APIC Reports Record $1.31 Billion Revenue in 2025 Amid Regional Turbulence

The Arab Palestinian Investment Company (PEX: APIC) reported record consolidated revenue of $1.31 billion in 2025, marking a 16.84% year-over-year increase, according to its preliminary, unaudited financial results.

Despite what leadership described as one of the most challenging operating environments in recent years, the diversified investment group delivered net income attributable to shareholders of $8.13 million, up 1.35% from 2024.

Revenue Growth Offsets Macroeconomic Pressures

Chairman and CEO Tarek Aggad stated that 2025 was “an exceptionally difficult year,” citing prolonged conflict in Gaza, escalating tensions in the West Bank, and a persistent economic recession linked to the withholding of Palestinian Authority funds.

Key financial highlights include:

• Revenue: $1.31 billion (+16.84% YoY)

• EBITDA: $74.85 million (+9.06%)

• Net profit (before IAS 29 impact): $14.34 million

• Net income (after IAS 29 impact): $7.66 million (-5.58%)

• Net income attributable to shareholders: $8.13 million (+1.35%)

• Earnings per share: $0.05 (down 13.9%)

• Total assets: $992.4 million (+17.5%)

• Equity attributable to shareholders: $229.3 million (+21.5%)

The decline in earnings per share reflects the company’s capital expansion, with issued shares increasing from 125 million to 160 million during the year.

APIC also recorded approximately $6.85 million in non-cash losses due to the application of International Accounting Standard 29 (IAS 29) in Turkey, related to hyperinflation accounting adjustments.

$150 Million in Public-Sector Arrears

Aggad highlighted that direct and indirect arrears owed by the Palestinian Authority to APIC subsidiaries reached approximately $150 million in 2025, with financing costs averaging $7.5 million.

He noted that delayed government payments and broader economic contraction weighed on operating performance across several subsidiaries.

Oversubscribed Capital Raise and IFC-Backed Bond

Despite regional volatility, APIC strengthened its capital structure in 2025.

• A secondary share placement was 180% oversubscribed, raising $54.3 million, significantly exceeding the original $30 million target.

• The company successfully issued a $120 million bond, with participation from institutions including the International Finance Corporation (IFC), part of the World Bank Group.

The transactions underscore investor confidence in APIC’s long-term strategy and operational resilience.

Strategic Push Into Renewable Energy

In a move aimed at strengthening economic sustainability, APIC partnered with the Bank of Palestine and Massader Natural Resources & Infrastructure Development Company to establish TAQA for Sustainable Projects Development Company.

The initiative seeks to expand renewable energy investments, particularly in solar power, positioning energy independence as both an economic and national priority.

“Investing in renewable energy is no longer optional — it is a national necessity,” Aggad said, emphasizing the role of sustainable infrastructure in long-term economic stability.

Regional Footprint and Diversified Operations

Listed on the Palestine Exchange, APIC operates across multiple sectors through subsidiaries in Palestine, Jordan, Saudi Arabia, the United Arab Emirates, Iraq and Turkey.

Its portfolio includes manufacturing, distribution, automotive, medical supplies, aluminum production, hygienic paper manufacturing, leasing, logistics and advertising.

Through its investment arm, APIC Capital, the company is also expanding into private and public market investments, including private equity and venture capital funds.

APIC employs more than 3,400 people across its subsidiaries.

Social Responsibility Commitment

In 2025, APIC allocated approximately $1.2 million toward corporate social responsibility initiatives, supporting programs focused on orphans, special needs communities, healthcare, education, mental health and youth development.

Outlook

While geopolitical instability and fiscal constraints continue to shape the operating landscape, APIC’s 2025 results highlight revenue resilience, capital market access and strategic diversification beyond traditional sectors.

In an environment where capital is increasingly selective, APIC’s ability to secure oversubscribed equity and institutional debt financing suggests sustained investor confidence — even amid regional uncertainty.