Slides
Page 1
Capital Markets Day 2026
Page 2
Information contained in this presentation is subject to change without further notice, its accuracy is not guaranteed, and it may not contain all material information concerning the company. We do not make any representation regarding, and assume no responsibility or liability for, the accuracy or completeness of, or any errors or omissions to any information contained herein. In addition, the information contains projections and forward-looking statements that reflect the company’s current views with respect to future events and financial performance. These views are based on current assumptions which are subject to various risks and may change over time. No assurance can be given that future events will occur, that projections will be achieved, or that the company’s assumptions are correct. Actual results may differ materially from those projected. Due to rounding off, the sum of values presented in the slides may differ from totals as reported. Such differences are not material. This presentation is strictly not to be distributed without the explicit consent of Almarai Company management under any circumstances. Disclaimer 2
Page 3
Today is about the next chapter of Almarai Company. Capital Markets Day 2026 Fawaz Aljasser, Chief Executive Officer 3
Page 4
From humble beginnings to the biggest food company in the region Five decades of building a food champion Founded Bakery (the vision to diversify into an F&B company) 1977 2000 Juice 2005 IPO 2007 2006 From dairy to food company Built organically Acquired and scaled Milestones Today 2009 Poultry 2010 Infant nutrition 2019–21 Premier Foods, Bakemart, Binghatti 2023–25 IDJ, Etmam, Pure Beverages 4
Page 5
A scaled, trusted and strategically important food and beverage company Almarai in 2025 22.1Bn Revenue 2.5Bn Net Income 50,000+ Employees 150M+ Consumers across the Gulf, Egypt and Jordan 19 plants and 34 production facilities across dairy, juice, bakery, poultry and infant nutrition 220,000+ retailers reached across 7 countries 129 depots & 12,000+ vehicles the biggest supply chain company in the region Highest- value FMCG brand across the GCC #1 market share in nearly all the categories we serve • 7 Poultry farms • 8 dairy farms • 189K+ cows 5
Page 6
Consumers at heart What we do differently The Consumer Brand Trusted brands that earn loyalty and permission to enter new categories Consumer insights A deep understanding of what consumers want, and where they are heading Manufacturing Scale, quality and efficiency across 19 plants Supply chain Farm-to-shelf control, reaching 220,000+ retailers every day Innovation Enabling future growth opportunities 6
Page 7
Since 2019, Almarai has grown strongly, and a lot has happened along the way The next phase of growth Major developments COVID-19 and the lockdowns that affected the entire world Significant supply chain disruptions The Russia–Ukraine war and the challenges that came with it The current geopolitical situation Significant changes in consumer behaviour New channels accelerating, particularly e-commerce and foodservice More working families, changing consumption patterns 2019 – 2025 Progress Employees 42K 50K+ Revenue 14Bn 22.1Bn Profit 1.8Bn 2.5Bn 7
Page 8
Through it all, Almarai kept growing, and it changed who we are Resilience is who we are An increasingly important pillar of food security in Saudi Arabia and across the region Navigating uncertainty, adapting to change and continuing to move forward through difficult times ~8% Top-line CAGR, with EBIT margin maintained at broadly the same level ~ Invested to capture opportunities and create long-term value A pillar of food security A resilient mindset 2019 – 2025 Progress 20Bn~ 8
Page 9
Path to 2031 The next phase of growth FY2031 ambitions vs FY2026 forecast baseline 1.5x Revenue 1.6x Earnings 31Bn Operating cash flow 40-60% Dividend payout ratio Decades of scale, trust and execution Position of strength Core categories plus selective expansion Multiple growth engines Rigorous capital allocation and accountability Disciplined execution Converting growth into shareholder value Cash generation and returns 9
Page 10
Chris Langhorne Chief Strategy & Planning Officer Capital Markets Day 2026 10
Page 11
Building on a strong track record, Almarai’s core businesses will continue to drive growth, complemented by expansion across selected categories, channels and markets Where the next phase of growth comes from 1. Core acceleration Strengthen and grow our core businesses 2. Category expansion Scale selected new and adjacent categories 3. Channel expansion Accelerate Food Service and E-commerce 4. Geographic expansion Expand leadership across priority markets Almarai Strategic Growth Pillars Proven growth track record Next phase of growth 2031F Revenue 1.5x15.8 18.7 19.6 21 22.1 2021 2022 2023 2024 2025 2026F 2027F 2028F 2029F 2030F 2031F 8.8% CAGR, 2021–2025 Bn 11
Page 12
Almarai is moving from building capacity and capabilities toward leveraging differentiated capabilities to deliver growth The next phase of the strategy 2022–2026 Building capabilities 18Bn investment program 2026–2031 Delivering growth Focus shifts to utilization, execution and value realization 12
Page 13
Our core remains the largest growth pillar, supported by category acceleration and the transition from capacity expansion to utilization profitably Strategic growth pillars 1. Core acceleration 2. Category expansion 3. Channel expansion 4. Geographic expansion Core channels Core categories Dairy Chilled space, healthier and snacking formats Juice Single serve and value-added options Food Recipes, capacity and ambient formats Bakery R&D, capacity and convenience Poultry Mix shift toward fresh, frozen and less commoditized products Focus areas Grow sales Enhance profitability Strengthen brand equity Drive operational and supply chain efficiency Traditional trade Modern trade Focus areas Drive operational efficiency Enhance profitability Protect the base Route optimization 13
Page 14
Almarai is expanding into a focused set of categories that fit its capabilities and offer a credible path to a leading, profitable position Categories Market is 2025 | Sources: Nilsen, Euromonitor, global data, internal analysis Bottled water Right to win • Procurement advantage • Distribution and fleet synergies Ice cream Right to win • Strong brand equity • Dairy expertise Frozen bakery Right to win • Baked goods expertise • Bakemart capability Seafood Right to win • Supply chain capabilities • Processing capabilities Red meat Right to win • Livestock supply and expertise • Processing capabilities. Market 10–12Bn CAGR 2025–2030F: 5–6% Market 1.1-1.5Bn CAGR 2025–2030F: 7–9% Market 2–2.5Bn CAGR 2025–2030F: 3% Market 10–12Bn CAGR 2025–2030F: 3% Market 18-22Bn CAGR 2025–2030F: 3% Strategic growth pillars 1. Core acceleration 2. Category expansion 3. Channel expansion 4. Geographic expansion 14
Page 15
Almarai will accelerate growth in Foodservice and e-commerce while strengthening its leadership across established channels Strategic growth pillars 2. Category expansion 3. Channel expansion 4. Geographic expansion 1. Core acceleration Assortment Partner coverage Availability Data analytics and execution Grow sales Enhance profitability Cross-selling across the portfolio An appropriate service model Foodservice Focus areas Focus areasDedicated commercial focus for out-of-home consumption Expanding digital reach and convenience E-commerce Traditional trade Modern trade Others E-commerce Foodservice F&B market in KSA by channel mix % share 36% 30% 30% 3% 2025 31% 26% 30% 10% 2031F Expected incremental absolute Growth. + 8-12 Bn + 8-10 Bn + 15-20 Bn + 15-20 Bn 15
Page 16
Saudi Arabia remains the foundation, with clear priorities and defined actions across the GCC, priority MENA markets and selective seed export markets 1 Extend leadership in GCC Saudi Arabia, UAE, Oman, Qatar, Bahrain, Kuwait 2 Expand to selected MENA countries Egypt, Jordan 3 Seed export markets Algeria, Morocco, Tunisia Focus areas Focus areas Focus areas Gain share across categories and channels Build and scale local footprint for growth (as required) Expand profitably locally in Egypt and North Africa export hub Expand profitability locally in Jordan and Levant export hub Explore expansion to other export markets Build right-to-win capabilities for exports Leverage Almarai’s differentiated assets and partnerships Strategic growth pillars 1. Core acceleration 4. Geographic expansion 2. Category expansion 3. Channel expansion 16
Page 17
Consumer understanding at the center, enabling the delivery of our growth strategy Strategic enablers Strategic Pillars Key Strategic Enablers People Operating model Manufacturing and supply chain Marketing and branding Innovation Digitalization 1. Core acceleration 2. Category expansion 3. Channel expansion 4. Geographic expansion Focus areas Build capabilities Accelerate execution Drive efficiency and performance Enable scalable growth Consumer understanding Drives the choices Almarai makes across categories, products, channels and markets 17
Page 18
The strategy defines selectively where Almarai will grow; the financial framework explains how that growth is expected to create value Translating choices into earnings, cash and returns Strategic choices Financial framework Earnings, cash and returns 18
Page 19
Ikram Ulhaque Chief Financial Officer Capital Markets Day 2026 19
Page 20
Improved cash generation and financial flexibility, built on strong revenue and earnings momentum A robust financial plan, translating strategic choices into financial resilience Growth Profitability Cash conversion Capital discipline Resilience 150% Revenue growth 160% Profitability growth 31Bn Operating cash flow Strong balance sheet Progressive dividend 20
Page 21
Strong revenue growth of 150% Growth ~35% of revenue growth Core: defend and grow, ~5% CAGR Dairy, Food, Bakery and Juice ~50% of revenue growth Capacity: scale and expand, ~10% CAGR Poultry at full capacity, Frozen Bakery, Premier Food, International Markets ~15% of revenue growth Adjacency: new growth legs, ~20% CAGR Seafood, Red Meat, Water and Ice Cream 15.8 18.7 19.6 21.0 22.1 0 5 10 15 20 25 30 35 40 2021 2022 2023 2024 2025 2026F 2027F 2028F 2029F 2030F 2031F CAGR + 8% * Excl. Water 9% Net sales growth (2021–2031F) 2021–2025: Historical 2026F base: ~24Bn 2031F: ~36Bn CAGR + 9%* Bn 21
Page 22
Profitability momentum driving 160% growth Profitability 1.6 1.8 2.0 2.3 2.5 0 1 2 3 4 5 2021 2022 2023 2024 2025 2026F 2027F 2028F 2029F 2030F 2031F CAGR +9% CAGR +10% Bn 10% Net income CAGR 2026–2031F 1.6X Net income vs 2026F Tailwinds Volume outpacing headcount; procurement and overhead efficiency; economies of scale Headwinds New business start-up costs; energy (utilities and fuel); labor reform; higher regulatory cost 22
Page 23
Cumulative operating cashflow of 31Bn by 2031 Cash and CAPEX 3.0 1.6 0.9 1.4 -0.7 2021 2022 2023 2024 2025 2026F 2027F 2028F 2029F 2030F 2031F Free Cash Flow, 2021F–2031F SAR B | positive from 2026F, rising every year CASH FLOW DRIVERS Operating cash flow rises in line with revenue Capex normalizes to replacement level by end of cycle Free cash flow funds shareholder returns, the cost of debt capital and deleveraging Cash flow, cumulative 2027-2031 ~31Bn + ~7Bn+ operating cash flow by 2031 ~15Bn ~3Bn CAPEX by 2031 ~16Bn + ~4Bn free cash flow by 2031 Bn 23
Page 24
15Bn capex is staged across four investment priorities through 2031 CAPEX strategy Billion Farming (dairy and poultry) Manufacturing and operations Sales and logistics Compliance 4Bn 5Bn 5Bn 1Bn 15Bn Cumulative 2027- 2031 24
Page 25
Dividend will increase progressively, in both absolute and percentage terms during the next 5 years Returns Dividend payout ratio 60% 40% 1.000 1.150 1.000 1.000 1.000 2021 2022 2023 2024 2025 2026F 2027F 2028F 2029F 2030F 2031F 64% 57% 49% 43% 47% 25
Page 26
Capital allocation framework Three priorities governing how capital is deployed through and beyond the current investment cycle Return On Net Operating Assets 8% 2021 9% 2022 10% 2023 10% 2024 9% 2025 12% 2031F High Medium Low 26
Page 27
Sustainable growth is supported by improving cash generation and financial resilience Closing 2026F – 2031F Volume +130% 6% CAGR Revenue +150% 8% CAGR Net income +160% 10% CAGR Dividend > +160% Free cash flow ~ +4Bn by 2031 RONOA +12% by 2031 27
Page 28
Takeaways 28 28
Page 29
Four takeaways from Almarai's next chapter From ambition to delivery 29 Trusted brands, leading positions, operating scale and a route to market built over nearly five decades Position of strength 01 The core remains the foundation. Expansion will be selective, focused on capability advantage and attractive economics Disciplined growth 02 Utilization, productivity, cash generation and returns, creating more value from the platform we have built Conversion 03 With regular feedback on our performance and transparency Accountability 04 What we owe you now is Delivery.
Page 30
30 Fawaz Aljasser, Chief Executive Officer Ikram Ulhaque Chief Financial Officer Chris Langhorne Chief Strategy & Planning Officer Q&A
Page 31
Thank You 31
Page 32
Investor Relations Contacts investor.relations@almarai.com +966 11 528 6295 32