Adnoc Distribution, the UAE’s largest fuel and convenience store retailer, has approved a dividend payment of Dh1.285 billion for the second half of 2022, following a strong financial performance. The dividend payment was announced after the company reported earnings before interest, tax, depreciation, and amortization (EBITDA) of Dh3.52 billion, a 15% increase year-on-year, and a net profit of Dh2.75 billion, a rise of 22% from the previous year.
The company also reported an increase in non-fuel retail transactions by 15%, driven by customer-centric initiatives such as Adnoc Rewards and the modernization of Adnoc Oasis retail spaces. In 2022, Adnoc Distribution expanded its network to 502 stations in the UAE, added 28 Adnoc Oasis convenience stores, and refurbished an additional 42. It also expanded its network in Saudi Arabia to 66 and acquired a 50% stake in TotalEnergies Marketing Egypt LLC.
Adnoc Distribution has also announced plans to reduce its carbon intensity by 25% by 2030, in addition to having converted its existing $1.5 billion term loan into a sustainability-linked loan. The company has partnered with Taqa to establish E2GO, a joint venture that will build and operate electric vehicle infrastructure in the UAE. The company also plans to launch its lubricants in Egypt.
Dr. Sultan Ahmed Al Jaber, Chairman of Adnoc Distribution, said that the journey of Adnoc Distribution in 2022 was powered by growth and sustainability, and the company’s ongoing emphasis on diverse national and international expansion, coupled with an unyielding dedication to providing top-notch, inventive, and environmentally sound mobility products and solutions, will enable it to achieve and surpass its growth targets for years to come.
Adnoc Distribution’s strong financial performance and dividend payment announcement demonstrate its commitment to creating long-term sustainable value for its shareholders while future-proofing its business and supporting the strategic goals of the UAE. The company’s expansion plans in the UAE and internationally, focus on sustainability, and investment in electric vehicle infrastructure, positioning it to thrive in the years ahead.
