Aggregate net profits for Bahrain-listed companies remained largely steady during the second quarter of 2026, dropping just 0.4 per cent to $572.2 million compared to $574.4m in Q2-2025.
According to a report by Kamco Invest, first-half (H1) performance mirrored this stability, recording a marginal 0.2pc decline to $1.14 billion.
Meanwhile, total revenues for listed firms posted robust top-line growth, expanding 8.9pc year-on-year (YoY) and 8.5pc quarter-on-quarter (QoQ) to $4.7bn in Q2 2026. Despite stable top-level totals, underlying quarterly earnings saw widespread contractions, with 12 out of 14 sectors recording YoY profit drops.
The banking sector remained the largest overall earnings contributor despite softer numbers. Q2 net profits slipped 1.3pc YoY to $277m, while H1 profits fell 20.5pc to $531.3m, weighed down by losses such as United Gulf Holding Company’s $11.7m net loss.
Bucking the trend, Al Salam Bank surged 23.5pc in H1 to $122.4m, while BBK gained 10.2pc to $112.8m, boosted by core revenue growth and pre-emptive acquisitions of high-yielding fixed-income instruments, including a 14.1pc expansion in sukuk portfolios to $5.85bn.
The materials sector, comprising solely of Alba, surged over 2.6 times in Q2-2026 to reach $172.1m, up from $65.1m in Q2 2025.
On a H1 basis, net profits spiked 227.4pc YoY to $370.6m. The stellar performance was propelled by surging global aluminium prices and supply market deficits, which successfully offset lower local production and sales volumes.
In telecommunications, Q2 net earnings rose to $52.3m compared to $49.1m in Q2 2025. Sector giant Beyon grew 6.9pc to $48.6m, underpinned by operational efficiencies and stable quarterly revenues of BD125.8m ($333.7m), while Zain Bahrain gained 1.5pc to hit $3.7m. However, overall sector H1 profits slipped 4.5pc to $95.7m due to a softer initial quarter for Beyon.
Meanwhile, the diversified financials sector saw net profits decrease 8.2pc YoY in Q2 to $39.6m, pulling H1 earnings down 1.5pc to $76.5m.
The quarterly dip was heavily impacted by Esterad, which reported a $6.5m net loss compared to a profit of $2.8m in Q2 2025.
Looking at the GCC as a whole, aggregate net profits for companies listed on regional exchanges hit a record $74.8bn in the second quarter of 2026, rising 31.3pc year-on-year, propelled by surging crude oil prices.
Quarter-on-quarter growth rose 10pc, driven by a 27pc increase in average Brent crude spot prices amid regional geopolitical tensions that offset lower export volumes.
Middle East shipping disruptions and the closure of the Strait of Hormuz pushed average Brent prices to $102.60 per barrel, up 51pc from Q2 2025.
Aggregate GCC revenue reached $381.6bn in Q2, up 17pc year-on-year, led by a 28.1pc top-line surge at state oil giant Saudi Aramco. Excluding Aramco, regional revenues grew 11.4pc, while first-half aggregate net profits grew 23.1pc to $142.81bn.
State oil giant Saudi Aramco posted a 42pc year-on-year jump in Q2 net profit to $32.3bn, backed by a 19pc revenue increase.
Higher realised crude prices of $108.10 per barrel, up from $66.70 in Q2 2025, helped offset reduced overall sales volumes.
The broader energy sector saw total profits surge 41.6pc to $36.2bn, with 20 out of 31 listed energy firms reporting higher earnings.
Meanwhile, regional listed banks achieved record Q2 profits of $17.8bn, supported by strong non-interest income growth as total banking revenues grew 2.4pc to $36.2bn. Omani banks led performance with a 9.9pc profit growth, while UAE, Saudi, and Kuwaiti lenders posted gains around 8pc. Bahrain was the sole regional market to report a slight drop in banking net income for the quarter.
Across markets, Kuwait recorded the largest percentage surge, with net profits nearly doubling to $3.1bn primarily due to comparison against Agility’s loss-making Q2 2025 earnings from discontinued operations.
Double-digit profit expansion was also registered in Saudi Arabia, Abu Dhabi, and Oman, while Dubai grew 4.9pc. Conversely, Qatari corporate earnings contracted by 20pc year-on-year, as heavyweight sectors like real estate, materials, and transportation expanded, while utilities, retail, and media faced profit squeezes or wider losses.
avinash@gdnmedia.bh
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