GGCI’s accumulated losses hit 96% of capital in H1-26

GULF GENERAL
8260 -1.56% 3.79 -0.06

Riyadh – Mubasher: Gulf General Cooperative Insurance Company (GGCI) suffered 46.80% year-on-year (YoY) lower net losses after Zakat valued at SAR 15.47 million for the second quarter (Q2) of 2026, compared to the SAR 29.08 million.

The narrower loss was driven by an 18.28% increase in insurance revenues, which reached SAR 93.85 million, supported by 28.66% growth in the motor insurance segment.

For the first half (H1) of 2026, the company’s net loss narrowed to SAR 29.49 million from SAR 52.86 million a year earlier. Loss per share for the half-year period stood at SAR 0.98.

Despite the improved year-on-year performance, the group’s accumulated losses reached SAR 288.31 million as of 30 June 2026, accounting for 96.10% of its share capital.

The external auditor issued an unmodified opinion but included an emphasis of matter regarding material uncertainty over the company's ability to continue as a going concern.

The auditor noted that the solvency margin has fallen below required levels. In response to the financial position, an extraordinary general meeting (EGM) held on 18 January 2026, authorized the board of directors to take necessary measures under Article 132 of the Companies Law to address the losses.

Source: Mubasher Source: {{details.article.source}}