strip those out and the business did better. Operating profit rose 10.7% to $257 million, and earnings per share before one-offs climbed 26%. Revenue grew 3% to $5.4 billion.
Better than expected: third-quarter profit beat the $31.5 million analysts had forecast, according to Argaam estimates. It was also up 10% from the second quarter, helped by stronger margins at its food factories.
The weak spot: retail. Profit at its Panda supermarkets fell to $4 million in nine months from $19 million a year earlier, and the chain swung to a loss in the third quarter on lower sales, thinner margins and the cost of opening new stores.
Still paying out: the board approved a 7% cash dividend for the first half, or 0.70 Riyal a share. That's about $56 million in total.
The bigger picture: food is one of the steadier corners of the Saudi market this year. People keep buying staples even as the war hits travel, events and big-ticket spending. Supermarkets, though, are fighting harder for every shopper.
What to watch: whether Panda's new stores start paying their way in the fourth quarter.
