The orders the company disclosed through April and May have landed in the accounts and reversed a first quarter that fell 14 percent. The share price has not moved.
Gulf Cables and Electrical Industries Group reported second quarter sales of KD 24.02 million on 12 August, against KD 21.44 million in the same quarter of 2025, a rise of 12 percent. Net profit for the quarter came in at KD 10.34 million, compared with KD 10.17 million a year earlier.
What gives those figures their weight is the quarter before them. In the first three months of 2026, revenue fell 14 percent year on year to KD 20.5 million and net profit dropped 54 percent to KD 1.40 million, cutting the net margin to 6.8 percent from 13 percent. Three months later the top line has swung from a 14 percent decline to a 12 percent gain.
The orders reach the accounts
That swing has a paper trail. On 19 and 20 April the group disclosed purchase orders for medium and low voltage cables, one of them valued at KD 2.8 million. On 6 May a group company booked a further order for medium voltage cable. On 19 May Gulf Cable disclosed a contract award for copper conductors for overhead lines, the class of infrastructure that moves power between substations. On 18 June the group’s refrigeration and air conditioning subsidiary signed a supply and installation contract of its own. Every one of those disclosures falls inside the quarter that has now been reported.
A capital budget that protects the demand
Behind them sits a spending decision the state took in February. Kuwait’s 2026/2027 budget raised capital expenditure 36.8 percent to KD 3.1 billion, roughly USD 10 billion, even as the projected deficit widened 54.7 percent to KD 9.8 billion, with allocations named for water and power projects alongside the airport, Mubarak Al-Kabeer port and the second phase of the Subbiya power station. The Ministry of Electricity, Water and Renewable Energy has projects in execution intended to add 14,050 megawatts and 228 million imperial gallons of water a day by 2031. Gulf Cable describes itself as the only domestic manufacturer and exporter of power cables, control cables, telecommunication cables and overhead conductors in Kuwait.
Copper has moved in the same direction. The metal set a record USD 14,455 a tonne on the London Metal Exchange on 6 August, easing to USD 14,290 by 10 August after first passing USD 14,000 in May, and trades around 47 percent above its level a year ago. Cable pricing in the industry broadly tracks the metal, so part of the 12 percent gain is price rather than tonnage.
What one quarter does not settle
The honest reading stops short of a turnaround. Across the six months, sales of KD 44.51 million were still below the KD 45.36 million of the first half of 2025, and net profit of KD 11.74 million was 11 percent lower than the KD 13.21 million booked a year earlier. The second quarter’s profit line barely moved, up 1.7 percent. What accelerated was sales, measured against a weak comparative. That is evidence, not proof.
The market has treated it that way. Gulf Cable closed at 1,708 fils on 13 August, down 0.52 percent across the five sessions that included the filing and 18.67 percent since the start of the year, against a Boursa Kuwait All-Share Total Return Index that finished the first half marginally positive and left Kuwait among only three Gulf markets in positive territory. The stock’s high of 2,360 fils was set in April 2025, before the budget, before the grid emergency and before copper’s records.
Kuwait’s summer maintenance calendar runs into September, and the third quarter will carry both the conversion of the spring order book and whatever the ministry tenders next. If the 12 percent repeats, the argument stops being about a single quarter.
