Trolley Reports 29.3% Revenue Growth and 83.4% Net Profit Surge in Q1 2026, Strengthening Expansion in Kuwait and Saudi Arabia
Kuwait City, Kuwait: Trolley General Trading Company, a convenience-focused grocery retail platform listed on the Premier Market of Boursa Kuwait, has reported significant financial results for the first quarter of 2026. The company hosted its inaugural analyst and investor conference following its successful listing, with key executives including Mr. Mohammed Boodai, Vice Chairman and Group CEO, Mr. Peter Gabra, Group Deputy CEO and Managing Director of Trolley KSA, and Mr. Amgad Fikry, Group CFO, in attendance.
During the conference, Trolley’s management presented a comprehensive overview of the company’s financial and operational performance, emphasizing the strategic initiatives that underpin its growth trajectory. The discussions highlighted the importance of enhancing core operations in Kuwait, accelerating expansion efforts in Saudi Arabia, and leveraging digital and recurring revenue streams.
Strong Financial Performance
Trolley reported a robust performance in Q1 2026, achieving total revenue of KWD 25.9 million, reflecting a year-on-year increase of 29.3%. This growth was attributed to improved store productivity, strategic network expansion, and a rise in rental and processing income. The company’s EBITDA rose to KWD 5.0 million, marking a 46.8% increase from the previous year, while net profit surged by 83.4% to KWD 2.4 million, driven by operational leverage and an enhanced revenue mix.
Mr. Mohammed Boodai remarked on the significance of the results, stating that the conference represents a pivotal moment in Trolley’s journey as a publicly listed entity. He emphasized the company’s commitment to transparent engagement with shareholders and investors, noting that the Q1 performance underscores the strength of a business model centered around high-frequency consumer demand.
Expansion and Digital Integration
Trolley’s operational model is designed to meet everyday consumer needs through a vast network of convenience stores situated in high-traffic areas, including gas stations and residential neighborhoods. This positioning provides the company with resilience across economic cycles, as it caters to necessity-driven consumption patterns.
The company operates under two distinct brands: Trolley, its premium convenience format, and Baqala Bodega, aimed at addressing a historically fragmented retail segment. The integration of digital channels and app-based sales has further diversified revenue streams, with online sales reaching KWD 1.3 million in Q1 2026. Loyalty program registrations have also surged to 339,000, with active app users exceeding 100,000.
Focus on Sustainable Profitability
Trolley’s management has transitioned from a scale-building phase to a focus on optimizing returns and enhancing earnings quality. The strategy emphasizes improving the performance of its core operations in Kuwait while accelerating the maturity of its Saudi operations. The disciplined expansion of the Baqala Bodega model is also a priority, alongside leveraging data analytics to enhance customer lifetime value.
Mr. Peter Gabra highlighted that Trolley is entering a new phase characterized by quality growth and sustainable profitability. He noted the importance of improving profit margins and deepening customer relationships while pursuing selective expansion in viable markets.
Revenue Growth and Store Network Expansion
In terms of financial metrics, retail revenue increased to KWD 23.5 million in Q1 2026, a 26% rise year-on-year, driven by higher footfall and improved product assortment. Rental revenue saw a remarkable increase of 107.6%, reaching KWD 2.1 million, bolstered by renewed shop-in-shop contracts.
The company’s store network expanded to 249 locations as of March 31, 2026, representing a 30.4% increase compared to the previous year. This growth includes the opening of 16 new stores during the first quarter.
Profitability and Cash Flow
Mr. Amgad Fikry noted that the Q1 results demonstrate Trolley’s ability to convert growth into profitability and cash flow. The company achieved operating cash flow of KWD 4.7 million, enhancing its financial flexibility. Trolley maintained a disciplined capital allocation framework, with capital expenditures amounting to KWD 0.5 million, equivalent to 1.8% of revenue.
The gross profit increased to KWD 9.1 million, with the gross margin improving to 35%. The company also reported a return on equity of 27.9%, up from 22.2% in Q1 2025, while maintaining a strong net cash position.
Resilience Amid Seasonal Challenges
Management addressed the seasonal and regulatory factors that impacted consumption patterns during the quarter, noting that Ramadan and temporary restrictions on certain grocery product segments had a limited effect on underlying demand. Trolley’s centralized operating model has strengthened its inventory management and service quality across its network.
Future Outlook
Looking ahead, Trolley aims to fortify its core operations in Kuwait while accelerating growth in Saudi Arabia. The company plans to develop Baqala Bodega in a disciplined manner and increase contributions from higher-margin revenue streams, including rental income and digital channels. Trolley is well-positioned to capitalize on its Q1 momentum through continued expansion and enhanced digital integration.
Source: www.zawya.com
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Published on 2026-05-10 15:20:00 • By the Editorial Desk
