05:21 AM EDT, 08/26/2026 (MT Newswires) -- United Securities LLC updated its 2026 profit forecast on Dubai Electricity and Water Authority (DFM:DEWA), or DEWA, while retaining its rating and price target, following the company's performance in the second quarter. "We expect continued customer additions, stronger seasonal volumes and the full-period contribution from EMPOWER to support earnings momentum, although a return to sustained growth in core operating profit remains an important catalyst. Accordingly, we revise our 2026e profit to AED 8.9bn, reiterate our HOLD rating and AED 2.9 target price. The 2Q26 earnings dip provides a more attractive entry point, although we believe greater visibility on a recovery in core operating performance is needed for a more constructive stance," analysts said Tuesday. For the second quarter, the electricity and water services company's net profit was 2.39 billion Emirati dirhams, which was "slightly below" United Securities' estimate. Revenue, meanwhile, declined 2.6% annually to 8.41 billion dirhams, which missed the research firm's forecast by 9.3%. "We view DEWA's 2Q26 results as broadly balanced. On the positive side, continued customer additions, generation and desalination volumes point to resilient underlying demand, while the 2030 roadmap, targeting 23GW of generation capacity, with renewables accounting for 36%, and 735 MIGD of desalination capacity, provides visibility on long-term growth," analysts noted.

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