What was Arabian Shield's net profit in Q1 2026?

Net profit was SAR 4.90 million, down 24.1% from the same quarter in 2025.

What caused the YoY profit decline for Arabian Shield?

The decline was primarily due to lower insurance revenues, higher insurance service expenses, and increased other operating expenses.

What was Arabian Shield's EPS in Q1 2026?

EPS was SAR 0.06, compared to SAR 0.08 in the same quarter last year.

Did Arabian Shield's profit improve compared to the previous quarter?

Yes, the company swung from a loss of SAR 10.92 million in Q4 2025 to a profit of SAR 4.90 million in Q1 2026.

What is Arabian Shield's share capital?

The authorized, issued, and fully paid share capital is SAR 798,152,950, consisting of 79,815,295 shares.

Arabian Shield Q1 2026 Net Profit SAR 4.9M, Down 24% YoY

Arabian Shield Cooperative Insurance Co. (8070) posted a net profit of SAR 4.90 million for Q1 2026, down 24.1% year-on-year from SAR 6.46 million, but a turnaround from a loss of SAR 10.92 million in Q4 2025. Insurance revenues declined 11.7% to SAR 398.40 million.

Arabian Shield Cooperative Insurance Co. (Tadawul: 8070) announced its interim financial results for the three months ended March 31, 2026. Net profit reached SAR 4.90 million, down 24.1% compared to SAR 6.46 million in the same quarter last year, but a significant improvement from a loss of SAR 10.92 million in the previous quarter.

Key Financial Results

Item	Current Quarter (SAR million)	Comparable Quarter 2025 (SAR million)	Change %
Insurance Revenues	398.40	451.04	(11.7%)
Net Profit	4.90	6.46	(24.1%)
Earnings Per Share (SAR)	0.06	0.08	(25%)

Highlights from the Statement

The company attributed the YoY profit decline to lower insurance revenues of SAR 52.64 million, increased insurance service expenses of SAR 6.47 million, and higher other operating expenses of SAR 3.93 million. These were partially offset by a 96% decrease in net reinsurance contract expenses (SAR 53.95 million) and a 30.8% increase in net investment income (SAR 6.06 million).

On a sequential basis, the profit turnaround was driven by an 89% drop in net reinsurance expenses, a 15% reduction in insurance service expenses, and a 145% surge in net investment income to SAR 25.74 million.

Future Guidance

No forward guidance was provided in the announcement.

Impact on the Stock

No immediate stock price reaction was reported. The company's share capital stands at SAR 798.15 million, divided into 79.82 million shares with a par value of SAR 10 each.

What This Means for Investors

Despite the YoY decline, the sequential swing from loss to profit signals improved operational efficiency and cost management. The sharp reduction in net reinsurance expenses suggests a possible restructuring of reinsurance arrangements. Investors should monitor whether revenue growth and margin improvement are sustainable.