Emaar EC incurs losses of SAR 444M in 9M 2026, SAR 241M in Q3

Emaar The Economic City’s (Emaar EC) net loss expanded to SAR 444 million for the first nine months of 2026, from SAR 351 million in the same period last year.

The loss deepened due to a 37% decline in revenue, driven by a SAR 242 million fall in revenue from projects recognized using the percentage-of-completion method and a SAR 92 million decline in revenue from projects recognized at a point in time.

This came despite a SAR 50 million increase in operating revenue, driven by higher revenue from city operations, rentals and student enrollment at a subsidiary operating in the education sector, as well as a SAR 32 million increase in revenue from residential unit and land sales.

Furthermore, Emaar EC reported a SAR 54 million increase in legal provisions, while the same period last year included a one-off exceptional gain of SAR 243 million from the write-off of long-term financing costs following the completion of a restructuring of bank debt at lower interest rates.

This was partially offset by a SAR 206 million decline in financing costs, following the restructuring of long-term commercial debt at lower interest rates and the conversion of a shareholder loan into equity in 2025.

In addition, the company also reported a SAR 22 million decline in other general and administrative expenses and a lower share of losses from an associate accounted for under the equity method, as the same period last year included a one-off adjustment of SAR 49 million related to estimated losses on a project damaged by a fire in June 2025.

The company also reported a SAR 159 million increase in other operating revenue, driven by a gain on the sale of investment properties.

In Q3 2026, Emaar EC widened net losses to SAR 241 million from SAR 135 million in Q3 2025.

Sequentially, losses widened from SAR 22 million in Q2 2026.

Shareholders' equity, no minority interest, rose to SAR 8.84 billion as of Sept. 30, 2026, from SAR 4.90 billion in the same period last year.

Accumulated losses stood at SAR 502 million by the end of Sept. 30, 2026, representing 5.69% of capital.

Accumulated losses reached SAR 292 million as of Sept. 30, 2025, accounting for 5.58% of capital.

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