Dubai Electricity and Water Authority (DEWA), the sole provider of electricity and water services in the Emirate of Dubai and listed on the Dubai Financial Market (DFM), has announced its consolidated financial results for the first nine months of 2024. The authority has reported total revenue of AED23.5 billion ($6.4 billion), an EBITDA of AED11.8 billion ($3.2 billion), and a net profit after tax totaling AED5.5 billion.
Focus on sustainability
HE Saeed Mohammed Al Tayer, managing director and CEO of DEWA, emphasized the company’s dedication to excellence and sustainable growth. He highlighted that this commitment is inspired by the leadership of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, as well as the guidance of His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, and His Highness Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai.
Al Tayer stated that this performance underscores the authority’s commitment to operational excellence, innovation, and sustainability, contributing to Dubai’s vision for a sustainable future in line with the Dubai Clean Energy Strategy 2050 and the Net Zero Carbon Emissions Strategy 2050.
Al Tayer affirmed that DEWA aims to continue delivering strong shareholder value through efficient operations and consistent dividends while supporting Dubai’s transition to a green economy.
Consolidated revenue
DEWA reported a consolidated revenue of AED9.9 billion for the third quarter of 2024, reflecting a 4.75 percent increase. EBITDA for this quarter was AED5.1 billion, while cash from operations surged by 34.20 percent to AED5.9 billion.
For the first nine months of 2024, DEWA achieved a consolidated revenue increase of 6.2 percent, primarily driven by higher demand for electricity, water, and cooling services. The consolidated EBITDA for this period rose by 4.71 percent, totaling AED11.8 billion.
Operating performance
In the third quarter of 2024, DEWA’s power generation reached an impressive 19.6 TWh, marking a 3.98 percent increase compared to the same period in the previous year. Notably, 1.8 TWh of this total was generated from renewable energy sources, accounting for 9.18 percent of the total power produced in Q3 2024. DEWA is committed to utilizing clean energy and maintaining a sustainable generation mix to meet future demands.
During this quarter, DEWA imported 3.25 TWh from the Hassyan power plant, 0.32 TWh from Warsan Waste Management Company, and generated the remaining 14.32 TWh from its gas-fired portfolio.
DEWA also experienced a significant 3.41 percent rise in quarterly peak demand compared to Q3 2023, reaching 10.76 GW. The quarterly gross heat rate of 7,923 BTU/kWh represents the best performance in DEWA’s history. These accomplishments underline DEWA’s steadfast commitment to sustainability and operational excellence in the services it provides.
In terms of water production, DEWA’s total desalinated water output in the third quarter of 2024 increased by 4.64 percent from the previous year, achieving a record production of 40.5 billion Imperial Gallons (BIG). Daily desalinated water demand peaked at 455 Million Imperial Gallons (MIG), reflecting a 4.92 percent increase over the same period last year.
By the end of the third quarter of 2024, DEWA had 1,250,288 customer accounts, representing a 4.16 percent increase compared to the same period in the previous year.
Quarterly highlights
During the third quarter of 2024, DEWA successfully commissioned two 132 kV substations and 426 11 kV substations. By the end of the quarter, the company’s installed generation capacity stood at 16.779 GW, with 2.86 GW (17 percent) derived from renewable energy sources.
The installed capacity for desalinated water production remained steady at 495 MIGD. DEWA aims to achieve an installed capacity of 20 GW and 735 MIGD of desalinated water by the end of 2030, with approximately 5.3 GW (26.5 percent) of this capacity expected to come from clean sources. Additionally, the company plans to add 240 MIGD of desalination capacity using reverse osmosis technology.
Dividend policy
In accordance with DEWA’s dividend policy, the company anticipates distributing a minimum annual dividend of AED6.2 billion for the first five years commencing in October 2022. These dividends are further disbursed semi-annually in April and October. For the first half of 2024, DEWA has allocated AED3.1 billion to its shareholders as of October 31, 2024, based on a record date of October 18, 2024.
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