Fujairah Cement Industries Company

A cement producer in recovery

As of: 2026-06-30 / 2026-07-30 / 2025-12-31 / 2026-03-26

Fujairah Cement Industries PJSC (ADX: FCI) is a UAE cement and clinker manufacturer based in Dibba, Fujairah. The listed parent and its wholly owned ready-mix subsidiary form the reporting group; the subsidiary’s activity is discontinued. The company’s industrial scale must be read alongside its recent operating interruption and financial distress. Production restarted in June 2025, but the latest interim review still contains an adverse conclusion. This profile is dated 30 August 2026 and describes the business, not a recommendation to buy or sell its shares.

History and the operating reset

As of: 2025-12-31 / 2026-03-26

Established in 1979, FCI developed an integrated cement works at Dibba through successive kiln, grinding and power investments. The decisive recent event was the suspension of sales and production from 1 May 2024 because of liquidity difficulties. The annual report records production resuming on 14 June 2025 and cement dispatches on 23 June. Consequently, comparisons with 2024 and the first half of 2025 start from severely interrupted activity. A sharp rebound in sales does not by itself prove restored profitability, full plant utilisation or a completed financial restructuring.

Products and revenue model

As of: 2026-08-30 / 2025-12-31 / 2026-03-26

FCI sells clinker, the intermediate product from the kiln, and finished cement. Its product range includes ordinary Portland cement, sulphate-resisting and moderate-sulphate-resisting Portland cement; delivery is in bulk or bags. Selling clinker allows the business to serve other grinding operations, while cement serves construction demand. In the original 2025 accounts, cement generated AED 84.99 million and clinker AED 30.00 million of revenue. The distinction matters: product mix, fuel intensity, grinding requirements and freight affect the economics of each tonne. The corporate product catalogue is not evidence of current certification renewal dates or market share.

Plant, energy and capacity

As of: 2025-12-31 / 2026-08-30 / 2026-06-30 / 2026-07-30

The company describes installed annual capacity of 4 million tonnes of clinker and 2.4 million tonnes of cement. These are different production stages, not capacities to be added together as finished cement output. Historical investments include a 40 MW thermal power plant and a 12 MW waste-heat-recovery unit commissioned in 2015. They link the cement works to its energy economics, but nameplate megawatts do not establish current power availability or utilisation. At 30 June 2026, reported property, plant and equipment was AED 908.70 million, subject to the impairment concerns in the review. No current verified tonnes produced or utilisation rate is supplied here.

Group structure and discontinued ready-mix business

As of: 2026-06-30 / 2026-07-30

The parent owns 100% of Fujairah Cement Industries PJSC FZE, a UAE entity licensed for ready-mixed concrete manufacturing. Its operations ceased from 1 February 2024 following the board’s January decision. Legal ownership therefore remains distinct from an active operating segment. The first-half report separately identifies liabilities of the discontinued operation; cessation does not mean every obligation has disappeared. The profile does not count this subsidiary as a currently producing ready-mix platform or combine its historical activity with current cement output.

Shareholders and governance

As of: 2025-12-31 / 2026-06-30 / 2026-07-30

The disclosed ownership snapshot at 31 December 2025 lists Government of Fujairah 23.19%; Nasser Ali Muhammad Khammas Al-Yammahi 14.11%; Wafra International Investment Company 9.35%; Watani Investment Company 7.64%; Islamic Development Bank 7.11%; and Salem Ali Omar Zaid Al Buraiki 5.06%. These are dated registered holdings, not an assertion that the register is unchanged today or that investment companies disclose their ultimate beneficiaries. The June 2026 statements report share capital of AED 355.87 million. They identify Mohamed Bin Hamad Saif Al Sharqi as chairman and Saeed Ahmed Ghareib Howaishil Alsereidi as manager. Public-sector representation does not constitute a debt guarantee.

Markets and customer cash discipline

As of: 2026-06-30 / 2026-07-30 / 2025-12-31 / 2026-03-26

First-half 2026 revenue comprised AED 220.98 million within the UAE and AED 54.22 million outside it. This establishes a domestic majority and a meaningful export contribution, without attributing the current exports to countries merely mentioned in historical marketing. The original 2025 annual accounts separate UAE, other GCC and other-country sales. Geographic diversification can broaden demand, but freight and export pricing affect the margin retained. The interim report says sales during the period were on an advance-payment basis, helping explain very low trade receivables; this does not eliminate inventory, supplier or borrowing pressures.

Financial results and comparison boundaries

As of: 2025-12-31 / 2026-03-26 / 2026-06-30 / 2026-07-30

All values below are consolidated AED million, rounded; parentheses mean losses. Annual figures are the originally published 2025 results, while interim flows cover six months, not a full year. The 2025 closing balance sheet was subsequently restated in the interim report, so this table deliberately avoids mixing original annual balance-sheet totals with restated comparatives. Both periods carry adverse assurance: an adverse annual audit opinion and an adverse interim review conclusion. Reported amounts must not be presented as cleanly certified values.

What improved, and what did not

As of: 2026-06-30 / 2026-07-30 / 2025-12-31 / 2026-03-26

The 2026 first-half loss narrowed to AED 2.27 million from AED 69.38 million a year earlier. The restart lifted revenue from an exceptionally low base and reported gross profit reached AED 43.65 million. Idle-production costs fell to AED 5.18 million from AED 42.02 million. However, finance costs remained AED 23.52 million, and the second quarter alone recorded a loss of AED 7.95 million. These observations support recovery in activity, not a claim of sustained net profitability. The remaining idle costs also caution against equating restart with full use of every asset.

Adverse assurance and restatement

As of: 2026-06-30 / 2026-07-30 / 2025-12-31 / 2026-03-26

UHY James issued an adverse review conclusion on 30 July 2026. Its basis addresses the appropriateness of going-concern accounting, covenant and repayment failures, and the absence of a formal plant impairment assessment despite indicators. Crowe Mak’s annual audit opinion dated 26 March 2026 was also adverse and raised inventory-cost allocation issues. The interim accounts correct AED 5.33 million of prior inventory overstatement from costs of an inactive division, increasing opening accumulated losses. This correction does not mean all concerns were resolved: the adverse interim conclusion remains. The review is less extensive than an annual audit, not a replacement clean opinion.

Debt and liquidity

As of: 2026-06-30 / 2026-07-30

At 30 June 2026 reported bank borrowings were AED 527.22 million, of which AED 437.71 million was current. Lease liabilities were another AED 141.36 million; cash and bank balances were AED 12.34 million. Bank debt already includes overdrafts, so these must not be added a second time. Current liabilities exceeded current assets by AED 654.83 million. The report discloses covenant breaches and ongoing bank restructuring discussions, not completed waivers or a fully funded refinancing. Security includes plant-related charges and assigned rights and receivables. Readers should not treat book assets as freely disposable cash backing.

Management priorities and the operating test

As of: 2026-06-30 / 2026-07-30

Management describes bank negotiations, new markets, efficiency measures and working-capital initiatives; the board states its intention to support operations. Intentions must be distinguished from binding new funding. Advance-payment sales improve collection discipline, but durable recovery also requires reliable production and enough margin after energy, distribution and financing costs. The most useful next disclosures would be actual clinker and cement volumes, realised prices, utilisation, energy consumption per tonne and signed debt terms. No forecast for these measures is invented here.

Business and execution risks

As of: 2026-06-30 / 2026-07-30 / 2025-12-31 / 2026-08-30

The immediate risks are refinancing, payment obligations and the reliability of carrying values. Cement also faces cyclical construction demand, freight competition, fuel exposure and fixed-cost absorption when equipment is idle. Environmental and energy investments can improve the production system, but historical installations do not prove a current emissions outcome. Export demand and regional disruption add uncertainty. These are business-risk interpretations grounded in the operating model and disclosed financial pressures, not probability estimates or a valuation. A recovery assessment should follow cash generation and debt agreements as well as the headline revenue rebound.

Official contacts and update boundaries

As of: 2026-06-30 / 2026-07-30 / 2026-08-30

The official address is P.O. Box 11477, Dibba, Fujairah, United Arab Emirates; telephone +971 9 244 4011. The investor-relations page directs enquiries to extensions 330/331. Use the company website and its financial-statements archive for subsequent releases. No personal mobile number is reproduced. Ownership percentages retain their year-end date; industrial capacity retains its historical character; the interim financial position is dated 30 June 2026. These dates prevent a long-lived business profile from implying that every field is a real-time fact.

Sources

1. H · Source H · 2026-06-30; adverse review conclusion 2026-07-30
2. A · Source A · 2025-12-31; adverse audit opinion 2026-03-26; original annual figures
3. I · Source I · 2025-12-31; ownership snapshot and industrial description
4. P · Source P · undated; checked 2026-08-30
5. U · Source U · historical installed capacity; checked 2026-08-30
6. IR · Source IR · checked 2026-08-30