Dubai-listed Islamic insurer Salama opened 2026 with a sharp rebound in earnings, signaling that its restructuring efforts and recent capital injection are beginning to reshape the company’s financial footing.
The insurer posted a first-quarter net profit of AED 14 million ($3.8 million), a dramatic leap from AED 500,000 recorded during the same period a year earlier. The figure also surpassed the company’s entire full-year 2025 profit of AED 11 million, underlining the scale of the recovery.
A major factor behind the turnaround was the successful completion of Salama’s capital raise, which significantly strengthened its balance sheet and restored confidence in its regulatory standing. The company’s solvency ratio climbed to 159% after the fundraising exercise, up from 76% at the end of 2025.
While insurance revenue slipped to AED 229.5 million from AED 256.4 million in the first quarter of last year, the decline reflected a strategic shift rather than weakening demand. The company said it is prioritizing underwriting discipline and sustainable profitability instead of chasing aggressive volume growth.
Group CEO Mohamed Ali Bouabane described the latest quarter as evidence that the company’s transformation strategy is beginning to deliver measurable results. He said the insurer is now focused on maintaining stable underwriting performance, reinforcing its market position and building a stronger long-term earnings base for shareholders and policyholders alike.
The latest numbers mark one of the clearest signs yet that Salama’s recovery campaign is moving beyond stabilization and into growth mode.
