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Earnings Report

Al Mazaya Holding Company

Q1 26 NEUTRAL LOW Impact

1. Company Overview & Earnings Context

Al Mazaya Holding Company reported its Q1 2026 results, showing a stable performance with slight pressure on revenues but improved profitability, supported by real estate activity and cost control.

2. Financial Performance Snapshot

  • Revenue: ~AED 35.5M (slightly lower YoY)

  • Gross profit: ~AED 27.9M (−3% YoY approx.)

  • Operating profit: ~AED 20.7M (slightly lower YoY)

  • Net profit: ~AED 6.5M (+15% YoY approx.)

  • EPS: ~1.08 fils (vs 0.95 fils YoY)

3. Operational Highlights & Key Metrics

  • Total assets: ~AED 1.50B

  • Investment properties: ~AED 1.28B (core asset base)

  • Cash & equivalents: ~AED 62M (improved liquidity)

  • Total equity: ~AED 571M

  • Segment contribution:

    • Kuwait remains primary revenue driver

    • UAE & KSA contribute smaller but diversified income streams

4. Key Performance Drivers

Al Mazaya’s performance was driven by stable rental income and selective real estate transactions, as reflected in the income statement (page 3).

Key drivers included:

  • Slight decline in rental income, impacting overall revenue

  • Improved profitability, supported by lower finance costs and controlled operating expenses

  • Gains from investment property disposals, supporting earnings

  • Reduced finance costs (down YoY), helping lift net profit despite flat operating performance

Overall, earnings growth was supported more by cost and financing improvements rather than top-line expansion.

5. Outlook & Forward Guidance

The Group operates primarily in real estate across Kuwait, UAE, and KSA, with performance dependent on property markets and macro conditions.

Key forward factors include:

  • Stability in rental income and occupancy levels

  • Execution of property disposals and development pipeline

  • Impact of regional geopolitical conditions on real estate demand

  • Liquidity and financing environment

Management highlighted that ongoing regional uncertainty may impact future margins and operations, though no immediate impairment impact was recorded.

6. 🧾 Investor Takeaway

Al Mazaya delivered modest revenue pressure but improved profitability, driven by cost control and lower financing expenses rather than core revenue growth.