Aldar Properties (ALDAR) Q1 2026 earnings summary

Executive summary

• Revenue increased 12% year-over-year to AED 8.7 billion, EBITDA rose 22% to AED 3.0 billion, and net profit after tax grew 20% to AED 2.3 billion, driven by development backlog recognition, resilient recurring income, and strong international demand.

• Group sales declined 25% YoY to AED 6.7 billion, with UAE sales at AED 5.9 billion, but backlog reached a record AED 72.1 billion, providing strong revenue visibility.

• Operations remained resilient despite regional tensions, with all assets operational and no material physical impact; proactive supply chain measures mitigated disruptions.

• Strong balance sheet and liquidity support strategic execution, with significant investments and asset acquisitions expanding the portfolio.

• Major asset contributions, hybrid note issuances, and joint ventures in Abu Dhabi and Dubai highlight ongoing expansion.

Financial highlights

• Gross profit margin improved to 38% (up 235bps YoY); EBITDA margin rose to 34% (up 268bps YoY); gross profit for Q1 2026 was AED 3.3 billion, up 19% YoY.

• Aldar Developments revenue: AED 6.5 billion (+14% YoY); EBITDA: AED 2.2 billion (+23% YoY); group sales: AED 6.7 billion.

• Aldar Investment revenue: AED 2.1 billion (+14% YoY); adjusted EBITDA: AED 905 million (+18% YoY); GAV AED 35.4 billion (+23% YoY).

• Retail adjusted EBITDA up 65% YoY to AED 228 million; industrial/logistics adjusted EBITDA up 157% YoY to AED 43 million.

• Hospitality and leisure adjusted EBITDA up 6% YoY to AED 98 million; education adjusted EBITDA up 8% YoY to AED 67 million.

Outlook and guidance

• Full-year 2026 guidance maintained, with group sales expected at AED 45–49 billion and adjusted EBITDA at AED 9.5–10.0 billion, supported by record backlog and resilient recurring income.

• Launch cadence will be disciplined, focusing on mid-market to premium products and adapting to evolving demand.

• Management will reassess and update guidance in Q2 as market conditions evolve.

• Significant capital commitments of AED 39.8 billion are planned for ongoing and future projects.

• Develop-to-hold pipeline expanded to AED 20.1 billion, supporting future earnings growth.