EMSTEEL on Wednesday reported first-quarter revenue of AED2.2 billion ($599.05 million), remaining broadly in line with the corresponding period in the prior year.

EMSTEEL reported EBITDA of AED483 million for Q1 2026, representing an 82 percent year-on-year (YoY) increase. EBITDA margin expanded to 22.3 percent, compared to 12.3 percent in Q1 2025, said a WAM news agency report.

The improvement was driven by a combination of factors, including lower raw material costs, ongoing optimiSation initiatives, a 3 percent YoY increase in average selling prices for finished steel products (and a 1 percent increase compared to Q4 2025), and disciplined cost control measures across the business.

Net profit for the period amounted to AED299 million ($81.42 million), reflecting a 246 percent YoY increase.

EMSTEEL’s steel division reported revenues of AED1.90 billion for Q1 and generated EBITDA of AED403 million, representing a 79 percent YoY increase.

EMSTEEL’s cement division recorded revenue of AED269 million in Q1 2026, representing a 31 percent YoY increase, with EBITDA of AED80 million, up 100 percent YoY.

On a like-for-like basis, excluding the Q1 2025 performance of the Pipes & Other segment, which was divested in December 2025, cement division’s EBITDA increased by 169 percent YoY.

In Q1, EMSTEEL recorded total steel sales volumes, comprising finished steel products and billets, of 768,000 tonnes, representing a 6 percent YoY decline. The decrease was partially attributable to a planned maintenance shutdown of a rolling mill in January 2026.

In contrast, cement and clinker sales volumes increased by 32 percent YoY, reaching 1.1 million tonnes, reflecting strong demand and improved operational output during the period.

Eng Saeed Ghumran Al Remeithi, Group Chief Executive Officer of EMSTEEL, said the company had delivered a strong start to 2026, with resilient revenues and significantly improved profitability driven by cost optimisation and operational efficiency.

"Our results reflect the strength of our integrated platform and our ability to adapt to evolving market dynamics while continuing to support the UAE’s industrial growth," he said.

He added: “In light of ongoing regional developments, we remain attentive to potential impacts on market conditions and supply chains. While the outlook continues to evolve, we are taking a measured and flexible approach, prioritising resilience, operational agility, and disciplined risk management to navigate uncertainty and support our customers and stakeholders.”