Sabic back in black + a flurry of 1Q earnings

Earnings season is in full swing. More companies are out with their latest quarterly earnings, giving us a look into how ongoing geopolitical tension has impacted top and bottom lines across sectors.

Sabic

Saudi Basic Industries Corporation (Sabic) moved back into the black in 1Q 2026, posting a net income of SAR 13.2 mn after a SAR 1.2 bn net loss a year earlier, it said in a Tadawul disclosure. The turnaround was mainly driven by lower operating costs after last year’s restructuring, along with tighter spending on G&A and R&D. Revenue, however, slipped 10.7% y-o-y to SAR 26.2 bn on weaker volumes and prices.

The war’s effect was muted: Despite geopolitical uncertainty, the company’s Executive Vice President of Finance Salah Al Hareky told the Arabic press that the impact of the war was limited in the quarter, thanks to rerouting exports through Saudi Arabia’s west coast.

Some trimming here: Sabic has been pushing ahead with a multi-year effort to reshape its portfolio, slimming down its business, having agreed to sell its European petrochemicals and engineering thermoplastics units in an SAR 3.6 bn divestment. The transactions are expected to wrap this year.

Some growth there: In the medium term, Sabic is leaning into specialty chemicals and international expansion. Its Fujian project in China is now 98% complete, and it secured feedstock allocation to lift urea capacity by 54% to 7.4 mn tons annually, it said in its earnings release (pdf). It also recently signed an agreement with a Public Investment Fund-Pirelli joint venture to locally produce 3.5 mn tires per year.

A cautious but steady outlook: Looking ahead, Sabic is upbeat but measured on long-term demand, pointing to uneven recovery across markets. Capital spending is also being kept in check at USD 3.5-4 bn for the year as the company balances growth with financial discipline to recover from a tough 2025.

REMEMBER- Sabic just had a change in leadership, with Aramco veteran Faisal Al Faqeer (LinkedIn) having stepped into his new role as CEO at the start of this month, replacing Abdulrahman Al Fageeh.

Al Jouf Cement Company

Al Jouf Cement Company saw its net losses widen to SAR 206.6 mn in 1Q 2026 from SAR 27.7 mn a year earlier, it said in a Tadawul filing. The increase in losses was driven by lower sales, higher cost of sales, and a SAR 97.8 mn charge to reconcile material inventory discrepancies in clinker stock. Revenue fell 4.8% y-o-y to SAR 244.3 mn, as improved selling prices were weighed down by weaker volumes.

Modern Mills Company

Modern Mills Company’s net income was basically flat y-o-y in 1Q 2026, coming in at SAR 65.9 mn as higher operating and financing costs offset gains, it said in a Tadawul disclosure. Revenue rose 6.4% to SAR 281.2 mn, supported by higher sales volumes and a better product mix.

Arabian Pipes

Arabian Pipes Co. saw its net income drop 49.9% y-o-y to SAR 20.1 mn in 1Q 2026, according to a Tadawul disclosure. The company’s revenue declined by 21.8% y-o-y to SAR 194.6 mn during the same period, driven by shifts in the sales mix and adjustments to customer delivery schedules.

Americana Restaurants

F&B giant Americana Restaurants saw its bottom line rise 93.5% y-o-y to USD 63.2 mn in 1Q 2026, with its revenue rising 13.3% to USD 649.7 mn, according to its earnings release (pdf). The ADX- and Tadawul-listed company’s margin also improved 400 bps y-o-y to 9.7%.

Another busy quarter: Americana opened 10 stores and added seven Malak Al Tawouk locations to its portfolio in 1Q, bringing its total footprint to 2.7k restaurants across 12 markets.

Mouwasat Medical Services

Mouwasat Medical Services posted 2% y-o-y growth in its bottom line to SAR 201 mn last quarter. Revenues were up 9.1% y-o-y to SAR 833.8 mn, driven by higher inpatient occupancy, improved client contract terms, and the start of operations at Al Mouwasat Hospital in Yanbu Industrial City.