Savola Group, one of Saudi Arabia’s leading retail and food holding companies, has issued its fourth quarter and full year 2016 financial results.
Sulaiman A.K. Al-Muhaidib, chairman of Savola Group, said: “2016 was a year of important changes across the group.”
He added: “Importantly, our management team has proactively taken decisive action to address underperformance in our retail division through a carefully thought-through transformation program.”
He said: “In the food segment, while we had to take losses due to the currency devaluation in Egypt and other charges, the underlying fundamentals remain strong.”
The chairman said: “Looking ahead, our focus continues to be improving customer experience in our retail business and enhancing our productivity. As the macro-economic situation slowly improves, we are well-positioned to capitalize on growth opportunities.”
The group reported revenues of SR25 billion in 2016 as compared to SR25.1 billion in 2015.
The lack of growth in revenue was mainly due to the underperformance of the retail segment, exacerbated by the macro environment in Saudi Arabia, a company press release said.
The overall net loss for 2016 was SR451 million, compared to net profit of SR1.792 billion for 2015.
The company reported a number of exceptional one-off items that negatively impacted profitability.
Excluding these charges and the exceptionally high currency losses incurred last year, adjusted net profit for 2016 was SR810 million compared to adjusted net profit of SR1.480 billion in 2015.
Earnings per share were negative at SR0.85 and cash and cash equivalents stood at SR1.3 billion at the end of the year, according to the release.
In the fourth quarter of 2016, Savola reported revenues and a net loss of SR6.2 billion and SR964 million respectively. It recorded revenues of SR6.3 billion and a net profit of SR515 million in the fourth quarter of 2015.
Last year’s revenue was SR13.5 billion, in line with the same period last year. New store openings, coupled with a decline in Like for Like (LfL) sales, contributed to the revenues.
The decline in gross margins is partly due to the costs associated with inventory reduction.
The net loss was SR773 million compared to a profit of SR146 million in 2015. The normalized loss was SR396 million, the release added.
The average retail selling space increased by 1 percent in 2016 as 18 new stores were added across Saudi Arabia.
The strategy for Panda Retail Company over the last several years was to expand aggressively across Saudi Arabia.
The business has built up an extraordinary infrastructure, manifested by its leading store count and unique distribution capability in Saudi Arabia.
A portion of the operating losses in 2016, around SR106 million excluding closure costs, was associated with the convenience format, Pandati.
The format is being reconfigured through store closures and layout changes, the release added.
Savola Group to capitalize on growth opportunities
Savola Group to capitalize on growth opportunities
Drone Racing World Cup to conclude today amidst high attendance
Sponsored by Riyadh Season, the Drone Racing World Cup continues its exciting activities on Saturday — the third and final day of competition in Boulevard City. The event has been organized by the Saudi Federation for Cybersecurity, Programming, and Drones, in collaboration with the World Air Sports Federation.
The second day of the Drone Racing World Cup featured the completion of the qualifying rounds, with more than 140 pilots participating. The final qualifiers commenced as preparations were made to determine the race winners for today, with 64 pilots advancing to this stage.
This edition of the World Cup boasts significant international participation in the Kingdom, with China leading the registration with approximately 15 pilots, followed closely by Oman with over 13 pilots, and South Korea among other participating nations.
The second day attracted a large audience to the Activity Zone, showcasing a variety of drone-related activities, including the Drone Hub, Drag Racing, and Fly Free. Additionally, attendees enjoyed VR drone racing, which simulates drone racing through virtual reality glasses, along with various engaging drone workshops and other interactive activities.
The Drone Racing World Cup will conclude its competitions today at the SEF Arena in Boulevard City, with prizes exceeding SR1.3 million ($346,470). Hosting this race in the Kingdom underscores Saudi Arabia’s prominent role in the drone sector.
Unlocking Frontier Markets: Private sector leadership key to reshaping global development
The World Economic Forum Annual Meeting, held in Davos from January 20–24, convened global leaders from government, business, and philanthropy under the theme “Inspiring Action. Driving Impact.”
It spotlighted opportunities to foster resilience and sustainable development, particularly in fragile and frontier markets.
Against this backdrop, the panel session titled “New Development Actors for the 21st Century” explored the critical role of the private sector in complementing traditional aid models and addressing systemic challenges in vulnerable economies.
Moderated by Mirek Dušek, managing director at the World Economic Forum, the discussion featured leaders including Badr Jafar, special envoy for business and philanthropy, UAE, and CEO of Crescent Enterprises; Hassan Sheikh Mohamud, Somali president; Ernesto Torres Cantu, head of International at Citi; and Anna Bjerde, managing director of the World Bank.
During the session, Jafar emphasized the transformative potential of frontier markets in driving global growth and resilience.
“Frontier markets represent one of the greatest opportunities of our time to create systemic and sustainable global progress. Home to 85 percent of the world’s population, they are poised to host 80 percent of the global middle class by 2030. Yet traditional aid models continue to fall short of addressing the scale of challenges we face. The private sector must go beyond conventional philanthropy and adopt a strategic investment approach, one that fosters resilience, empowers communities, and delivers measurable, long-term prosperity,” Jafar said.
He highlighted the vast potential of the global impact-investing market, which now exceeds $1.5 trillion, and the untapped opportunities in $450 trillion of global private wealth.
Jafar added: “With the global impact-investing market exceeding $1.5 trillion, and untapped private wealth standing at $450 trillion, the resources required to drive transformative change are available. What is needed now is a framework that aligns these resources with measurable development goals, unlocking the innovation and entrepreneurship inherent in frontier markets.”
The session underscored the critical need for innovative, market-driven approaches to address systemic challenges in fragile and frontier markets.
By fostering collaboration across sectors and empowering local actors, the private sector can play a transformative role in shaping sustainable and inclusive development, the session heard.
As global humanitarian needs continue to outpace traditional funding models, leaders are driving the dialogue toward a future where strategic investments unlock the vast potential of frontier economies, ensuring they emerge not just as beneficiaries, but as architects of global resilience and growth.
The session was part of the World Economic Forum’s Humanitarian and Resilience Investing Initiative, launched in 2019 to unlock impact investing in frontier markets.
This initiative brings together over 100 partners across sectors to increase the resilience of at-risk and crisis-hit communities.
Building on a high-level dialogue chaired by former US Secretary of State Anthony Blinken and co-sponsored by UK Foreign Secretary David Lammy, IDB President Ilan Goldfajn, and Børge Brende during the UN General Assembly, the HRI Initiative continues to champion collaborative approaches that bridge private capital with sustainable development goals in fragile economies.
The World Economic Forum continues to serve as a catalyst for global action, advancing partnerships across sectors to create a more inclusive and resilient future.
Drone Racing World Cup kicks off today, with prizes worth SR1.3m
The Drone Racing World Cup, sponsored by Riyadh Season, has commenced today at Boulevard City in Riyadh. Organized by the Saudi Federation for Cybersecurity, Programming, and Drones, in collaboration with the World Air Sports Federation, the event takes place from Jan. 23 to 25.
This tournament, the first of its kind in the Middle East and North Africa since its inception in 2016, highlights Saudi Arabia’s commitment to the sector. The event offers participants and visitors prizes exceeding SR1.3 million ($346,470).
This edition features world champions in drone racing, including Kim Minjae, winner of the 2024 FAI World Drone Racing Championship; Killian Rousseau, winner of the 2023 FAI Drone Racing World Cup; Yuki Hashimoto, also winner of the 2024 FAI World Drone Racing Championship; Luisa Rizzo, winner of the 2024 Women’s FAI Drone Racing Championship; Min Chan Kim, winner of the 2023 FAI World Drone Racing Championship; Wanraya Wannapong, runner-up of the 2024 Women’s FAI Drone Racing Championship; Pawel Laszczak, runner-up of the 2023 Drone Racing World Cup; Jacob Capobres, runner-up of the 2023 FAI World Drone Racing Championship; Choi Wongyun, who placed third in the 2024 Drone Racing World Cup; and Roland Ronto, who placed third in the 2023 Drone Racing World Cup.
Several Saudi pilots will also compete, including Muhannad Al-Wohaibi, Ibrahim Al-Sultan, Dalia Al-Safar, Al-Anoud Al-Shalaan, Bader Mutlaq Al-Raqqas, Nawaf Al-Hamoud, and Salma Attallah Al-Aqbi.
The qualifying rounds, which start today, will continue until midday Friday, followed by the finals on Saturday.
The event hosts an activity zone featuring various accompanying activities, including a Drones Hub for teaching amateurs and professionals, a Drag Racing Zone for speed competitions on a straight path, a Fly Free Zone designed for testing and operating drones, a VR Drone Racing simulation using virtual reality glasses, Drone Workshops for training, designing, assembling, and building drones, and a Fans Zone dedicated to watching the Drone Racing World Cup competitions.
This edition marks the inaugural season of the Drone Racing World Cup, consisting of a series of rounds held in leading countries in the drone racing field.
NEOM, NTDP to drive Web3 growth in Kingdom
NEOM and the National Technology Development Program have launched a strategic partnership to advance the growth of the Web3 ecosystem in Saudi Arabia. Leveraging their combined strengths and resources, the collaboration will establish comprehensive accelerator programs designed to support selected startups with mentorship, funding opportunities and vital industry connections.
Marking the partnership’s debut achievement, Outlier Ventures — the world’s leading Web3 accelerator — has joined forces with NEOM and NTDP to launch the FutureSpark Base Camp Accelerator Program, Saudi Arabia’s first deep-tech Web3 accelerator program. Ten startups were selected in the program’s first cohort, following a rigorous application process via Outlier Ventures’ website.
The inaugural 12-week program, which has been running since October 2024 in Riyadh, concluded with a four-day workshop in NEOM from Jan. 12-15. The program has empowered entrepreneurs to refine their business models and enhance their market strategies, equipping them to navigate the rapidly evolving Web3 landscape. Through personalized guidance and access to a network of industry experts, the program accelerates growth of startups by providing the tools and insights necessary for success in a competitive environment. Participants of the program benefit from Outlier Ventures’ expertise through workshops, networking opportunities and practical resources, fostering a collaborative community to help drive the future of the Web3 ecosystem.
This partnership between NEOM and NTDP supports the most promising founders across key technology sectors. With a focus on industries where the region holds emerging potential — such as cognitive cities, artificial intelligence, digital identity and gaming — the selected cohort has access to essential resources to build industry-leading startups.
Aligning with the goals of Saudi Vision 2030, the FutureSpark Base Camp Accelerator Program supports early-stage entrepreneurs and drives technological advancement in the Kingdom. Through accelerating the local deep-tech Web3 landscape, the program plays a pivotal role in fostering innovation and cutting-edge technologies.
Saudi online trading app Sahm crosses 1m users in one year
Sahm, the first all-in-one online trading platform in Saudi Arabia, celebrated a significant milestone with its users at a workshop in Riyadh. The event marked Sahm’s remarkable achievement of surpassing 1 million users within just one year of its launch. The workshop provided an opportunity for investing influencers, users, and Sahm app developers to share insights, forge valuable connections, and grow together.
During the workshop, Sahm Capital’s General Manager Hadeel Bedeeri delivered an inspiring presentation, reflecting on the app’s journey from its launch on Dec. 26, 2023, to its rapid growth and the milestone of 1 million users by the end of 2024. “Our growth is a testament to the trust our users have placed in us,” Bedeeri said. “Sahm app was built around the needs of our users, and today, we are proud to see the app become an integral part of their investment journeys.”
Turki bin Mohammed Al-Namasi, a user of the Sahm app, traveled more than 600 km to attend the workshop. He said: “Sahm app is one of the platforms I trust deeply. Their clear policies, diverse programs, and genuine commitment to the community and financial awareness set them apart. I owe my confidence to God and the leadership of their exceptional team and board.”
Abdullah Almalki, another user, praised Sahm’s ease of use and flexibility: “What truly stands out about Sahm is its seamless access to both Saudi and US markets. It allows me to diversify and manage my investments in one place, opening up global opportunities at my fingertips. The ability to trade across multiple markets without barriers is a feature I genuinely appreciate. I’ve recommended it to everyone I know because it makes investing so simple and efficient.”
In celebration of its first anniversary and 1 million users, Sahm launched a special giveaway campaign, offering SR1 million ($266,530) in rewards. This campaign is designed to thank existing users for their continued support and to encourage new users to join the growing Sahm community.
During the workshop, Bedeeri revealed Sahm’s future plans, which include expanding its financial products, introducing new features, and providing comprehensive financial learning resources to enhance investors’ knowledge.
“The world changes, markets change, and so do users’ needs. Staying still is not an option for us,” she said. “Our mission has always been to stay focused on our users. Their needs guide every update, every feature we add. We evolve, so users can continue to trust us to give them what they deserve.”
