4.4 Million Dinars Net Profit for Al-Amaliya Energy

Al Amal Energy Company announced its financial results for the first half ended June 30, 2026, with net profit nearly doubling, rising by 96.6% year-on-year to KD 4.4 million. This reflects the full contribution of the expanded drilling fleet during the period and stable core operating margins.

Earnings before interest, taxes, depreciation, and amortization (EBITDA) increased by 28.3% year-on-year to KD 9 million, representing a margin of 49.8%, in line with the financial guidance provided by the company at the time of its listing. Additionally, earnings per share rose by 29.5% to 7.72 fils, compared to 5.96 fils in the same period of 2025.

Company revenues for the first half of 2026 grew by 34.4% to KD 18.1 million, up from KD 13.5 million in the corresponding period of 2025. EBITDA also rose by 28.3% to KD 9 million, compared to KD 7 million in the first half of 2025.

The Board of Directors recommended a first-half interim cash dividend of 3 fils per share for the first half of 2026, totaling approximately KD 1.7 million. This marks the company’s first interim cash distribution, reflecting its commitment to delivering sustainable returns to shareholders.

The contract backlog reached a record high of approximately KD 349 million, distributed roughly 61% to drilling services and 39% to oilfield services, providing clear revenue visibility for several years. Revenue growth of 34.4% year-on-year was primarily driven by the full six-month contribution of ten new rigs commissioned during 2025. The company operated 20 rigs throughout the period, compared to a partial contribution in the same period last year.

Operating cash flow increased by 48.1% year-on-year to KD 5.4 million, in line with profitability growth. The company invested KD 20.5 million during the period in fleet expansion and new oilfield service platforms, bringing total property, plant, and equipment to KD 142.7 million. The net debt-to-equity ratio improved from 1.65 times to 0.84 times year-on-year, with total equity exceeding KD 86 million, reflecting a stronger and more flexible capital structure.

During the period, 202 rig moves were executed, compared to 100 in the first half of 2025. The fleet maintained a utilization rate of 100%, with no health, safety, or environmental incidents recorded.

Commenting on the results, Sheikh Mubarak Al-Abdullah, Chairman of the Board of Al Amal Energy Company, said: “The first half of 2026 reflects the strength of the company’s performance, with net profit nearly doubling year-on-year and the contract backlog reaching a record high of approximately KD 349 million. In commitment to delivering sustainable returns to shareholders, the Board has recommended that the General Assembly approve the company’s first interim cash dividend of 3 fils per share. The company remains committed to operational excellence, creating added value for shareholders, and strengthening its position as a trusted national partner supporting Kuwait’s ambitions in the energy sector.”

For his part, Ahmed Al-Ajlan, Board Member and Chief Executive Officer, stated: “The first-half 2026 results confirm the scalability of our operational platform and the successful execution of our service line diversification strategy. Revenue grew by 34.4% year-on-year, and net profit increased by 96.6%, while the company invested KD 20.5 million in fleet expansion and new service lines. The contract backlog reached a record high of approximately KD 349 million, with oilfield services contributing 39% of total work, reflecting progress in our diversification strategy toward higher-value services. With the necessary financing secured to execute the contract backlog, the commissioning of seven rigs under development, and the launch of new service lines, the company is well-positioned to continue growth, focusing on delivering long-term value to national oil companies, our partners, and shareholders.”