ADNOC Distribution achieved 4.2% growth in net profit to reach 2.22 billion dirhams in 2019.
According to Emirates News Agency, the company's net profit increased during the fourth quarter of 2019 to reach 496 million dirhams, an increase of 11.3% compared to the fourth quarter of 2018.
The Board of Directors has recommended a dividend of 1.194 billion dirhams at 9.55 fils per share for the second half of 2019, bringing the total profit distribution for the year 2.39 billion dirhams at 19.10 fils per share, which reflects an increase of 62% compared to last year.
Profitability before interest, tax, depreciation and amortization increased during the fourth quarter of 2019, to 658 million dirhams, an increase of 6.5% compared to the fourth quarter of 2018, boosted by the strong operating performance of the company's fuel and non-fuel sectors.
The total quantities of fuel sold increased by 2% during the fourth quarter of 2019 compared to the fourth quarter of 2018, as a result of improved retail sales and higher quantities of fuel sold in the commercial sector supported by the new promotional campaigns launched by the company.
The increase in the quantities of fuel sold retail came as a result of the improvement in the main markets and the increase in the market share in the northern regions of the country after the launch of the service to help refueling for free since the third of November 2019, in addition to the contribution of new stations in Dubai.
The total profits of non-oil sales increased by 10.4% during the fourth quarter of 2019 compared to the same period in 2018. These results were supported by the special program to replenish the retail stores of the company, which improved the customer's shopping experience and contributed to improving the gross margins and increasing the average size of the shopping basket By 5.4% during the fourth quarter of 2019 compared to the same period in 2018.
It is worth noting that several initiatives were launched to improve the customer experience during the fourth quarter of 2019, as the company introduced the new concept of future ADNOC stations, which brings the company closer to its customers by constructing stations in residential areas where it is difficult to build regular stations.
The company also launched its loyalty program, ADNOC Rewards, which provides many unprecedented benefits to customers, in addition to providing a seamless digital experience and smart payment options.
The company has opened the new future ADNOC Oasis store, which offers services to customers in a distinct way by providing a modern atmosphere that suits the family and also allows them to refuel and enjoy fresh food.
Ahmed Al Shamsi, Acting CEO of ADNOC Distribution, said: We succeeded in achieving strong financial results in the fourth quarter and at the level of 2019, and we ...
