Gulf Union Alahlia swings to SAR 4.2M profit in Q1 2026

Gulf Union Alahlia Cooperative Insurance Co. recorded a net profit of SAR 4.2 million at the end of Q1 2026, against a loss of SAR 39.9 million recorded during Q1 2025.

The company reported an improvement in insurance service results, with losses narrowing to SAR 751,000 compared to losses of SAR 40.7 million in the same quarter last year, supported by a 15% decrease in insurance service expenses to SAR 232 million from SAR 272 million.

Reinsurance contract expenses also declined to SAR 10.4 million from SAR 16.6 million, a drop of 38%, while net investment income increased by 28% to SAR 11.7 million compared to SAR 9.2 million.

Similarly, operating expenses (OpEx) shrank by 43% to SAR 3.9 million from SAR 6.9 million.

On the other hand, insurance revenues fell 3% to SAR 241 million compared to SAR 248 million, due to lower sales during the quarter, which retreated 22% to SAR 196.3 million from SAR 252.7 million.

This was mainly driven by lower performance in key segments, including a 21% decline in health insurance sales to SAR 70.5 million and a 39% drop in motor insurance sales to SAR 69.6 million, while general insurance sales rose 17% to SAR 56.2 million.

Sequentially, Q1 net profit surged from SAR 1.12 million in Q4 2025.

Additional Information:

Total shareholders’ equity (with no minority interests) stood at SAR 573.14 million at the end of March 31, 2026, compared to SAR 591.83 million at the end of the same period last year.

The company added that accumulated losses reached SAR 42.7 million, representing 9% of the company’s capital.

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