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Earnings Report

Alpha Dhabi Holding

Q1 26 NEUTRAL LOW Impact

1. Company Overview & Earnings Context

Alpha Dhabi Holding (ADH) reported its Q1 2026 results, delivering strong growth in revenue and profitability, supported by portfolio expansion and fair value gains.

2. Financial Performance Snapshot

  • Revenue: AED 18.8B (+8% YoY)

  • Adjusted EBITDA: AED 4.3B (+2% YoY), margin 23%

  • EBITDA: AED 5.3B (+56% YoY)

  • Net profit: AED 3.8B (+82% YoY)

  • Net profit margin: ~20%

  • Return on equity: 17.2% (vs 12.5%)

3. Operational Highlights & Key Metrics

  • Total assets: AED 225.8B (+5% QoQ)

  • Total equity: AED 104.9B (+1% QoQ)

  • Cash balance: AED 42.4B (strong liquidity)

  • Net debt: AED 3.4B (low leverage; ~0.15x Net Debt/EBITDA)

Segment contribution (page 13):

  • Real Estate: AED 7.4B revenue, ~56% of profit

  • Industrial: AED 6.6B revenue

  • Construction: AED 2.7B revenue

  • Services, Investments & Others: AED 2.1B revenue

4. Key Performance Drivers

Alpha Dhabi’s Q1 2026 performance was driven by portfolio growth and investment-related gains, as highlighted in the financial analysis (pages 7–8):

  • Revenue growth (+8%) supported by contributions across real estate, industrial, and construction segments

  • Significant increase in net profit (+82%), largely driven by fair value gains (~AED 1.1B) from investment portfolio (Alpha Wave Ventures II)

  • Strong EBITDA growth (+56%), reflecting both operational performance and valuation gains

  • Stable core profitability, with adjusted EBITDA growing modestly (+2%)

  • Portfolio expansion and acquisitions, contributing to scale and asset growth

Overall, earnings growth was significantly influenced by investment valuation gains alongside steady operational performance.

5. Outlook & Forward Guidance

From management guidance (page 26 & 35):

  • FY 2026 Adj. EBITDA target: AED 20.5B – 21B

  • Medium-term growth: 15–20% EBITDA CAGR (2026–2030)

  • ROE target: 15%+

  • Capital deployment: AED 30B+ planned

  • Continued focus on:

    • Acquisitions and geographic expansion

    • AI, robotics, and digital transformation

    • Disciplined capital allocation and portfolio scaling

6. 🧾 Investor Takeaway

Alpha Dhabi delivered strong Q1 2026 growth with sharp profit expansion, driven by investment gains and diversified portfolio performance, while maintaining a strong balance sheet and clear long-term growth strategy.