Second consecutive profitable quarter as Takaful Insurance Service Result improves by AED 30.2 million.
Dubai, UAE, 6 October 2026 – Islamic Arab Insurance Co. (SALAMA) PJSC (DFM: SALAMA) reported profit after tax of AED 28.3 million in H1 2026, more than three times the AED 8.2 million reported in H1 2025. Q2 profit reached AED 14.3 million, compared with AED 7.9 million a year earlier, marking a second consecutive profitable quarter.
Core Takaful insurance performance also improved materially. The Group’s Takaful Insurance Service Result reached AED 28.3 million, representing an AED 30.2 million turnaround from a loss of AED 1.9 million in H1 2025. The improvement was driven by stronger underwriting discipline, portfolio optimisation, pricing actions and tighter expense management.
Takaful Insurance revenue was AED 469.7 million, down 8.9% year on year, reflecting management’s focus on underwriting quality and profitability over volume growth. With portfolio remediation substantially progressed, SALAMA is increasingly focused on disciplined growth across Property & Casualty, Life Wealth and Health, supported by broader distribution.
At 30 June 2026, SALAMA reported a solvency ratio of 154% and a solvency surplus of AED 111.6 million, comfortably above the regulatory requirement, following the capital actions completed during H1.
The Group also made progress towards rebuilding dividend capacity. Its combined gap to distributable reserves narrowed by AED 20.6 million, from AED 200.8 million to AED 180.2 million. Any future distributions remain subject to sustained performance, solvency, and it is subject to regulatory approval in accordance with regulatory requirements and shareholders approval.
The Group’s H1 2026 Shareholder Letter provides further information on financial performance, growth priorities, market position, risk management and the pathway towards restoring sustainable shareholder returns.