Jarir’s online sales make up 27% of total: Alagil

Muhammad Alagil, Chairman of Jarir Marketing Co.

Jarir Marketing Co.’s Chairman Muhammad Alagil said that 27% of the company's total sales came from e-commerce, while 73% were generated from its network of branches.

E-commerce sales grew by 15% year-on-year (YoY), he said in a statement to Argaam.

Alagil said that product delivery time improved this year, with 50% of orders being fulfilled within one hour. He expects total sales to grow by 3% to 5% by the end of the year compared to 2024.

The Chairman said that the company is working on boosting online store sales and expanding its product range.

Alagil confirmed that Jarir opened three new branches in 2025 - one in Jeddah and two relocations in Qassim and Al-Jubail.

Two more branches are set to open before year-end, he said. The company remains committed to expansion across Saudi Arabia and the Gulf region, with plans to launch five to six new branches in the coming years.

Commenting on dividends, Alagil expects 2025 distributions to exceed 90% of profits in line with the company’s continued cash payout strategy.

He noted that the second quarter coincided with the two Eid holidays, which helped sustain sales levels. Additionally, the highly profitable after-sales services saw a rise in revenue.

Revenue usually dips in the second quarter, but Jarir’s total revenue reported a slight dip in Q2 2025.

Alagil said Jarir’s debt remains minimal, and expansion is largely funded through internal cash flows. However, he said the company remains open to borrowing if strategic opportunities arise, affirming Jarir’s cash position remains “very strong”.

According to data available with Argaam, Jarir reported a 15% YoY increase in net profit to SAR 197.2 million in Q2 2025.