Dubai: ALEC Holdings PJSC (ALEC) announced today its financial results for the third quarter (Q3) and nine months (9M) ended 30 September 2025, showcasing a significant increase in net profit and revenue. Following a high-profile listing on the DFM, ALEC's results reflect continued execution against a high-quality backlog, disciplined project selection, and operating leverage across the business.
According to Emirates News Agency, ALEC experienced a sharp acceleration in top-line growth during the first nine months of 2025, with revenue rising 66% year-on-year (YoY) to AED 8.9 billion. This growth was driven by the effective conversion of its substantial backlog and disciplined execution across key sectors, notably hotels and data centres.
The momentum intensified in Q3, with revenue surging 82% YoY to AED 3.5 billion. This increase reflects strong progress across both the UAE and Saudi Arabia. The Building and Construction segment led the way, contributing nearly 48% of total revenue. The 9M revenue for this segment increased 77% YoY to AED 4.8 billion, with Q3 revenue more than doubling to nearly AED 2.0 billion.
The Energy Solutions segment, representing 32% of revenue, saw a 75% YoY increase in 9M to AED 3.2 billion, with Q3 revenue up 82% YoY to AED 1.2 billion. This growth occurred as the Group deepened its footprint in major energy infrastructure projects. Related Businesses, including fit-out, MEP, data centre solutions, and modular construction, generated AED 2.0 billion in revenue in 9M, growing 45% YoY, with Q3 revenue up 62% YoY to AED 858 million.
On profitability, ALEC delivered a 56% YoY increase in gross profit to AED 859 million during the first nine months of 2025. Gross margins remained healthy at 9.6%, with a slight contraction from 10.2% in the prior-year period. This change reflects a shift in revenue mix, particularly a comparatively lower contribution from the higher-margin Related Businesses segment. In Q3, gross profit rose 65% YoY to AED 323 million, with a gross margin of 9.1%.
EBITDA rose 83% YoY in 9M to AED 706 million, with the EBITDA margin expanding to 7.9%. This result is attributed to strong operating leverage, tight cost control, and prudent financial management, even as the company continues to invest in internal capability-building. In Q3, EBITDA increased 88% to AED 277 million, equating to a 7.8% margin.
Net profit more than doubled, growing 116% YoY to AED 432 million in 9M, with the net margin expanding from 3.7% to 4.8%. Q3 alone saw net profit surge 172% YoY to AED 193 million. These gains reflect a combination of robust project delivery, operational efficiencies, and effective working capital and finance cost management.
Barry Lewis, Chief Executive Officer of ALEC Holdings, commented on the company's sustained strong performance in the first nine months of 2025, emphasizing the strength of ALEC's integrated platform and focused strategy. He highlighted the execution of a high-quality backlog with discipline while expanding in sectors such as energy infrastructure and data centres.
Looking ahead, ALEC anticipates a healthy pipeline of mega and nationally critical projects moving from design into execution. The company sees a multi-year runway for data centre growth in the UAE and Saudi Arabia, driven by national AI strategies and recent hyperscale announcements. ALEC positions itself as the go-to partner for hyperscale and AI data-centre projects in the region, supported by ongoing work on Phase 1 of Stargate in Abu Dhabi.