Al Ansari Financial Services reported a 29% decline in net profit after tax for the first quarter of 2026, as geopolitical tensions and softer tourism activity weighed on parts of its business despite continued growth in operating income.
The Dubai-listed financial services group posted net profit of Dh77 million for the three months to March, compared with the same period last year. The company said earnings were affected by lower-than-expected transaction volumes in certain segments, rising competition from fintech firms and higher finance costs linked to ongoing expansion efforts.
Operating income, however, increased 9% year-on-year to Dh321 million, reflecting stable demand across the group’s core services and the resilience of its diversified business model.
The company said regional travel and tourism activity remained subdued during much of the quarter due to geopolitical uncertainty, though conditions began to improve towards the end of the period. Al Ansari noted that its services, many of which are considered essential for individuals and businesses, helped support overall operational stability despite the more cautious environment.
The group operates a network of 441 branches across the UAE, Bahrain, Kuwait and India as of the end of March. Its portfolio includes subsidiaries such as Al Ansari Exchange, cash management business CashTrans and business-focused remittance provider Blue Remit.
Al Ansari maintained what it described as a “capex-light” operating model during the quarter, with capital expenditure amounting to around 2.1% of operating income. The group also reported strong cash generation, with EBITDA-to-cash conversion reaching 95%, supporting its liquidity position.
Group Chief Executive Rashed A. Al Ansari said the company continued to benefit from strong customer demand across its core offerings despite challenging market conditions.
He added that digitisation remains central to the company’s long-term growth strategy, with increasing adoption of digital remittance channels and continued investment in online platforms helping improve customer convenience and operational efficiency.
Deputy Group Chief Executive Mohammad Bitar said the group’s broad regional footprint and diversified operations continued to support performance across most business lines. He noted that the company remains focused on improving operational efficiency, expanding remittance corridors and strengthening both digital and physical infrastructure.
The results come as financial services companies across the Gulf navigate shifting consumer trends, increasing digital competition and changing regional travel patterns. Analysts say firms with established branch networks and expanding digital platforms are likely to remain better positioned to manage evolving market conditions.
Al Ansari said it expects operating conditions to gradually improve if regional tourism and travel activity continues to recover over the coming quarters.
