Aamal Company’s 9M26 revenue declined 1.4% y-o-y to QAR1,542.7m, while operating profit fell 1.6% to QAR265.0m. Growth in Property and Industrial Manufacturing partly offset weaker Trading and Distribution, but higher financing costs and lower equity-accounted earnings reduced attributable profit by 12.2% to QAR287.2m. We have increased our FY26 revenue forecast and leave FY27 broadly unchanged, while lowering operating margin assumptions and reducing PBT forecasts by c 23% in both years. Our revised operating margins of 17.1% and 17.9% remain within Aamal’s five-year historical range, supporting the case for operating resilience despite regional disruption. Our revised DCF valuation is QAR0.76/share, implying c 16% upside to the reference share price of QAR0.66.

Aamal’s H126 results showed resilience as revenue declined 1.9% y-o-y to QAR1,050.2m and gross profit was broadly flat at QAR262.1m. Revenue momentum improved materially in Q2 after the weaker first quarter. Operating profit fell 6.6% to QAR174.5m impacted by pressure in Trading and Distribution. Higher finance costs, lower contributions from equity-accounted investees and increased impairment allowances and a 50.5% y-o-y increase in head-office costs to QAR20.2m weighed on profitability, while operating cash flow declined to QAR73.2m from QAR287.1m, driven mainly by a receivables outflow. Attributable net profit declined 12.9% to QAR192.7m, with EPS of QAR0.031as earnings conversion remained soft.

Aamal Company’s Q126 results showed a softer start to FY26, with pressure concentrated in Trading and Distribution rather than across the wider portfolio. Group revenue declined 19.9% y-o-y to QAR464.8m and attributable net profit fell 11.0% to QAR90.7m, mainly reflecting weaker healthcare-related demand due to a shift towards generic medicines and a more competitive pharmaceutical market weighed on performance. We have reduced our FY26 and FY27 estimates to reflect this weaker trading backdrop, but the core investment case remains intact. Revenue increased across Industrial Manufacturing, Property and Managed Services in Q126, underlining the resilience of Aamal’s diversified model. Our updated valuation is QAR1.08/share, c 42% above the current share price.