Led by Saudi Arabia’s food sector, 10 Tadawul-listed companies are expected to see higher demand in Q2 instead of third quarter as Ramadan comes around earlier than usual this year, a study conducted by Argaam Research showed.
For the past eight years, Ramadan has fallen in Q3. Companies like Farm Superstores, Almarai Co., Nadec, Savola Group, and Al-Othaim Markets Co. are instead expected to benefit during the second quarter as food consumption usually peaks during the holy month.
Meanwhile, the kingdom’s top three telecom operators, Saudi Telecom Co. (STC), Mobily, and Zain Saudi are projecting higher demand for their services during Ramadan and the Umrah pilgrimage season.
Increased shopping activity during the month also stands to support sales at Alhokair. The large Saudi retailer covers a variety of international brand names of apparel, footwear, and perfume brands.
In addition, Saudi Public Transport Co. (SAPTCO) sees stronger demand for its services during the month and Eid, which include buses, limousines, and cargo solutions.
Saudi-listed companies will start reporting second-quarter financial results on July 1 (Ramadan 14).
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Top 10 Performing Companies in Ramadan |
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Activity |
Company |
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Sells food products, which see high demand in Ramadan |
Al-Othaim Markets |
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Sells food products, which see pent-up demand in the run-up to Ramadan and during the month |
Farm Superstores |
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Sells international brands of apparel, footwear, fabrics, and perfumes, which see higher sales during Eid al-Fitr and summer months. |
Alhokair |
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Food sees higher demand during Ramadan |
Almarai |
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The company produces dairy and agricultural products, which are in high demand during the month |
Nadec |
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Higher demand for the company services during Ramadan, Hajj, Umrah, and summer period |
STC |
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Higher demand for the company services during Ramadan, Hajj, and Umrah |
Mobily |
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Higher demand for the company services during Ramadan, Hajj, and Umrah |
Zain Saudi |
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Growing demand for the company services during Ramadan and Hajj |
SAPTCO |
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The food company sees an uptick in demand for its consumer products in Ramadan, especially edible oils |
Savola |
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