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Tarek Hosni CEO of Jamjoom Pharma
Tarek Youssef Hosni, Chief Executive Officer of Jamjoom Pharmaceuticals Factory Co. (Jamjoom Pharma), said the company expects profitability to remain strong, with EBITDA margins projected between 33% and 35%, supported by ongoing operational excellence initiatives, manufacturing efficiencies, and a product mix that continues to shift toward higher-value therapeutic areas.
In an interview with Argaam, Hosni said guidance for 2026 and 2027 targets revenue growth of 10% to 12%, driven by the expansion of strategic brands, continued growth in key markets, and a rising contribution from investments in production capacity.
Hosni added that the company has allocated capital expenditures equivalent to 6% to 9% of revenue. These investments aim to expand its facilities and strengthen production capabilities across the network to ensure greater flexibility and improved cost efficiency.
He also said the company remains committed to delivering attractive shareholder returns through semi-annual dividend distributions ranging between 50% and 60%, subject to optimal capital allocation decisions that balance reinvestment priorities with shareholder value creation.
Hosni said the company is continuing to execute a disciplined strategy focused on sustainable growth, margin expansion, and improved capital efficiency in the coming years.
Commenting on results, he said the company posted revenue growth of 17.3% in the fourth quarter of 2025 compared with the same period in 2024, supported by strong performance in the Saudi market, expanding growth in international markets, an improved product mix, and a focus on high-margin strategic brands.
He added that net income rose 31.9% in the fourth quarter of 2025, driven by revenue growth and higher gross profit margins, along with one-off gains and improved provisions related to expected credit losses.
Hosni said the general medicine segment remained the main revenue driver, supported by rising demand and increasing market share, while the consumer health segment recorded strong growth amid growing interest in wellness categories and over-the-counter products.
He added that the ophthalmology segment maintained its position as a key pillar of the company’s revenue, showing stable and resilient performance. Cardiovascular and gastrointestinal treatments also posted steady growth, while diabetes medications emerged as one of the fastest-growing trends across the product portfolio.
Regarding geographic markets, Hosni said Gulf markets, Iraq, and Egypt accounted for 8% of total revenue in the fourth quarter of 2025, while the Saudi market contributed 79% of total growth. Other markets, including Jordan, Lebanon, and Morocco, accounted for 13%.
He added that the company’s production capacity reached 221 million units by the end of the fourth quarter of 2025 across three factories. The company utilized 75.1% of this capacity during the year, while continuing to ramp up production at its new facilities in Jeddah and Egypt and improve operational efficiency at its main plant in Jeddah.
According to Argaam data, Jamjoom Pharma’s net profit rose to SAR 463.8 million by the end of 2025, compared with SAR 356.5 million in the same period of 2024. Fourth-quarter profit reached SAR 68.1 million, up 32%.
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