RAK Ceramics Profit Rises 15.5% on UAE Demand
The UAE tile maker's third-quarter results were lifted by construction activity while sales in Saudi Arabia fell.
Updated on Nov. 6, 2026 in Economic Indicators
Live Poll
Do you think building material prices in your area are rising?
RAK Ceramics reported a 15.5 percent rise in third-quarter net profit after tax to Dh78 million, up from Dh67.5 million a year earlier. Revenue for the quarter ended September 30 rose 4.4 percent to Dh861.5 million.
Why it matters
Growth was driven by robust construction activity, project sales and slab demand in the UAE, where revenue from tiles and sanitaryware rose 32.5 percent to Dh313.8 million. Delays in SABER approvals cut Saudi Arabia revenue by 17.2 percent to Dh43 million.
Third-quarter net profit after tax rose 15.5% to Dh78 million from Dh67.5 million a year earlier, while revenue rose 4.4% to Dh861.5 million. Net debt stood at Dh1.59 billion at the end of September, up 4.7% from the end of June, and the net debt to EBITDA ratio was 2.56x.
The players
RAK Ceramics
A UAE-based manufacturer of ceramic tiles and sanitaryware, operating across the Middle East, India and Europe.
The details
Gross profit margin was 40.3%, compared with 40.5% a year earlier, and EBITDA rose 4.7% to Dh175.7 million. Nine-month revenue rose 0.7% to Dh2,445.1 million and nine-month net profit after tax rose 1% to Dh184.5 million.
Timeline
September 30, 2026: Third-quarter reporting period ended.
End of September 2026: Net debt reached Dh1.59 billion.
Second quarter of 2027: Expected completion of the greenfield tiles project in Yanbu, Saudi Arabia.
Market Landscape
Regulatory approval bottlenecks such as Saudi Arabia's SABER process can slow product deliveries even as regional construction demand stays strong. RAK Ceramics' results show the uneven effect of such delays across its Gulf, Indian and European markets.
Households and businesses tracking building material costs may see how regional construction demand and supply constraints shape the availability of tiles and sanitaryware. Consumers buying tiles in the UAE may find continued demand supporting supply in that market.
The takeaway
Construction demand and regulatory approvals can pull a regional manufacturer's results in opposite directions, so a single market's strength can mask weakness elsewhere. Watching a company's market-by-market revenue reveals more than its headline profit figure.
Further reading
Track more company and market figures in Economic Indicators.
Source note: This article includes information reported by Khaleej Times.
Live Poll
Do you think building material prices in your area are rising?
