TECOM Group Posts 12% Increase in Net Profit in First Quarter of 2026

TECOM Group PJSC, a Dubai-based developer and operator of specialized business districts, reported a 12% year-on-year increase in recurring net profit to AED403 million in the first quarter of 2026.

According to its report, revenue rose 11% year-on-year to AED755 million, driven by portfolio expansion, higher occupancy, and improved rental rates. 

The group also said the results reflected higher demand across its business districts and growth in its commercial and industrial portfolios.

Meanwhile, earnings before interest, taxes, depreciation, and amortization (EBITDA) increased 13% to AED610 million, with an 81% margin. Funds from operations grew 14% to AED549 million.

Occupancy across the commercial and industrial portfolios increased by 3% to 98%, while customer retention remained strong at 94% for commercial assets and 99% for industrial assets.

“Our first quarter performance reflects the resilience of the Group’s business model, the diversification of our revenue base across our business segments, and our operational efficiency,” Abdulla Belhoul, Chief Executive Officer of TECOM Group, said. “Our performance indicators, including a weighted average lease term (WALT) of 8.8 years and occupancy rates of 98% across our commercial and industrial assets, underscore strong demand for our business districts, the quality of our portfolio, and our ability to achieve long-term sustainable growth.”

Operational highlights for the quarter showed continued expansion across TECOM’s education, science, media, and industrial clusters. Dubai Media City marked its 25th anniversary, while Dubai Science Park marked 20 years of operations.

Furthermore, student enrollment across Dubai International Academic City and Dubai Knowledge Park rose to more than 38,500 in the 2024–25 academic year, up 15% from the previous year.

New developments also included a state-of-the-art facility for ALAS Emirates Ready Mix, a UAE-based ready-mix concrete supplier, in Dubai Industrial City, and a new agri and food laboratory for AmSpec Group, a global, independent testing, inspection, and certification company, at Dubai Science Park.