TECOM Group (TECOM) Q4 2025 earnings summary

Executive summary

• Achieved fourth consecutive year of record growth, with 45% revenue growth and 105% increase in recurring net profit since 2022.

• Revenue increased by 19% year-over-year to AED 2,858 million, driven by high occupancy, improved rental rates, and strategic acquisitions.

• Net profit surged 70% to AED 2,086 million, supported by robust operations and a significant reversal of prior impairments.

• Total investments in development projects and strategic acquisitions reached AED 5.5 billion since IPO.

• Proposed a 10% increase in dividends for H2 2025 and FY2026, with AED 2.4 billion paid since IPO.

Financial highlights

• FY 2025 revenue rose 19% year-over-year to AED 2,858 million; EBITDA up 20% to AED 2,230 million with a margin of 78%.

• Net profit: AED 2,086.1 million (2024: AED 1,228.5 million).

• Recurring net profit (excluding one-off impairment reversal) increased 20% to AED 1,478 million.

• Portfolio fair value increased 23.1% YoY to AED 34.5 billion, up 78% since IPO.

• Funds from operations (FFO) grew 19% to AED 1,960 million; recurring free cash flow reached AED 1,698 million.

Outlook and guidance

• Board proposed a cash dividend of AED 440 million for H2 2025 and expects AED 880 million for 2026, a 10% increase.

• Positive outlook for commercial and industrial real estate markets in 2025, supported by strong liquidity and profitability.

• Priorities for 2026 include optimizing core business, refining pricing, expanding business intelligence, and launching new products.

• Focus remains on operational excellence, digital integration, service innovation, and ESG commitments.