MBC GROUP SHOWS SOLID PERFORMANCE IN Q1 2026 THANKS TO STRONG GROWTH OF MBC SHAHID

RIYADH, Saudi Arabia, May 11, 2026 /PRNewswire/ — MBC GROUP (« MBC †or the “ société †or the “ groupe ») (Tadawul: 4072), the leading media and entertainment conglomerate in the Middle East North Africa region (« MENA “), today announces its financial results for the quarter ended March 31, 2026 (” T1 2026 HAS”). The group recorded a turnover of SAR 1.6 billion, compared to SAR 2.0 billion in Q1 2025, mainly reflecting the timing of project-related revenues and a more cautious advertising environment in the context of ongoing regional geopolitical developments. Net profit reached SAR 222.3 million, down 15.6% year-on-year, while net profit margin increased to 14.1%, thanks to disciplined cost management and a more than three-fold increase in MBC’s net profit. SHAHID.

Overall, the group’s performance demonstrated resilience during the quarter, supported by strong Ramadan-related content demand, continued growth in MBC SHAHID’s subscriber revenue, and the strength of its diversified revenue model, which helped offset weaker advertising terms and project timing effects.

Mike Sneesby, CEO de MBC GROUP, déclare : “During the first quarter of 2026, our performance reflected the resilience of MBC’s diversified operating model in a more volatile external environment. Although revenues were impacted by lower advertising demand and the absence of SSC-related activities that had contributed to the same period last year, we still delivered a strong performance, supported by the commitment of our collaborators. Profitability remained healthy, thanks to rigorous cost management, strong performance during Ramadan and the continued growth of MBC SHAHID, whose net profit increased significantly year-on-year. HAS”

“The current environment presents several near-term challenges, including the volatility of advertising demand, changing public spending dynamics and the operational complexity of markets. In response to this, we remain focused on clear management priorities: protecting our revenue streams, maintaining public engagement, preserving production continuity, maintaining strict cost controls, preserving liquidity and strengthening investor confidence. HAS”

“MBC SHAHID continues to play a central role, with strong growth, improved profitability and a growing international presence. This reinforces our strategic focus on more diverse and scalable revenue streams, which helps offset the cyclical nature of advertising. At the same time, within our broadcasting and technical services business, we maintain close visibility into our pipeline of government projects to support planning and mitigate downside risks. We also leverage flexible production models, localization and remote execution capabilities to ensure continued delivery across markets, while prioritizing high-impact content to maximize audience engagement,” says Sneesby.

The segment Broadcasting & Other Commercial Activities (BOCA) remained the group’s largest revenue contributor, generating SAR 933.0 million in revenue, a decline of 22.6% year-on-year. This decline reflects the absence of SSC-related revenue compared to the first quarter of 2025, as well as weaker advertising demand, shorter booking cycles and more cautious advertiser behavior, particularly in GCC markets. This development was partially offset by price stability and strong use of advertising inventory for Ramadan. The launch of MBC MASR DRAMA also made a positive contribution by supporting audience engagement and expanding advertising inventory in Egypt. The segment’s net profit was SAR 174.5 million, down from SAR 238.2 million in Q1 2025, reflecting a weaker revenue base and changes in revenue mix.

MBC SHAHID recorded a strong performance during the quarter, with revenues increasing 17.5% year-on-year to SAR 459.9 million in Q1 2026, supported by solid subscriber revenue growth in the MENA markets and international markets, which contributed more year-on-year. This performance reflects improved retention and the continued impact of pricing and product optimization initiatives, as well as continued B2B partnerships. Video-on-demand revenues declined slightly due to temporary campaign delays and re-prioritization of budgets, which had a particular impact on the travel and tourism sectors, while underlying digital demand remained strong. MBC SHAHID recorded a net profit of SAR 47.4 million, compared to SAR 13.3 million the previous year, representing a significant 257.7% improvement in profitability year-on-year and reinforcing the platform’s role as a key contributor to group benefits.

The segment Media & Entertainment (M&E) recorded revenue of SAR 183.7 million, compared to SAR 447.2 million in Q1 2025, reflecting the timing of milestone-based revenue recognition for major projects. The sector’s net profit amounted to SAR 0.4 million, compared to SAR 12.0 million in the previous year, reflecting the timing of project delivery and the accounting of associated costs, in line with the revenue-based accounting model. projects.

The content remained a key performance driver during the first quarter of 2026, strengthening MBC’s position as a leading producer and distributor of Arab entertainment. Ramadan content increased audience engagement year-over-year and increased watch time across 125 top titles. Performance was supported by a strong mix of Saudi, GCC and pan-Arab content, including Season 2 of Share’ Al A3sha, Ghommeida, Sit Monaliza, as well as Mawlana and Bi Khams Arwah, contributing to both engagement and revenue growth from international subscribers. Comedies continued to be a key driver, with Jak El Elm and Yawmiyyat Rajol Motazawwej turning in consistent performances. At the same time, the pan-Arab adaptation Layl sustained strong momentum at the start of the year.

Sports content continued to drive engagement and retention, with viewership peaking during Copa del Rey matches, particularly those featuring FC Barcelona, ​​Real Madrid and Atlético Madrid. Bundesliga matches, notably against Bayern Munich, as well as regional competitions, including the SAFF Women’s Premier League, KSA Women’s Friendlies and the Saudi Basketball Pro League, have helped to boost international appeal and local relevance.

« Looking ahead, although we remain aware of geopolitical and macroeconomic uncertainty, we are confident in our ability to evolve in the current context, thanks to the experience and proven skills of our management team. We continue to focus on disciplined execution, optimizing our costs and selectively investing in content and platforms that strengthen our long-term competitive position. With a strong operating model, a leading market position and a well-defined strategy, we believe MBC is well positioned to sustain performance and create long-term value,” concludes Sneesby.

About MBC GROUP
Founded 35 years ago, MBC GROUP is the leading media and entertainment conglomerate in the Middle East and North Africa. The group has established itself as a key player, with an extensive presence that attracts more than 150 million viewers every week. Its global accessibility extends from the Middle East to South America through MBC SHAHID, the number one OTT streaming platform in the MENA region.

In addition to MBC SHAHID, MBC operates 14 free-to-air television channels and three radio stations. The group continues to expand its regional presence across multiple entertainment verticals, including gaming, events and music. MBC GROUP’s platforms bring generations together through a library of rich and engaging content tailored to Arab audiences around the world.

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