Aamal Company reported a slight increase in gross profit for the first half of 2026, alongside declines in net profit and total revenue, amid ongoing challenges in its operating environment.

The Qatar-based conglomerate posted a gross profit of QR262.1 million for the six-month period ending June 30, 2026, marking a marginal 0.1 percent rise from QR261.8 million in the same period last year. However, total revenue fell by 1.9 percent to QR1.05 billion, while net profit attributable to equity holders declined by 12.9 percent to QR192.7 million. Earnings per share decreased to QR0.031 from QR0.035 year-on-year. The company noted no fair value gains on investment properties during the period, in contrast to gains recorded previously. Capital expenditure increased by 35.6 percent to QR18.7 million, and gearing ratios rose to 9.77 percent from 2.93 percent.

Sheikh Mohamed bin Faisal Al Thani, Vice Chairman and Managing Director of Aamal, attributed the overall performance to solid operational resilience and disciplined cost and capital management across the company’s diversified portfolio. He emphasized the group’s strategic focus on balancing high-quality business units that can sustain value through varying market cycles and highlighted ongoing efforts to evaluate investment opportunities, particularly in healthcare and industrial sectors.

Segment performance was mixed. The Industrial Manufacturing division saw revenues increase by 2.6 percent to QR94.5 million but experienced a 23.3 percent drop in net profit, attributed to slower project deliveries at Senyar Industries, margin pressures, and increased operating costs. Subsidiaries within the segment showed varied results: Aamal ReadyMix recorded modest revenue growth but faced profitability challenges due to margin compression; Aamal Cement improved profitability through raw material optimization and supplier rebates; Aamal Maritime’s results were impacted by scheduled dry docking of a vessel, leading to reduced revenue and higher costs. Advance Pipes and Casts (APC) continued its turnaround with significant revenue growth, aided by its Saudi Arabian operations and the launch of an AI-driven maintenance hub. Frijns also increased contributions driven by project wins from late 2025.

The Trading and Distribution segment recorded a 3.9 percent revenue decline to QR727.4 million and a 7.5 percent fall in net profit to QR49.6 million. The downturn primarily reflected the healthcare sector’s ongoing shift from branded to generic medicines, which impacted Ebn Sina Medical. Nevertheless, Ebn Sina maintained stable gross profit and announced plans to explore acquisition opportunities involving a Qatar-based pharmaceutical manufacturer to expand its domestic production exposure. Aamal Medical posted strong revenue and profit growth due to increased demand for medical equipment, while Aamal Trading experienced softer results amid subdued market conditions. The company expects evolving healthcare procurement policies to continue shaping the segment’s product mix but anticipates sustained demand for medicines and supplies.

The Property segment reported a 3.5 percent increase in revenue to QR176 million but a 6.9 percent decline in net profit to QR129.2 million. Revenue growth was driven by the addition of Aamal Tower to the real estate portfolio, supported by a strong performance from Aamal Real Estate overall. Profitability was weighed down by higher financing costs related to the tower’s acquisition and softer contributions from City Center Doha, which saw a slight reduction in occupancy and contract renewal delays. The company expects stronger leasing activity in the second half of the year to bolster rental income.

Within Managed Services, revenue increased by 6 percent to QR85.5 million, while net profit declined 6.7 percent to QR9 million. Growth was largely propelled by Maintenance Management Solutions (MMS), which benefited from new project wins. Conversely, the Family Entertainment Centre experienced lower footfall and higher depreciation costs, impacting profitability. Aamal Services demonstrated resilience despite challenging market conditions, supported by improved gross margins.

Chief Executive Officer Rashid bin Ali Al Mansoori noted that regional geopolitical tensions contributed to increased logistics and import costs, while changes in healthcare procurement—including a move toward generic medicines—affected the Trading and Distribution segment. Despite these headwinds causing year-on-year declines in revenue and net profit, Al Mansoori underscored the company’s diversified business model and positive performances across several segments, including real estate, maintenance services, medical equipment, and industrial manufacturing.

Looking ahead, Aamal plans to maintain its focus on operational efficiency, disciplined execution, and growth, while assessing investment opportunities in healthcare and industrial sectors to strengthen its portfolio and enhance long-term shareholder value amid ongoing geopolitical and economic uncertainties.