Al-Arabiya Real Estate Co KSC (KUW:ARABREC) Pretax Margin %: -14.42% (As of Mar. 2026)

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KUW:ARABREC Al-Arabiya Real Estate Co KSC KUW:ARABREC
4 GF Score
Price KWD0.18
GF Value KWD0.06
Valuation Significantly Overvalued
! 6 Warning Signs
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What is Al-Arabiya Real Estate Co KSC Pretax Margin %?

Al-Arabiya Real Estate Co KSC KUW:ARABREC -1.10% 4 Pretax Margin % is -14.42% as of Mar. 2026. GuruFocus rates KUW:ARABREC with a GF Score™ of 4/100 and a GF Value™ of KWD0.06 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,756 Real Estate companies, Al-Arabiya Real Estate Co KSC ranks worse than 75.4% on this metric.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Al-Arabiya Real Estate Co KSC's Pre-Tax Income for the three months ended in Mar. 2026 was KWD-0.27 Mil. Al-Arabiya Real Estate Co KSC's Revenue for the three months ended in Mar. 2026 was KWD1.86 Mil. Therefore, Al-Arabiya Real Estate Co KSC's pretax margin for the quarter that ended in Mar. 2026 was -14.42%.

The historical rank and industry rank for Al-Arabiya Real Estate Co KSC's Pretax Margin % or its related term are showing as below:

KUW:ARABREC' s Pretax Margin % Range Over the Past 10 Years
Min: -151.45   Med: -15.58   Max: 31.91
Current: -7.46


KUW:ARABREC's Pretax Margin % is ranked worse than
75.4% of 1756 companies
in the Real Estate industry
Industry Median: 12.4 vs KUW:ARABREC: -7.46

Al-Arabiya Real Estate Co KSC  (KUW:ARABREC) Pretax Margin % Explanation

The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.

The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.

It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.

The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.


Al-Arabiya Real Estate Co KSC Pretax Margin % Related Terms


Al-Arabiya Real Estate Co KSC Pretax Margin % Historical Data

* Premium members only.

The historical data trend for Al-Arabiya Real Estate Co KSC's Pretax Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Al-Arabiya Real Estate Co KSC Pretax Margin % Chart

Al-Arabiya Real Estate Co KSC Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Pretax Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -151.45 22.97 31.91 21.94 -10.02

Al-Arabiya Real Estate Co KSC Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Pretax Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -24.99 -10.61 -18.00 13.42 -14.42

KUW:ARABREC vs CBRE, BEKE, JLL: Pretax Margin % Comparison

For the Real Estate Services subindustry, Al-Arabiya Real Estate Co KSC's Pretax Margin %, along with its competitors' market caps and Pretax Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Al-Arabiya Real Estate Co KSC Pretax Margin % vs Real Estate Industry

For the Real Estate industry and Real Estate sector, Al-Arabiya Real Estate Co KSC's Pretax Margin % distribution charts can be found below:

* The bar in red indicates where Al-Arabiya Real Estate Co KSC's Pretax Margin % falls into.


KUW:ARABREC
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Al-Arabiya Real Estate Co KSC KUW:ARABREC
Pretax Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Al-Arabiya Real Estate Co KSC Pretax Margin % Calculation

Pretax margin - also known as pretax profit margin is the ratio of Pretax Income divided by net sales or Revenue, usually presented in percent.

Al-Arabiya Real Estate Co KSC's Pretax Margin for the fiscal year that ended in Dec. 2025 is calculated as

Pretax Margin=Pre-Tax Income (A: Dec. 2025 )/Revenue (A: Dec. 2025 )
=-0.813/8.112
=-10.02 %

Al-Arabiya Real Estate Co KSC's Pretax Margin for the quarter that ended in Mar. 2026 is calculated as

Pretax Margin=Pre-Tax Income (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=-0.268/1.859
=-14.42 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Pretax Margin % →
What does a Pretax Margin % of -14.42% mean?
Al-Arabiya Real Estate Co KSC (KUW:ARABREC) has a Pretax Margin % of -14.42% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Al-Arabiya Real Estate Co KSC and its competitors. According to the industry distribution chart, Al-Arabiya Real Estate Co KSC ranks #1324 out of 1756 companies in the Real Estate industry, placing it in the top 75.4%.
Is Al-Arabiya Real Estate Co KSC's Pretax Margin % too high?
Al-Arabiya Real Estate Co KSC's current Pretax Margin % is -14.42%. Based on the distribution chart, Al-Arabiya Real Estate Co KSC ranks #1324 out of 1756 companies in the Real Estate industry, which is in the bottom quartile relative to peers. Overall, Al-Arabiya Real Estate Co KSC has a GF Score™ of 4/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Al-Arabiya Real Estate Co KSC's Pretax Margin % compare to CBRE and BEKE?
According to the Real Estate industry distribution chart, Al-Arabiya Real Estate Co KSC ranks #1324 out of 1756 companies for Pretax Margin %. This places Al-Arabiya Real Estate Co KSC in the lower half of its industry. The industry median Pretax Margin % is 12.40. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for a Real Estate company?
The median Pretax Margin % among Real Estate companies is 12.40, based on 1,756 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Al-Arabiya Real Estate Co KSC and its competitors. For the Real Estate industry, the median Pretax Margin % is 12.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Al-Arabiya Real Estate Co KSC's current Pretax Margin % is -14.42%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Al-Arabiya Real Estate Co KSC stock overvalued right now?
Based on GuruFocus' analysis, Al-Arabiya Real Estate Co KSC (KUW:ARABREC) is currently considered Significantly Overvalued. The stock's GF Value™ is KWD0.06, compared to a current price of KWD0.18 — trading 198.3% above its estimated fair value. The current Pretax Margin % is -14.42%. Al-Arabiya Real Estate Co KSC's overall GF Score™ is 4/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Al-Arabiya Real Estate Co KSC (KUW:ARABREC), the current Pretax Margin % is -14.42% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Al-Arabiya Real Estate Co KSC (KUW:ARABREC) Overvalued in 2026?

Based on GuruFocus' analysis, Al-Arabiya Real Estate Co KSC stock appears to be overvalued. The current stock price of KWD0.18 is trading 198.3% above its estimated GF Value™ of KWD0.06. GuruFocus considers Al-Arabiya Real Estate Co KSC to be Significantly Overvalued.

Key valuation signals for KUW:ARABREC:

  • Pretax Margin %: -14.42%
  • GF Value™: KWD0.06 vs. price of KWD0.18 (198.3% above fair value)
  • GF Score™: 4/100 with 6 warning signs

No single metric tells the full story. See the KUW:ARABREC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Al-Arabiya Real Estate Co KSC Business Description

Address Ahmad Al-Jaber Street, 7th Floor, Emad Commercial Center, PO Box 26980, Sharq, Safat, Kuwait City, KWT, 13130
Al-Arabiya Real Estate Co KSC is a Kuwait based company involved in the construction, contracting, developing and managing the activities of residential buildings, hotels, and commercial centres within the private and public sector. It operates in three segments. Real estate segment involves activities related to real estate investment properties. Hotels segment, which is the key revenue generator, involves establishment, acquiring and managing hotels. Investment segment involves investing in shares and share capital of the companies. Geographically, it generates revenue from Kuwait being the highest revenue driver, United Arab Emirates, and Egypt.
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Pretax Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

KWD0.18
Price
KWD0.06
GF Value