Omar Al Humaidan, Chairman of The National Company for Glass Industries (Zoujaj), said a fire at the company’s Riyadh plant led to the temporary shutdown of one production line, reducing total production capacity by around 20% during the period.
The damaged line is currently undergoing maintenance, with commercial operations expected to resume in the second quarter of 2026, Al Humaidan told Argaam in an interview. The value of insurance compensation will be determined once repairs are completed and operations restart.
The sharp rise in Zoujaj’s Q1 2026 net profit was driven by improved performance at its joint ventures in the flat-glass sector, with stronger operating and financial results boosting the company’s share of earnings versus the year-earlier period.
The joint ventures (JVs) reported improved operational and financial performance during Q1 2026, he said, adding that the positive momentum is expected to continue despite ongoing pressure from higher raw material and energy costs, as well as export-market disruptions linked to regional developments.
These JVs are focusing on expanding local sales and improving logistics channels, including Red Sea shipping routes, to mitigate potential pressure on revenue and profitability.
On segments, Al Humaidan said the company’s glass containers generated revenue of SAR 37.6 million in Q12026, while operating profit reached about SAR 1.9 million. He added that Zoujaj’s investments in flat-glass joint ventures made a positive contribution to consolidated profitability.
Local sales from the glass containers business accounted for around 79% of total topline during Q1 2026, compared with 21% from exports, reflecting the company’s continued strength in the local market, he said.
On expansion projects, Al Humaidan said the board of GulfGuard approved a new flat-glass and coated-glass production project with an estimated investment of about $267 million (or SAR 980 million).
The coated-glass production line is expected to start operations in the third quarter of 2027, followed by the flat-glass line in the second quarter of 2028, while the company continues discussions with potential financiers for the project.
Regarding the expansion of Furnace 1, Al Humaidan said implementation is expected to begin in H2 2026 at an initial estimated cost of SAR 58.5 million.
The project is expected to gradually increase production capacity from 210 tons per day to 280 tons per day through the installation of a higher-capacity furnace and the replacement of two older glass-container forming machines with more advanced equipment.
On dividends, Al Humaidan said the company and its joint ventures are currently pursuing expansion projects requiring elevated capital spending in 2026. Future dividend decisions will depend on cash-flow levels and financing requirements, while maintaining a balance between shareholder returns and long-term growth plans.
According to Argaam data, Zoujaj net profit rose 81% year-on-year to SAR 32.7 million in the first quarter of 2026.
Omar Al Humaidan, Chairman of The National Company for Glass Industries (Zoujaj), said a fire at the company’s Riyadh plant led to the temporary shutdown of one production line, reducing total production capacity by around 20% during the period.
The damaged line is currently undergoing maintenance, with commercial operations expected to resume in the second quarter of 2026, Al Humaidan told Argaam in an interview. The value of insurance compensation will be determined once repairs are completed and operations restart.
The sharp rise in Zoujaj’s Q1 2026 net profit was driven by improved performance at its joint ventures in the flat-glass sector, with stronger operating and financial results boosting the company’s share of earnings versus the year-earlier period.
The joint ventures (JVs) reported improved operational and financial performance during Q1 2026, he said, adding that the positive momentum is expected to continue despite ongoing pressure from higher raw material and energy costs, as well as export-market disruptions linked to regional developments.
These JVs are focusing on expanding local sales and improving logistics channels, including Red Sea shipping routes, to mitigate potential pressure on revenue and profitability.
On segments, Al Humaidan said the company’s glass containers generated revenue of SAR 37.6 million in Q12026, while operating profit reached about SAR 1.9 million. He added that Zoujaj’s investments in flat-glass joint ventures made a positive contribution to consolidated profitability.
Local sales from the glass containers business accounted for around 79% of total topline during Q1 2026, compared with 21% from exports, reflecting the company’s continued strength in the local market, he said.
On expansion projects, Al Humaidan said the board of GulfGuard approved a new flat-glass and coated-glass production project with an estimated investment of about $267 million (or SAR 980 million).
The coated-glass production line is expected to start operations in the third quarter of 2027, followed by the flat-glass line in the second quarter of 2028, while the company continues discussions with potential financiers for the project.
Regarding the expansion of Furnace 1, Al Humaidan said implementation is expected to begin in H2 2026 at an initial estimated cost of SAR 58.5 million.
The project is expected to gradually increase production capacity from 210 tons per day to 280 tons per day through the installation of a higher-capacity furnace and the replacement of two older glass-container forming machines with more advanced equipment.
On dividends, Al Humaidan said the company and its joint ventures are currently pursuing expansion projects requiring elevated capital spending in 2026. Future dividend decisions will depend on cash-flow levels and financing requirements, while maintaining a balance between shareholder returns and long-term growth plans.
According to Argaam data, Zoujaj net profit rose 81% year-on-year to SAR 32.7 million in the first quarter of 2026.
