Shaker delivers stable FY 2025 performance with margin expansion and strengthened foundations for growth in 2026

(MENAFN- ipexcellera) Riyadh, Saudi Arabia, 19 February 2026: Al Hassan Ghazi Ibrahim Shaker Co. (“Shaker”, the “Group” or the “Company”), Saudi Arabia’s leading manufacturer, importer, and distributor of air conditioners and home appliances, has announced its financial results for the fourth quarter and full year ended 31 December 2025, delivering stable profitability and continued strategic progress under its Elevate 2027 roadmap, supported by disciplined execution across its core segments.

Financial Highlights:
•Revenue reached SAR 280.9 million in Q4 2025, representing a 6.0% year-on-year (YoY) reduction. For FY 2025, revenue amounted to SAR 1,395.0 million, reflecting a 1.5% decline compared to FY 2024. The full-year performance reflects moderation in HVAC revenue (–6.6% YoY), partially offset by continued growth in Home Appliances (+11.2% YoY). ‘Other’ revenue from services and 3PL activities contributed SAR 12.8 million, representing growth of approximately 167.6% YoY.
•Gross profit stood at SAR 68.1 million in Q4 2025 compared to SAR 76.7 million in Q4 2024. For FY 2025, gross profit reached SAR 347.1 million, broadly stable YoY, with gross margin improving to 24.9% from 24.5%, supported by favorable product and channel mix.
•Operating income amounted to SAR 22.2 million in Q4 2025, reflecting an increase of 32.9% YoY. For FY 2025, operating income reached SAR 88.4 million, representing growth of 7.5% compared to FY 2024, driven by disciplined cost management and lower selling and distribution expenses.
•Net profit1 reached SAR 16.8 million in Q4 2025, reflecting growth of 10.9% YoY. For FY 2025, net profit amounted to SAR 81.8 million, broadly stable compared to FY 2024. Performance below operating income was influenced by lower finance costs, partly offset by foreign exchange movements and a lower share of profit from the associate.
•Net Debt stood at SAR 420.4 million at 31 December 2025, representing an increase of 69.4% YoY, primarily driven by working capital requirements during the year.
1: Attributable to equity owners


Mohammed Ibrahim Abunayyan, Chief Executive Officer at Shaker, said:
“Shaker delivered a resilient performance in 2025, maintaining stable profitability while advancing the priorities of Elevate 2027. Despite competitive market dynamics, we preserved margin discipline, strengthened our developer partnerships, and expanded the contribution of our direct retail channels.
Our engagement with leading residential developers and continued progress in localized manufacturing reinforce the strength and depth of our operating platform. At the same time, our home appliances portfolio continues to provide stability and diversification across the business.
As we move into 2026, seasonal demand, housing activity, and continued execution across our channels position us well for balanced growth. We remain focused on disciplined expansion, operational efficiency, and delivering sustainable value to our shareholders”

Financial Updates
Revenue for FY 2025 reached SAR 1,395.0 million, representing a 1.5% decline compared to SAR 1,415.9 million in FY 2024. The performance reflects a moderation in HVAC during the year, while Home Appliances and new ventures continued to support overall revenue.

HVAC revenue totaled SAR 984.3 million in FY 2025, 6.6% lower than SAR 1,053.4 million in the prior year. Performance in the segment was influenced by softer activity across the consumer channel, while project-driven demand remained supported by residential and commercial developments across the Kingdom, with gradual improvement expected as demand conditions stabilize and seasonal demand strengthens.

Home Appliances delivered SAR 397.8 million in revenue for FY 2025, reflecting an increase of 11.2% compared with SAR 357.7 million last year. The segment benefited from strong brand partnerships including Samsung and Black+Decker, broader category presence, and enhanced retail visibility. Continued expansion of direct retail formats and e-commerce channels further strengthened the segment’s contribution and diversified the Group’s revenue mix.

Other revenue, including services and 3PL activities, amounted to SAR 12.8 million in FY 2025, representing growth of 167.6% compared to SAR 4.8 million in FY 2024. These activities continue to scale in line with strategic priorities under Elevate 2027, introducing an additional component to the business.

Fourth quarter revenue stood at SAR 280.9 million, representing a 6.0% YoY reduction compared to SAR 298.9 million in Q4 2024. The final quarter of the year is typically seasonally softer ahead of peak first-quarter demand.

Gross profit amounted to SAR 347.1 million for FY 2025, broadly stable compared to SAR 346.5 million in FY 2024. Gross margin improved to 24.9% from 24.5%, supported by the product and channel mix, while the Company is expanding in its services offering.

Operating income reached SAR 88.4 million, reflecting growth of 7.5% compared to SAR 82.2 million in the prior year, with operating margin expanding to 6.3%. The improvement reflects continued cost efficiencies, including tighter management of general and administrative expenses and optimized selling and distribution spend.

EBITDA amounted to SAR 131.8 million for FY 2025, an increase of 2.1% compared to SAR 129.0 million last year, with margin strengthening to 9.5%. The performance reflects operating leverage and sustained cost control across the Group’s core segments.

Net profit attributable to equity holders totaled SAR 81.7 million for FY 2025, broadly stable compared with SAR 81.6 million in the prior year, with net margin at 5.9%. In Q4 2025, net profit reached SAR 16.8 million, reflecting an increase of 10.9% compared to SAR 15.2 million in Q4 2024.

The Group remains focused on disciplined capital allocation, margin resilience, and balanced growth across its portfolio while advancing Elevate 2027.

Operational and Strategic Updates
•Expanding Residential and Developer Engagement
During 2025, Shaker expanded its engagement across the Kingdom’s residential and mixed-use development sector through cooperation agreements with leading real estate developers.
The Group signed partnerships with leading residential and mixed-use developers, strengthening its position as a preferred HVAC solutions provider across residential communities and integrated developments.
These partnerships deepen Shaker’s developer-focused B2B model under Elevate 2027, broaden its exposure beyond large-scale mega projects, and enhance long-term project visibility. The residential market continues to benefit from structural housing demand, private sector development activity, and national home ownership initiatives aligned with Vision 2030, supporting steady medium-term HVAC demand.

•Strengthening Local Manufacturing and Industrial Capabilities
Shaker continued to develop its local manufacturing platform in line with national localization objectives and long-standing industrial partnerships.
LG Shaker achieved the “Zero Waste to Landfill” validation from UL Solutions, becoming the first factory in Saudi Arabia to receive this recognition. The milestone marks progress in operational discipline and environmental management within the Group’s manufacturing operations.
The Group marked three decades of partnership with LG and Ariston, building on long-standing alliances that enable technology transfer, product innovation, and in-Kingdom production capabilities.
Shaker continues to strengthen its “Made in Saudi” strategy by serving domestic demand while expanding export reach across the Middle East and Africa.

•Advancing Retail and Direct Channel Capabilities
Under Elevate 2027, Shaker continued to build momentum in its capital-efficient shop-in-shop model within Abyat showrooms, with the format gaining traction and contributing to improved direct retail performance.
The initiative supports a gradual increase in the share of sales generated through retail and e-commerce channels, as the Group strengthens its direct-to-consumer positioning and improves store-level execution.

Outlook

Shaker enters 2026 with a focus on disciplined growth and balanced channel development under Elevate 2027.
Demand in the first quarter is typically supported by seasonal trends and the Ramadan period, which historically contributes to stronger retail and HVAC activity. The Group expects this seasonal momentum to provide a constructive start to the year.
Project-driven activity is expected to remain supported by ongoing residential and commercial developments across the Kingdom. The residential market continues to benefit from structural housing demand, private sector development activity, and national home ownership initiatives aligned with Vision 2030, supporting steady medium-term HVAC demand.
The home appliances segment continues to provide a stable revenue base, supported by established brand positioning and a diversified product portfolio.
The Group will continue to prioritize margin discipline, working capital management, and the development of its direct-to-consumer channels, while maintaining a prudent approach to capital allocation.
The Group also continues to evaluate opportunities to expand its localized manufacturing capabilities and further develop its shop-in-shop format in line with market conditions and strategic priorities.
Shaker remains committed to executing Elevate 2027 and strengthening its position across both HVAC and home appliance segments.

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