EMSTEEL Q3 Profit Nearly Doubles to $51.8M on Cement Margin Gain
Revenue rose 15% to $677.9 million and EBITDA climbed 35%, while nine-month net profit more than doubled even as quarterly operating cash flow fell 48%.
EMSTEEL's third-quarter net profit was $51.8 million (AED 190.2 million), up 99% year-on-year, on revenue of $677.9 million (AED 2.49 billion), a 15% increase. The Abu Dhabi-based steel and building materials producer reported the figures on Thursday.
EBITDA rose 35% to $103.7 million (AED 381 million), lifting the EBITDA margin 2.2 percentage points to 15.3%. Net profit margin was 7.6%, against 4.4% a year earlier.
Steel, the larger division, posted revenue of $609.4 million (AED 2.24 billion), up 15%, and EBITDA of $83.3 million (AED 306 million), up 34%, for a 13.7% margin.
Cement revenue was $68.6 million (AED 252 million). EBITDA came to $20.4 million (AED 75 million), up 44%, and the margin widened to 29.7% from 23.3%.
Steel sales volumes fell 5% to 770,000 tonnes, which the company attributed mainly to export delivery disruptions affecting heavy sections and sheet piles. Higher average selling prices for finished steel products offset the lost tonnage. Cement product volumes rose 25% on domestic demand, while clinker volumes slipped 6%.
Cost pressure came from raw materials and logistics. Inventories bought earlier at lower prices were gradually replaced by material delivered through more expensive alternative shipping routes.
For the first nine months, revenue was $1.9 billion (AED 7.05 billion), up 9%. Net profit reached $204.4 million (AED 750.7 million), up 165%, and EBITDA $360 million (AED 1.32 billion), up 61%, at an 18.7% margin.
Cash generation moved the other way in the quarter. Net operating cash flow was $74.9 million (AED 275 million), down 48%, though the nine-month total of $257.2 million (AED 944.5 million) rose 27%. Cash and cash equivalents were $485.2 million (AED 1.78 billion) on September 30, up 53% from December 2025.
Group CEO Eng. Saeed Ghumran Al Remeithi said the company delivered strong results in a challenging market marked by geopolitical uncertainty, supply chain disruption and cost pressures. He credited rapid adaptation and operational discipline, saying it "demonstrates the resilience of our business and the strength of our integrated operating model."
demonstrates the resilience of our business and the strength of our integrated operating model.
EMSTEEL operates 14 plants in the UAE, with annual capacity of 3.5 million tonnes of steel and 4.6 million tonnes of cement. It sold its non-core Anabeeb pipes and bags businesses in December 2025, reducing reportable operating segments from three to two.
At a share price of $0.33 (AED 1.23), the company was valued at $2.3 billion (AED 8.43 billion) as of 9:30 am AST on Thursday. Al Remeithi ranked third in the Manufacturing & Industrials category of a 2026 sustainability leaders ranking and 42nd on a 2026 Top 100 CEOs ranking.
Cement is the smaller half of the group and the more profitable one per dirham of sales, contributing roughly a tenth of revenue and a fifth of EBITDA. Steel carries the volume risk, and the disrupted export routes show up in the cash line, where quarterly operating cash flow fell even as profit rose.
