ADNOC Distribution, the UAE’s largest fuel and convenience retailer, has reported bet profits of Dh527.69 million for the first quarter of 2024, according to a filing with the Abu Dhabi Stock Exchange (ADX), where its shares are listed.
The company’s net profit before tax for the period marked Dh573.99 million, driven by revenues of Dh8.74 billion, as a result of a 17% year-on-year increase in fuel demand and higher returns from convenience stores across its network.
The non-fuel gross profit returns for the company increased by 16 % to Dh201.85 million.
“Our robust first-quarter results with an 18 per cent EBITDA growth are a testament to the company’s five-year strategy announced earlier this year, which prioritises domestic growth, international platforms, and future-proofing the business,” said Bader Saeed Al Lamki, CEO.
In 2023, ADNOC Distribution reported a 5% year-on-year (YoY) drop in net profits, due to lower inventory gains compared to 2022. Last year, the company surpassed its target of opening 25-35 new stations by launching 41 new service stations, bringing its total network to 840 service stations, of which 597 are located in the UAE and Saudi Arabia.
ADNOC Distribution’s shareholders have approved a five-year dividend policy, setting an annual dividend of $700 million or a minimum of 75% of net profit, whichever is higher.
