- Revenue rises 2.7% to KD 163.3 million despite regional disruption; cost controls, supply-chain actions and improving international operations support performance.
- H1 revenue +2.7% to KD 163.3m, with growth entirely organic.
- Operating profit +12.1%; net profit +20.8%.
- Saudi Arabia +43.1%; international-market initiatives gaining traction.
- Key staples, infant formula and medicines remained available YTD despite disruption.
Kuwait, 13 August 2026: Mezzan Holding Co. KSCP, one of the largest manufacturers and distributors of food, beverage, FMCG, and healthcare products in the Gulf region, announced its financial results for the first half ended 30 June 2026.
Organic growth through a difficult first half
Group revenue increased by 2.7% to KD 163.3 million, with the growth delivered organically. EBITDA rose 9.6% to KD 20.8 million, operating profit increased 12.1% to KD 16.4 million and net profit increased 20.8% to KD 12.7 million.
Revenue and net profit have now increased in each first-half reporting period since H1 2023. Over H1 2023 to H1 2026, revenue recorded a 5.2% CAGR and net profit a 24.4% CAGR.
Operating environment and demand mix
The ongoing regional conflict continued to affect shipping routes, freight, insurance, logistics and lead times for certain raw materials and finished goods. Mezzan absorbed additional operating and supply-related costs during the period to maintain continuity of supply, while gross margin stood at 24.1% compared with 24.6% in H1 2025.
Consumer demand patterns also shifted during parts of the period, with softer demand across certain impulse categories. This was partly offset by higher orders in commodity and other essential-product categories, supported by the Group’s route-to-market coverage and in-store execution.
Supply-chain actions kept key products available
Procurement and supply-chain teams activated alternative sourcing and transport routes as conditions changed. Where required, this included moving goods by road from Europe to keep supply flowing into the Group’s markets.
The Group maintained availability across its designated key SKUs year to date, including essential staples, infant formula and medicines, with no stock-outs across those key lines. Aqua Gulf and Dana Waters also continued supplying bottled water across cooperative societies, hypermarkets, traditional retail channels, homes and offices.
Cost discipline supported profitability
Cost-control initiatives implemented across the Group helped contain the effect of higher operating and supply-related costs. The net reversal of expected credit losses also partially supported H1 profitability, reflecting continued recovery efforts on previously provisioned receivable balances.
Our people
Maintaining service levels required sustained effort across procurement, manufacturing, warehousing, logistics, sales and support functions. Teams across the Group demonstrated flexibility and adaptability as operating conditions changed, working closely across functions to maintain product availability and continue serving customers and markets.
Mezzan Holding Chairman, Mr. Montaser Jassim Al-Wazzan, said: “Mezzan has served Kuwait for more than 80 years, and periods like this are a reminder that our responsibility is not limited to financial performance. During the first half, our priority was to keep essential products available to the communities we serve, even when doing so meant absorbing additional freight and supply-chain costs. I want to recognise our people for the efforts they made to keep food, water, infant formula and medicines moving through the market, and I also appreciate the continued coordination of the Government of Kuwait and the relevant authorities during an exceptional period.”
Mezzan Holding Group CEO, Mr. Amr Farghal, said: “We are encouraged by the progress, but it is too early to celebrate. H1 growth was organic, and we delivered higher revenue and profitability while operating through supply disruption, higher costs and changing demand patterns, including softer demand across certain impulse categories. Over the past two years, we have also been working to strengthen our international operations, improve route-to-market execution and rebuild momentum in priority markets. The results are becoming more visible, but there is still work ahead of us.”
Operating and market update
Over the past two years, Mezzan has been repositioning its international operations through tighter commercial discipline, stronger local management, improved route-to-market execution, wider account and channel coverage and greater focus on in-store execution.
The work is increasingly visible in the first-half results. Saudi Arabia grew 43.1%, Qatar 16.8% and the UAE 7.1%. The combined Jordan/Iraq geography declined 8.9%, mainly reflecting weaker Iraq-related venture activity, while the underlying Jordan business performed ahead of management expectations.
Jordan: core business ahead of expectations
Jordan continues to develop as an important operating and innovation market for the Group, with the underlying business performing ahead of management expectations. Over the past few years, Mezzan has established a leading market position in salty snacks, supported by the execution and market-development efforts of its local team.
The Group has also continued to expand Al Bustan, its premium fresh fruit and vegetable B2C proposition. The business is developing its reach through the Al Bustan dark-store model and through a partnership with one of the region’s leading e-commerce platforms, where Mezzan serves as the exclusive partner for the relevant fresh-produce offering.
Following several years of growth in Jordan, Mezzan believes there is a stronger case for expanding its local footprint. The Group is evaluating investment in manufacturing capacity to bring production closer to the market, support further category development and strengthen its operating presence in the country. The progress achieved across salty snacks, premium fresh produce and new B2C channels gives the Group confidence in Jordan’s longer-term potential.
Saudi Arabia: Building Momentum
Saudi Arabia remained Mezzan’s fastest-growing market in H1 2026, with revenue up 43.1% year on year. The improvement follows changes to the local operating model, stronger management and commercial discipline, broader account and channel coverage and closer customer engagement.
The Group has also commenced selected catering contracts in the Kingdom and is progressing plans to invest in manufacturing capacity in Saudi Arabia as it builds a broader long-term platform in the market.
Strong in-store presence and execution
Across markets, Mezzan continued to focus on distribution coverage, shelf availability, customer service and execution at store level. This supported the Group’s ability to respond to shifts in consumer demand and maintain the presence of its core categories through the period.
Partnerships
Mezzan continues to work closely with long-standing principals and strategic partners across food, FMCG and healthcare, with a focus on building local capabilities, improving execution and supporting sustainable growth in the markets served.
Crystal: expanding international reach and portfolio
Mezzan continued to build the Crystal brand following its acquisition of the commercial and manufacturing rights. Distribution continues to expand across the GCC, the wider Middle East, Europe and Asia, increasing the brand’s reach beyond its traditional markets. At the same time, the Group is working to extend Crystal beyond its established hot-sauce range by developing a broader portfolio of sauces, condiments and related products under the brand, creating additional opportunities across both existing and new international markets.
Digitization and automation
The Group continues its digitization journey, including the wider rollout of SAP S/4HANA and a broader push towards automation across business processes. Following the successful implementation at KSPICO in December 2025, preparations and rollout activity across the Group’s FMCG and Non-Food businesses continue during 2026.
Maintaining essential water supply
Aqua Gulf and Dana Waters continued to maintain bottled-water availability across Kuwait during the period, supported by close coordination between manufacturing, logistics and sales teams.
H1 2026 Financial Performance Review by Business Line
Food Business Line: Total revenue reached KD 104.4 million, an increase of 3.6% compared with the same period in 2025. The Food Business Line accounted for 63.9% of Group revenue and comprises three divisions: Manufacturing and Distribution, accounting for 58.4% of Group revenue; Catering, accounting for 4.6%; and Services, accounting for 0.9%.
- Manufacturing and Distribution: Revenue increased by 3.7%.
- Catering: Revenue increased by 3.2%.
- Services: Revenue increased by 3.7%.
Non-Food Business Line: Revenue reached KD 58.9 million, an increase of 1.1% compared with the same period in 2025. The Non-Food Business Line accounted for 36.1% of Group revenue and comprises two divisions: FMCG and Healthcare, accounting for 34.5% of Group revenue, and Industrials, accounting for 1.6%.
- FMCG and Healthcare: Revenue increased by 1.2%.
- Industrials: Revenue declined by 1.8%.
H1 2026 Regional Business Highlights:
- Kuwait: Revenue increased by 1.0%, representing 74.4% of Group revenue.
- Saudi Arabia: Revenue increased by 43.1%.
- UAE: Revenue increased by 7.1%.
- Qatar: Revenue increased by 16.8%.
- Jordan (including Iraq, served via our Jordan-based entities): Revenue declined by 8.9%; underlying Jordan business ahead of expectations.
Management view
The Group remains cautiously confident while recognising that the regional operating environment continues to evolve. Management’s priorities for the remainder of the year are to maintain product availability, manage additional operating and supply-chain costs arising from the regional conflict, maintain cost discipline and protect margins, while continuing to build on the progress achieved across international markets and strategic investments.
(ENDS)