ADNOC Distribution announced its financial results for 2024, achieving its highest-ever Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) of $1.05 billion (AED3.86 billion), an increase of 4.8 percent year-on-year.
Underlying EBITDA, excluding inventory gains and one-off items, reached $989 million (AED3.63 billion), an increase of 11.4 percent year-on-year.
This record-breaking performance reflects robust fuel volumes, significant non-fuel retail growth, and increasing contributions from international operations including Saudi Arabia and Egypt.
The company has reported a record Return On Capital Employed of 28.8 percent for 2024, the highest since its initial public offering. This underscores the company’s exceptional efficiency in capital allocation, ultimately resulting in greater incremental value for shareholders.
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Net profit, excluding the impact of the UAE corporate income tax which came into effect in 2024, would have grown by 2.4 percent year-on-year to $725 million (AED2.66 billion), highlighting ADNOC Distribution’s strong fundamentals. Reported net profit decreased 7.0 percent year-on-year.
The company made significant progress in reducing operational costs, achieving $18 million (AED66 million) in like-for-like OPEX savings in 2024. These savings mark significant progress towards achieving the company’s objective of $50 million (AED184 million) in like-for-like OPEX reductions between 2024 and 2028.
Bader Saeed Al Lamki, CEO of ADNOC Distribution, commented: “ADNOC Distribution’s strong performance in 2024 underscores our strategic focus on delivering value for both our customers and shareholders. By driving operational efficiency, embracing digital transformation, and expanding our market presence, we are well-positioned to achieve the ambitious goals of our five-year strategy.”
Record total fuel volumes
ADNOC Distribution delivered record total fuel volumes of 15.0 billion litres in 2024, marking a year-on-year increase of 8.7 percent, driven by higher mobility and expanded international operations, particularly in Saudi Arabia and Egypt.
The company’s fuel volumes in GCC countries grew by 7.6 percent year-on-year to 11.9 billion litres.
The company significantly expanded its retail network in 2024, adding 59 new service stations across the network, including 30 stations under development in Saudi Arabia.
The network growth is over three times the company’s full-year guidance of 15-20 new stations. This expansion brings the company’s total network to 896 service stations.
In addition, ADNOC Distribution has been able to accelerate its network expansion in Saudi Arabia, growing the number of service stations to 100, with plans to add a further 30 to 40 new stations to the network in 2025.
The company’s EV charging network also saw significant expansion, with 220 charging points installed at strategic locations in 2024 – a fourfold increase compared to 2023. This exceeded the company’s guidance of 150-200 charging points for the year and advanced its goal of deploying over 500 charging points by 2028.
ADNOC Distribution continues to deliver on its five-year strategy, achieving key milestones in network expansion and non-fuel retail growth. The company remains committed to delivering sustainable, profitable growth and attractive shareholder returns.
The company’s Board of Directors has recommended a cash dividend of $350 million (AED1.285 billion), equivalent to 10.285 fils per share for the second half of 2024, which is expected to be paid in April 2025, subject to shareholders’ approval at the upcoming General Assembly Meeting scheduled for March 2025.
