A.SREENIVASA REDDY (ABU DHABI)
Listed companies in the UAE posted healthy profit growth in the first quarter of 2026, with Abu Dhabi and Dubai firms together reporting $17.4 billion in net profits, a year-on-year increase of about 14.5% from $15.2 billion in the same period last year, despite disturbances caused by the regional situation.
According to data released by Kamco Invest, Abu Dhabi companies recorded a year-on-year net profit increase of 16.1% to $10.6 billion in Q1 2026, compared with $9.1 billion in Q1 2025.
Dubai companies saw a 12.3% YoY rise in net profit to $6.8 billion in Q1 2026, compared with $6.1 billion in Q1 2025.
The growth in profitability across UAE-listed companies came as both Abu Dhabi and Dubai markets reported broad gains across key sectors, led by banks, real estate, utilities, food and beverage, and capital goods.
In Abu Dhabi, the increase in quarterly profits was primarily driven by a $363.4 million rise in banking sector profits, along with a 230% YoY increase in profits for the Food, Beverage and Tobacco sector, which reached $1.4 billion.
The banking sector recorded the highest profits among Abu Dhabi-listed companies in Q1 2026, with total net profit rising to $3.4 billion from $3 billion in Q1 2025.
Kamco Invest said the performance was supported by higher YoY profitability across nine of the eleven listed banks that reported financials during the quarter.
First Abu Dhabi Bank reported the highest net earnings in the sector at $1.4 billion, although this represented a 2.2% YoY decline. Kamco Invest said the decline reflected a sharp increase in impairments during the quarter, which reached $299.5 million, compared with $197.1 million in Q1 2025.
Abu Dhabi Commercial Bank posted a strong 37.3% YoY jump in net earnings to $915.1 million, supported by a 36% rise in non-interest income and a 10.1% increase in net interest income.
Abu Dhabi Islamic Bank also reported higher profits, with aggregate net earnings rising 6% YoY to $466.6 million, compared with $440 million in Q1 2025.
Kamco Invest said the increase reflected growth in both net interest income and non-interest income, partly offset by higher impairments.
Abu Dhabi’s energy sector reported the second-largest aggregate net earnings, reaching $2.1 billion, although this was 8.4% lower year-on-year. ADNOC Gas posted the largest profit in the sector at $1.1 billion, compared with $1.3 billion in Q1 2025.
Kamco Invest attributed the decline to geopolitical and operational disruptions, with the company recording a 15% drop in sales volume.
Other energy names showed more stable performance. Abu Dhabi National Energy Company reported a marginal 0.4% YoY rise in net profit to $569.2 million, while ADNOC Drilling’s net profit increased 1.1% YoY to $344.8 million.
Kamco Invest said ADNOC Drilling’s performance was supported by strong fleet utilisation and the ongoing expansion of its Oilfield Services segment.
The Food, Beverage and Tobacco sector in Abu Dhabi recorded one of the strongest increases, with aggregate net earnings jumping 3.3 times year-on-year to $1.4 billion from $424.6 million in Q1 2025.
The Capital Goods sector also saw a sharp improvement, with total net earnings rising more than six times to $1.1 billion, compared with $185 million in the same quarter of the previous year.
In Dubai, net profits for listed companies increased by 12.3% YoY to $6.8 billion in Q1 2026, up from $6.1 billion in Q1 2025, driven by profit growth across most sectors on the exchange.
Kamco Invest said the earnings expansion in Dubai was primarily fuelled by strong performances in the Utilities, Real Estate, Telecom and Insurance sectors, while the Transport and Consumer Services sectors recorded year-on-year declines in profits.
Corporate profits in Dubai remained largely concentrated in the Banking, Real Estate, Utilities and Transportation Services sectors, which together accounted for 88.9% of total net profits during the quarter.
Dubai’s banking sector remained the largest contributor, with total net profits improving 0.9% YoY to $3.2 billion in Q1 2026. Emirates NBD recorded the highest net profit in the sector at $1.74 billion, up from $1.69 billion in Q1 2025, supported by strong loan growth.
Mashreq Bank reported the second-largest net profit among Dubai banks, reaching $512.7 million in Q1 2026, compared with $478.1 million in Q1 2025.
Dubai’s real estate sector delivered a strong performance, with aggregate net earnings rising 38.3% YoY to $2.3 billion in Q1 2026, compared with $1.7 billion in Q1 2025.
Emaar Properties led the sector with net profits of $1.4 billion, a 34.7% YoY increase from $1.0 billion in Q1 2025. Kamco Invest said the company’s performance was supported by sustained real estate demand in the UAE, successful project launches and total property sales of $6.1 billion during the quarter.
Emaar Development also reported a 52.4% YoY rise in net profit to $795.7 million, compared with $522.3 million in Q1 2025. Tecom Group’s net earnings increased 11.8% YoY to $109.8 million.
The utilities sector in Dubai also reported strong growth, with total net profits rising 52% YoY to $307.9 million, compared with $202.5 million in Q1 2025.
DEWA reported a 74.2% increase in net profit to $230 million in Q1 2026, up from $132.2 million in the same period last year.
Empower also reported higher earnings, with aggregate net profit rising 44.8% YoY to $56.4 million. However, National Central Cooling Company recorded a 32.3% YoY decline in net profit to $21.3 million during the same period.