2PointZero posts Dh2.3 bln Q1 profit as mega-merger lifts revenue to Dh9.9 bln

05/05/2026 04:03 AST

Abu Dhabi-based 2PointZero Group reported a net profit of Dh2.3 billion for the first quarter of 2026, marking its first full quarter of results following its mega-merger and underscoring the scale of the enlarged group amid volatile global conditions.

The ADX-listed investment holding company posted revenue of Dh9.9 billion for the three months ended March, a sharp increase driven largely by the consolidation of Tendam, Ghitha Holding and 2PointZero's existing portfolio. Adjusted EBITDA, excluding fair-value movements and one-off items, rose to Dh2.5 billion, compared with Dh0.5 billion a year earlier.

The reported group net profit included Dh1.1 billion in unrealised revaluation gains linked to underlying investments, while operating profit surged on the back of higher scale and integration benefits across its businesses. Gross profit margin for the quarter stood at 30%, reflecting continued profitability across core verticals.

Commenting on the results, chief executive Samia Bouazza said the performance reflected the group's long-term approach to capital allocation rather than short-term results. "We don't build for a single quarter; we build for strong performance across cycles," she said, noting that the period was shaped by geopolitical uncertainty that required deliberate business continuity decisions across the group.

Beyond financial performance, the quarter was marked by significant portfolio activity. The group completed the acquisition of a 60.8% majority stake in Italy-based ISEM Packaging Group for Dh704 million, adding packaging as a sixth consumer vertical. It also participated in the Series G fundraising round of fitness and health technology firm WHOOP.

In energy infrastructure, subsidiary ePointZero signed an agreement to acquire US-based Traverse Midstream Partners for $2.25 billion, giving the group exposure to North American midstream assets, including stakes in the Rover Pipeline and Ohio River System. The deal represents a major expansion into cash-generative energy infrastructure outside the region.

As of March 31, the group reported total assets of Dh135 billion, supported by a cash position of Dh9.5 billion and a debt-to-equity ratio of 0.31. Its investment portfolio was valued at Dh58.7 billion, compared with an invested amount of Dh48 billion.

The company said it continued to advance digital transformation initiatives across its portfolio, including increased use of artificial intelligence within operations. AI-based co-workers now account for 7% of the group's workforce, operating alongside employees in what it describes as a hybrid organisational structure.

Looking ahead, Bouazza said the focus for the remainder of 2026 would remain on long-term value creation and compounding returns for shareholders, as the group continues to integrate its expanded portfolio across energy and consumer sectors.

Khaleej Times