ABDULLAH ALOTHAIM MARKETS CO.
Investors' presentation
Q3, 2022
w w w . o t h a i m m a r k e t s . c o m
Contents..
3. Profile Summary 5. International Awards 6. Key Information 7. Snapshot
8. Store Breakdown
9. Quick Glance –YTD 2022
10. Income Highlights (Q3) YTD 2022
11.Balance Sheet Highlights (Q3) YTD 2022 12.Cash Flow Highlights (Q3) YTD 2022 13.Financial Highlights –YTD 2022 14.Financial Highlights –(Q3) 2022 15.Financial Highlights –(Q3) 2022 16.Cash Dividends Since Listing
17.Highlights on Al Othaim Markets KSA –YTD 2022 18.Key Financial Indicators –YTD 2022
PAGE| 3
Profile Summary
Abdullah AlOthaim Markets Company is a Saudi joint stock company listed on Tadawul securities exchange market.
Currently is operating in Saudi Arabia and Egypt.
It is considered one of the leading retail
companies in the Kingdom and has been ranked the First most valuable Grocery Brand in the Kingdom according to Kantar BrandZ study 2022.
In May 2020, the Company was added to MSCI Saudi Arabia Standard Index.
PAGE| 4
Profile Summary
In June 2021,
Abdullah AlOthaim Markets Company was ranked 65th among Forbes Top 100 Companies in The Middle East for 2021.
The main activities of the Company are grocery retail and wholesale, and malls.
Ownership and operation of supermarkets,
hypermarkets, grocery and convenience
stores.
Through its
subsidiaries, it provides direct investments in various sectors such as manufacturing and distribution of general food, engineering and contracting for
buildings, and provides manpower services.
Abdullah AlOthaim Markets Company has a strategic ambition to strengthen its
positioning in the customers' minds, strengthen its brand equity, uplift its
shopping experience, and expand its footprint across the Kingdom
cementing its leadership in the Saudi grocery market.
PAGE| 5
International Awards
Marketing Initiative of the Year - Saudi
Arabia 2022.
Fastest Growing Super Market Chain - Saudi Arabia 2022.
Most Admired
Supermarket Chain of the Year - Saudi Arabia 2022.
RLI Innovation in
Sustainability Award - Retailer.
PAGE| 6
Key Information
Legal Structure
Saudi Joint Stock Company
Paid Up Capital
SAR 900 million Number of Shares
90 million
Market Capitalization*
SAR 11.11 billion USD 2.96 billion
Board Size
9 members
Board Committees
Executive, Audit, Nomination and
Remuneration
Traded at Tadawul
Since 2008 Headquarters
Riyadh City No. of Employees
+18K
* As of 29 Sep 2022.
PAGE| 7
Snapshot
Retail Division:
• 322stores with a total of sales area 549 thousands Sqm, located across KSA and Egypt.
➢ 278stores with a total of 525thousands Sqm, located across KSA.
➢ 44stores with a total of 24thousands Sqm, located in Cairo-Egypt.
• Contribution to Total Sales is 90.50%.
Wholesale Division:
• 12 stores with a total of 19 thousands Sqm, located across KSA.
• Contribution to Total Sales is 9.50%.
Growth:
• Growth in number of stores (Q3/2021 –Q3/2022) is 9.15%.
• Growth in area of stores (Q3/2021 –Q3/2022) is 10.04%.
PAGE| 8
Store Breakdown
159 187 214 242 250 272 279 288 290
12
33
41
42 44
44 44 44 44
171
220
255
284 294 316 323 332 334
0 50 100 150 200 250 300 350 400 450 500
2016 2017 2018 2019 2020 2021 Q1-2022 Q2-2022 Q3-2022
Numbers of Stores
KSA Egypt total
PAGE| 9
Quick Glance – YTD 2022
• Reported results with sales revenues of SAR 7,073 Mn (12.83%YoY).
• Net income was SAR 883 Mn (486.48%YoY).
• Sales growth by 12.83%, which was, mainly, It is also attributable to improvement in
customer shopping experience, better on shelf product availability and better service levels.
• In addition to retail sales revenue, revenue from rental activity amounted to 102 Mn.
• 20 new stores were opened up to Q3 2022 in KSA, Two stores have been closed during Q1-2022
YTD
PAGE| 10
Income Highlights (Q3) YTD 2022
In SAR Million 2018 2019 % 2020* % 2021 % 2022 %
Sales 5,565 6,067 9% 6,767 12% 6,269 -7% 7,073 13%
Gross profit 1,056 1,181 12% 1,383 17% 1,223 -12% 1,413 16%
EBIT 202 256 27% 346 35% 212 -39% 963 ** 355%
Interest (0.8) (47.2) 5753% (50.9) 8% (53.8) 6% (54.0) 0%
Zakat (5.5) (6.2) 13% (9.2) 48% (7.2) -21% (26.2) 262%
Net income 200 206 3% 287 40% 152 -47% 883 ** 481%
* In 2020, performance was significantly affected by the precautionary measures taken by the government against the outbreak of Covid-19.
** The company realized nonrecurring capital gains with the sum of SR 701.2 million, net of zakat, from the sale of its investment in Abdullah Al-Othaim Investment Company and the sale of investment land in Medina, as announced earlier.
PAGE| 11
Balance Sheet Highlights (Q3) YTD 2022
In SAR Million 2018 2019 2020 2021 2022
Non-current assets 2,332 3,478 3,602 3,802 3,538
Current Assets 1,316 1,288 1,363 1,300 2,600 *
TOTAL ASSETS 3,648 4,766 4,965 5,101 6,138
Shareholders Equity 1,660 1,487 1,524 1,368 1,892
Non-controlling interest 40 38 44 37 35
Non- current liabilities 121 1,273 1,451 1,581 1,653
Current Liabilities 1,827 1,968 1,945 2,115 2,559
TOTAL LIABILITIES & EQUITY 3,648 4,766 4,965 5,101 6,138
* Includes SR 1,058 Million receivable from related parties against buying shares and land due before 25 Dec. 2022 as announced.
PAGE| 12
Cash Flow Highlights (Q3) YTD 2022
In SAR Million 2018 2019 2020 2021 2022
Cash provided from or (used) in operation activity 241 197 544 89 700 Cash provided from or (used) in investment
activities (68) (40) (49) (31) (229)
Free Cash Flow 172 157 495 58 471
Cash provided from or (used) in financing activities (136) (58) (194) 95 (412)
Net Change in Cash 36 99 302 153 59
PAGE| 13
Financial Highlights – YTD 2022
SAR Mn
* Normalized EBITDA & Net Income.
6,269
1,223
463
150 7,073
1,413
509
181 -
1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000
Sales Gross Profit EBITDA Net Income
2021 2022
PAGE| 14
Financial Highlights – (Q3) 202 2
* Normalized EBITDA & Net Income.
SAR Mn
1,745
1,937
1,813
2,001
2,348
340 400 412 401 463
110 174 164 152 158
54 75 61 45 44
- 500 1,000 1,500 2,000 2,500
2018 2019 2020 2021 2022
Sales Gross Profit EBITDA* Net Income*
SALES CAGR 7.7%
PAGE| 15
Financial Highlights – (Q3) 202 2
SAR Mn % Of Sales
* Normalized EBITDA & Net Income.
5,565
6,067
6,767
6,269
7,073
18.98% 19.47% 20.44%
19.51% 19.98%
6.18%
8.08% 8.78%
7.39% 7.20%
3.52% 3.33% 4.21%
2.39% 2.56%
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
- 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000
2018 2019 2020 2021 2022
Sales Gross Profit EBITDA* Net Income*
PAGE| 16
Cash Dividends Since Listing
SAR
5
3 3
6
4
50% 89% 78% 120% 120%
0 1 2 3 4 5 6 7
2017 2018 2019 2020 2021
Dividends Per Share P/O Ratio
PAGE| 17
Highlights on Al Othaim Markets KSA – YTD 2022
Sales growth: 12.83%
LFL sales growth: 9.39%
IKTISSAB customers growth : 6.51%
transactions growth for Retail: 18.41%
Basket size growth for Retail: -4.50%
Saudization: 49%
1
2
5
3
4
PAGE| 18
Return on
Equity: 45.1% Return on Assets:
15.7%
ROCE:
26.9%
Fixed Assets Turnover: 5.03
Total Debit to Equity
2.2:1.0
EPS (SAR):
9.81
