EMSTEEL reports Dhs2.4 billion in Q2 revenue

EMSTEEL, one of the largest publicly traded steel and building materials manufacturers in the region, on Friday reported revenues of Dhs2.4 billion for the second quarter of 2026, an increase of 11 per cent compared to the corresponding period in the prior year.

The group reported EBITDA of AED457 million for the second quarter of 2026, representing a 67 per cent year-on-year (YoY) increase. EBITDA margin expanded to 19.1 per cent, compared to 12.8 percent in Q2 2025.

Net profit for the period amounted to Dhs262 million, reflecting a 157 per cent YoY increase.

EMSTEEL’s Steel division reported revenues of Dhs2.1 billion for the second quarter of 2026, a 9 percent YoY growth, and generated EBITDA of AED382 million, representing a 71 per cent YoY increase. Steel division EBITDA margin reached 18.2 per cent, compared to 11.6 per cent in Q2 2025.

The improvement was driven by disciplined SG&A cost control measures and a 10 per cent YoY increase in average selling prices for finished steel products.

EMSTEEL’s cement division recorded revenue of Dhs287 million in the second quarter of 2026, representing a 29 per cent YoY increase, with EBITDA of Dhs75 million, up 47 per cent YoY.

In Q2 2026, the cement division achieved an EBITDA margin of 26.1 per cent, up from 22.8 per cent last year. Cement division robust financial performance was supported by continued strong market demand and a 30 per cent YoY increase in average selling prices for cement products.

On a like-for-like basis, excluding the Q2 2025 performance of the Pipes & Other segment, which was divested in December 2025, cement division’s EBITDA increased by 89 per cent YoY.

In Q2, EMSTEEL recorded total steel sales volumes, comprising finished steel products and billets, of 806 thousand tonnes, remaining broadly in line with Q2 2025.

Cement and clinker sales volumes increased by 28 per cent YoY, reaching 1.1 million tonnes, reflecting continued strong demand for cement products during the period.

As of 30th June 2026, EMSTEEL maintained a robust net cash position of Dhs1,639 million, compared to Dhs1,165 million as of 31st December 2025 and Dhs1,297 million as of 31st March 2026.

The group’s revenue for H1 2026 increased by 6 per cent YoY, to Dhs4.6 billion, and EBITDA grew by 74 per cent compared to the same period last year, to Dhs941 million.

Eng. Saeed Ghumran Al Remeithi, Group Chief Executive Officer of EMSTEEL, said EMSTEEL delivered strong performance in the second quarter of 2026, reflecting the effectiveness of its disciplined commercial strategy, operational excellence, and continued focus on cost optimisation across the business.

While revenues grew by 11 per cent, our profitability improved significantly, with EBITDA increasing by 67 per cent YoY and margins expanding to 19.1 percent. These results demonstrate the strength of our integrated business model and our ability to create value in a dynamic market environment.”

He added, “As the UAE continues to invest in infrastructure, manufacturing, and sustainable development, EMSTEEL remains uniquely positioned to support this growth through reliable domestic supply, advanced high-strength steel solutions, and industry-leading sustainability initiatives. We will continue investing in innovation, operational excellence, and product development to meet the evolving needs of our customers while creating sustainable long-term value for all stakeholders.”

 WAM