Saudi Energy Company reported an 11.5% year-on-year increase in revenue to SAR87.2 billion ($23 billion) for the first nine months of 2026, while net profit rose 4.3% to SAR12.1 billion ($3 billion), supported by strategic investments, growth in its regulated asset base and continued operational improvements.

EBITDA increased 6.6% to SAR34.7 billion, while gross profit rose 6.8% to SAR18.9 billion and operating profit grew 4.7% to SAR16.9 billion. The results reflect higher required revenue associated with the expansion of the company's regulated asset base, increased project development and management activity, and growth in its customer base.

Eng. Khalid bin Salem AlGhamdi, CEO of Saudi Energy, said:

"Saudi Energy delivered solid results in the first nine months of 2026, supported by the growth of our regulated asset base through the disciplined execution of our investment program. We continued to meet growing electricity demand while improving generation availability, network reliability and operational efficiency, demonestrating our ability to deliver growth while maintaining service quality and sustainable performance.

"With 22 GWh of battery storage now energized, we achieved our 2026 target, supporting a more flexible grid and greater renewable integration.

"Looking ahead, our priorities are to invest with discipline, execute efficiently and deliver reliable service. Supported by our established regulatory framework and strong financial position, we will expand our network to serve growing demand while modernizing our energy infrastructure for a balanced energy mix and reliable power supply that contributes to the kingdom’s development objectives.

"I thank our employees, whose dedication is at the heart of our performance, as we provide safe, reliable and sustainable energy to the Kingdom and create long-term value for our shareholders.”

Financial performance and investment

In the third quarter of 2026, Saudi Energy recorded revenue of SAR35 billion, up 12.9% year on year, while EBITDA increased 4% to SAR13.3 billion. Quarterly net profit edged up 0.4% to SAR5.4 billion, supported by higher gross profit, lower expected credit loss provisions and increased contributions from equity-accounted investments.

Capital expenditure remained stable at SAR59.6 billion during the first nine months, excluding specified accruals and customer-funded transmission and distribution projects. Investments focused primarily on expanding the transmission network, developing battery energy storage systems, improving generation infrastructure and strengthening distribution networks.

The company's regulated asset base reached SAR278.8 billion as of 30 September 2026, an increase of 16.6% compared with the same period last year. This comprised SAR173.5 billion in transmission assets and SAR105.3 billion in distribution assets.

The expansion reflects the commissioning of completed capital projects, strengthening the company's regulated infrastructure and supporting future earnings growth.

Saudi Energy also secured approximately SAR64.4 billion in financing agreements during the period through sukuk, bilateral and syndicated facilities, and export credit agency-backed financing.

In July, the company signed a SAR15.8 billion Shariah-compliant Murabaha syndicated financing facility with domestic banks. It also established a cooperation agreement with Bpifrance Assurance Export in August, creating a financing framework of up to $3 billion to support electricity grid expansion, modernisation and strategic procurement.

Its credit ratings were reaffirmed by Fitch at A+, S&P at A+ and Moody's at Aa3, all with stable outlooks. Additionally, its S&P Global Corporate Sustainability Assessment score improved to 68 in August 2026, compared with 65 in 2025.

Generation capacity and energy storage

Saudi Energy continued expanding its generation capacity and electricity infrastructure to accommodate rising demand and support the Kingdom's evolving energy mix.

Peak electricity demand reached 79,045 MW, up 2.5% from the previous year's peak of 77,083 MW. Total generation capacity stood at 56.8 GW, while plant availability improved by one percentage point to 90.5%. Electricity generated by the company increased 4% to 198.2 TWh.

Through its developer arm, the Energy Infrastructure Consortium Company (EICC), Saudi Energy manages a development portfolio of approximately 25.5 GW, comprising directly owned projects and independent power producer and battery storage joint ventures.

Taiba 1 and Qassim 1 independent power projects, in which Saudi Energy holds a 40% stake in each, achieved initial commercial operation during the third quarter, adding approximately 2.5 GW of capacity ahead of their expected full operation in the second quarter of 2027.

The company also signed 15-year Storage Services Agreements with the Saudi Power Procurement Company (SPPC) for three battery energy storage projects at Haden, Al-Muwaih and Kahafah. The projects have a combined capacity of 1,500 MW and 6,000 MWh, with a total contract value of SAR3.25 billion. Saudi Energy holds an effective 35.1% stake in each project.

Meanwhile, grid-connected renewable energy capacity reached approximately 19.3 GW by the end of September 2026.

Battery storage capacity increased from 18 GWh to 22 GWh following the commissioning of two projects during the third quarter, enabling the company to achieve its 2026 storage target.

Network expansion and customer growth

Saudi Energy continued investing in transmission and distribution infrastructure to improve reliability and accommodate growing electricity consumption.

The transmission network expanded 6% year on year to 110,950 circuit kilometres, while fibre-optic lines increased 7% to 109,938 kilometres. Transmission substation capacity grew 8% to 571,399 MVA.

During the first nine months, the company energised 57 transmission substations and 198 transmission transformers, while capitalising SAR30.3 billion in completed transmission assets.

The distribution network expanded 4% to 872,181 circuit kilometres, with SAR16.8 billion in completed distribution assets capitalised during the period.

Saudi Energy also signed an agreement with Expo 2030 Riyadh in August to develop electricity infrastructure for the exhibition site, including one main supply substation and three primary substations.

Its customer base reached approximately 11.7 million, following 237,762 new connections, representing 30% growth in new customers year on year. Electricity sales increased 1% to 276.9 TWh, driven mainly by commercial and residential demand, which offset lower industrial consumption.

Network automation reached 43%, while the average service interruption duration index improved 16% year on year to 37.17 minutes per customer.

Following the reporting period, Saudi Energy announced an adjustment to electricity service tariffs effective 1 January 2027. The company said the change is not expected to have a material financial impact, with its existing regulatory framework and regulated asset base mechanism remaining unchanged. -OGN/TradeArabia News Service