TECOM nine-month recurring net profit rises 10% to AED 1.2 billion as occupancy holds at 97%

TECOM Group PJSC (DFM: TECOM), owner of 10 specialised business districts in Dubai, reported a 10% rise in nine-month recurring net profit to AED 1,221 million, on revenue up 11% to AED 2,349 million, the company said on Thursday.

The results cover the nine months and the third quarter ended Wednesday, September 30, 2026. Nine-month recurring net profit compares with AED 1,111 million a year earlier, and revenue with AED 2,113 million.

TECOM linked the revenue growth to occupancy of 97%, growth across all leasing segments and the expansion of its asset portfolio.

Nine-month EBITDA rose 11% to AED 1,850 million from AED 1,671 million, with a margin of 79%, down 0.3 percentage points on the same period of 2025.

Funds from operations rose 11% to AED 1.6 billion over the nine months.

Third-quarter revenue grew 12% to AED 809 million, against AED 724 million in the third quarter of 2025.

Quarterly EBITDA rose 11% to AED 627 million from AED 563 million, a margin of 78%.

Quarterly recurring net profit climbed 12% to AED 417 million, compared with AED 373 million a year earlier.

Land lease was the main driver in the quarter: revenue from that portfolio expanded 35% to AED 202 million. Commercial portfolio revenue rose 6% to AED 390 million, and industrial revenue rose 11% to AED 125 million.

Over the nine months, land lease revenue rose 26% to AED 563 million, which TECOM attributed to continued demand and the contribution of expansion.

Commercial assets generated 10% more revenue, at AED 1.2 billion, supported by demand for Grade-A offices and an increase in leasable area. Occupancy in the commercial segment was 95% and customer retention 93%.

Industrial revenue grew 13% to AED 365 million, with occupancy at 98% and customer retention at 97%. TECOM cited demand from manufacturing and logistics customers.

Across the group, customer retention rose to 95% from 93% in the same period of 2025. Combined commercial and industrial occupancy was 97% in the third quarter.

Abdulla Belhoul, chief executive officer of TECOM Group, attributed the performance to the strength of the business model and a diversified Grade-A commercial and industrial portfolio.

He said the expansion of the industrial land lease portfolio contributed to faster third-quarter revenue growth, and that TECOM would continue to “strengthen our asset portfolio” across key sectors and future-focused industries.

TECOM also reported several operational items for the quarter:

• It earned Gold in the 2026 European Public Real Estate Association (EPRA) Best Practices Recommendations Awards and Sustainability Best Practices Recommendations Awards, which it said makes it the only DFM-listed company to achieve the distinction.
• Dubai Internet City entered a partnership with Luxinnovation, Luxembourg’s national innovation agency.
• Dubai Science Park held the DSP Leadership Network Forum with Emirates Drug Establishment on pharmaceutical resilience and innovation.
• Talal Group broke ground on a Central Distribution Centre at Dubai Industrial City.