Jarir’s Q1 sales boosted by increase in inventory, upbeat consumer behavior: Chairman

The decision involved a calculated risk, leveraging product availability at a time when markets were experiencing supply chain disruptions and rising prices, he added.

Commenting on Jarir’s Q1 2026 financial results, Alagil said the company delivered strong performance, backed by higher sales in both the Saudi and Gulf markets.

“Profits grew to SAR 253.5 million, thanks to increased sales, along with a relative improvement in costs, which rose at a slower pace than revenue. We also reduced certain expenses, such as advertising, in addition to lowering financing costs due to strong cash flow quality,” he noted.

He pointed to continued positive operating performance, with growth in e-commerce sales, which now account for more than 30% of total sales, alongside sustained strength in installment sales.

Additionally, the main revenue-contributing segments during the first quarter included electronics and school supplies, in addition to positive contributions from other categories, according to the top official.

Regarding Jarir’s market share, Alagil said there are no precise figures currently, adding that the company expects to improve its share in the electronics segment.

The company continued its geographic expansion by opening new stores inside and outside the Kingdom. Plans are in place to open five additional stores this year in Saudi Arabian cities of Riyadh, Dammam and Jeddah, along with Kuwait, bringing the total openings this year to seven stores.

Alagil further noted that regional tensions had a limited impact on supply chains, except for some electronic devices, with no significant effect on other products. He emphasized that consumer behavior remained positive, with improved spending levels.

“We expect the second quarter to deliver generally positive performance, depending on the availability of sufficient quantities of electronic devices. Overall, supply chain disruptions were very limited, with the main challenge being securing adequate quantities of certain electronics,” the Chairman stated.

According to Argaam’s data, Jarir’s Q1 2025 profit amounted to SAR 253.5 million—a 17% rise year-on-year from SAR 217.3 million.