Qatar Fuel Company (WOQOD) - Q1 FY2026 Earnings Analysis

Performance Highlights

WOQOD posted Q1 2026 net profit of QR 163 million, down 29% from QR 230 million in Q1 2025, with earnings per share declining to QR 0.16 from QR 0.23 a year earlier. Total revenue contracted 21% year-on-year to QR 5 billion, pressured by a 15% drop in combined petroleum product sales volumes and a 7% decline in average selling prices.

The single most damaging operating driver was jet fuel, where volumes collapsed 87% in March 2026 versus March 2025 due to regional conflict, and fell 26% across the full quarter and 34% on a sequential basis. Retail fuel volumes at WOQOD's 130 petrol stations declined a more modest 3% year-on-year, with the group maintaining an 84% share of Qatar's retail petroleum market, while non-fuel retail sales dropped 13% on weaker Sidra and ABC store activity.

Management Outlook and Forward Catalysts

Management offered cautious encouragement, noting that jet fuel volumes had recovered to approximately half of prior-year March levels in the first two weeks of April, and that diesel and gasoline trends were also improving. The petrol station expansion programme remains on track, with contracts awarded for three new stations, three in tendering, and three in active development.

The central investor debate for Q2 centres on the pace and durability of jet fuel volume recovery — bulls will monitor whether April's partial rebound extends as regional tensions ease, while bears will focus on sustained B2B volume weakness, ongoing fuel price headwinds tied to lower crude, and the risk that conflict-related disruption proves more prolonged than management's optimistic tone implies.