Saudi Energy Q1 Results: Revenue Up 9.4%, Net Profit Soars 89.3%.
RIYADH: Saudi Energy reported strong financial results for the first quarter ended March 31, with operating revenues increasing by 9.4 percent and net profit surging by 89.3 percent due to growth in the regulated asset base and improved operational efficiency.
Saudi Energy announced its Q1 financial results showing a rise in operating revenues by 9.4% and an increase of 89.3% in net profit, supported by strategic investments and improved operational execution.
Operating revenues for Q1 2026 amounted to SR21.3 billion compared with SR19.5 billion in the same period last year.
The growth was driven by higher regulated revenue requirements due to expansion in the transmission and distribution asset base, increasing electricity demand, and customer base growth reaching 11.6 million customers.
Total gross profit rose by 32.4% to SR3.8 billion with a gross profit margin expanding by 3.1 percentage points to 17.8%.
Operating profit increased by 35.1% to SR3.2 billion due to revenue growth and operational efficiency gains, with the operating margin rising by 2.8 percentage points to 14.9%.
EBITDA rose to SR9.0 billion, up 16.5% year on year, driven by efficiency improvements and a stronger revenue mix.
Net profit was at SR1.8 billion compared with SR968 million in Q1 last year, reflecting an increase of 89.3%.
The net profit margin rose to 8.6%, up 3.6 percentage points due to lower finance costs.
Saudi Energy CEO Khaled bin Salem Al-Ghamdi stated that electricity demand in the Kingdom is strong and continues to grow driven by various factors such as economic diversification, giga-project development, population growth, and a shift towards a diversified energy mix.
He added that the company plays an essential role in meeting this demand through infrastructure development, operational efficiency improvements, and customer service.
The company also announced cash dividends totaling SR2.9 billion for the 2025 fiscal year, reflecting its ability to generate stable cash flows.
SE maintained a strong financial position in Q1 with a balanced capital structure and diversified funding sources.
It successfully completed an inaugural issuance of unsecured sukuk worth $2.4 billion, enhancing access to global capital markets.
The firm also secured Shariah-compliant murabaha financing facilities worth SR16 billion to refinance existing debt under current arrangements.
SE continued to strengthen its position through strategic investments in Kraken and NAMI and established a dedicated subsidiary to acquire, develop, and manage unregulated business opportunities.
The company made notable progress in developing additional generation capacity, diversifying the energy mix, and strengthening supply reliability.
Total generation capacity rose to 56.9GW with improvements in plant availability reaching 79.6%.
SE signed power purchase agreements for projects including a 2.3GW Rabigh 2 Independent Power Plant expansion project.
It also commissioned renewable energy capacity of 14.4GW and battery energy storage systems with a total capacity of 8GW-hours, contributing to grid stability and flexibility.
The company expanded its transmission network and distribution network while connecting new customers, bringing the total customer base to 11.6 million.
Operating revenues for Q1 2026 amounted to SR21.3 billion compared with SR19.5 billion in the same period last year.
The growth was driven by higher regulated revenue requirements due to expansion in the transmission and distribution asset base, increasing electricity demand, and customer base growth reaching 11.6 million customers.
Total gross profit rose by 32.4% to SR3.8 billion with a gross profit margin expanding by 3.1 percentage points to 17.8%.
Operating profit increased by 35.1% to SR3.2 billion due to revenue growth and operational efficiency gains, with the operating margin rising by 2.8 percentage points to 14.9%.
EBITDA rose to SR9.0 billion, up 16.5% year on year, driven by efficiency improvements and a stronger revenue mix.
Net profit was at SR1.8 billion compared with SR968 million in Q1 last year, reflecting an increase of 89.3%.
The net profit margin rose to 8.6%, up 3.6 percentage points due to lower finance costs.
Saudi Energy CEO Khaled bin Salem Al-Ghamdi stated that electricity demand in the Kingdom is strong and continues to grow driven by various factors such as economic diversification, giga-project development, population growth, and a shift towards a diversified energy mix.
He added that the company plays an essential role in meeting this demand through infrastructure development, operational efficiency improvements, and customer service.
The company also announced cash dividends totaling SR2.9 billion for the 2025 fiscal year, reflecting its ability to generate stable cash flows.
SE maintained a strong financial position in Q1 with a balanced capital structure and diversified funding sources.
It successfully completed an inaugural issuance of unsecured sukuk worth $2.4 billion, enhancing access to global capital markets.
The firm also secured Shariah-compliant murabaha financing facilities worth SR16 billion to refinance existing debt under current arrangements.
SE continued to strengthen its position through strategic investments in Kraken and NAMI and established a dedicated subsidiary to acquire, develop, and manage unregulated business opportunities.
The company made notable progress in developing additional generation capacity, diversifying the energy mix, and strengthening supply reliability.
Total generation capacity rose to 56.9GW with improvements in plant availability reaching 79.6%.
SE signed power purchase agreements for projects including a 2.3GW Rabigh 2 Independent Power Plant expansion project.
It also commissioned renewable energy capacity of 14.4GW and battery energy storage systems with a total capacity of 8GW-hours, contributing to grid stability and flexibility.
The company expanded its transmission network and distribution network while connecting new customers, bringing the total customer base to 11.6 million.
