Jahez CEO: Q4 impacted by SAR 55M one-off items, revenue may rise 7–21% in 2026

Jahez International Company for Information System Technology reported that Q4 2025 results were affected by one-off items totalling around SAR 55 million.

The one-off items also included credit loss provisions of SAR 23.4 million, goodwill impairment of SAR 11.8 million, investment losses of SAR 12 million, and acquisition-related expenses of SAR 8 million.

However, the company maintained operational growth and performance, supported by expansion in Saudi Arabia and internationally, it said during an analysts and investors call attended by Argaam.

Expansion and Competition in the Saudi Market

CEO Ghassab Al Mandeel stated that the company continues to execute its international expansion strategy, driven by a platform-led model, amid an increasingly competitive environment in the Saudi market last year.

He said the launch of a unified app combining food and grocery delivery, alongside promotional campaigns to protect its market share, increased average order value to SAR 65.6. It also supported stable commission rates of 16.2% in Q4 2025, with a focus on high-value merchants.

Growth in Non-Food Segments

Non-food segments saw strong performance, with total merchandise value nearly doubling year-on-year (YoY) and customer acquisition momentum continuing into Q1 2026, Al Mandeel said.

Snoonu Driving International Expansion

The Snoonu platform is central to Jahez’s international strategy, as it recorded revenues of SAR 904.8 million, total merchandise value of SAR 2.36 billion, and adjusted EBITDA of SAR 53.7 million.

The platform processed 27.1 million orders with an average order value of SAR 87 and a monthly repeat rate of 7.6x, achieving the second-largest market share in Qatar within three years, supported by its multi-segment model covering food, groceries, non-food, and B2B logistics.

Gradual Regional Expansion Jahez will remain the core platform in Saudi Arabia, while Snoonu will lead international growth, starting with a pilot expansion in Kuwait and plans to launch operations in Bahrain in H2 2026, alongside the upcoming expansion in Oman.

The company leverages existing infrastructure, including merchant networks and delivery systems, enabling efficient expansion without building operations from scratch.

Financial Growth and Geographic Diversification

CFO Hani Jallouli reported that gross merchandise value (GMV) rose 11% YoY to SAR 7.2 billion in 2025, with Q4 2025 growing 23% YoY to SAR 2.1 billion, supported by Snoonu’s contribution.

International markets accounted for 19% of total GMV in 2025, up from 10.7% in 2024, and reached 37.4% in Q4 2025, reflecting accelerating geographic diversification.

Profitability and Cash Flow

Jallouli highlighted continued strong profitability in Saudi Arabia despite a margin decline to 11.9% due to promotional campaigns, while operational costs per order improved.

Order profitability in the Kingdom fell by SAR 0.8, whereas international markets saw better unit economics driven by Snoonu’s performance.

Average order value increased to SAR 69.4 in Q4 2025, supported by an improved market mix, algorithm enhancements, and targeting higher-spending customers. The company ended 2025 with SAR 428 million in cash and approximately SAR 100 million in operational cash flows.

2026 Outlook

Jallouli expects an annual rise in gross order value (GOV) between 9% and 16%, GMV between 10%–20%, and revenue between 7%–21% in 2026.

Adjusted EBITDA is projected to range between SAR 200 and SAR 220 million, with profitability improving in H2 2026, Jallouli said.

Jahez remains focused on balancing growth with operational efficiency, continuing investments in international markets, and maintaining sustainable unit economics, he stated.