Milaha (QNNS) Q1 2026 earnings summary

Executive summary

• Operating revenue for Q1 2026 rose 15% year-over-year to QR 874 million, but net profit attributable to equity holders declined 21% to QR 296.5 million, reflecting higher expenses and regional disruptions.

• Operating profit before impairments dropped 29% year-over-year, and segment results were mixed, with Offshore revenue up 25% but profit down 51%, while Maritime & Logistics saw a 15% revenue decrease and a sharp drop in net profit.

• Realignment of business segments and divestment of non-core assets, including the Hino dealership, support a long-term growth strategy.

• Regional conflict significantly disrupted operations, especially in Offshore and Maritime & Logistics, impacting revenue and increasing costs.

• Proactive cost controls and delayed non-essential spending were implemented, with a focus on growth and client support.

Financial highlights

• Operating revenue for Q1 2026 was QR 874 million, up from QR 759 million year-over-year.

• Operating profit declined to QR 150 million from QR 212 million year-over-year.

• Net profit attributable to equity holders was QR 296.5 million, down from QR 374.5 million in Q1 2025.

• Earnings per share was QR 0.26, down from QR 0.33 in Q1 2025.

• Dividends paid during the quarter amounted to QR 511.3 million.

Segment performance

• Maritime & Logistics: Revenue fell 15% to QR 154 million due to lower container shipping volumes and war-related disruptions; net profit dropped sharply.

• Offshore: Revenue grew 25% to QR 510 million, but profit dropped 51% due to war-related costs and reduced EPCIC margins.

• Gas & Petrochem: Revenue up to QR 63 million, but net profit declined due to loss of one-off items and JV divestment.

• Marine & Technical Services: Revenue rose to QR 95 million, mainly from dealership sale, but net profit fell due to bad debt provisions and war-related costs.

• Capital: Revenue down 7%, net profit down due to lower dividends and absence of prior year one-off gains.