ADNOC Distribution's profits increased by 70.9% to reach about 891.15 million dirhams in the second quarter of 2022, compared to 521.4 million dirhams in the same quarter of 2021.
According to Arabiya Net, the company's profits increased by 35.6% in the first half of 2022, to about 1.56 billion dirhams, compared to 1.15 billion dirhams in the first half of 2021.
During the first half of 2022, ADNOC Distribution witnessed a growth in the total volume of fuel sales on an annual basis of 9% compared to the same period last year, while the company recorded a steady growth in the volume of corporate fuel sales by 27% on an annual basis, driven by growth The economic situation witnessed by the country and the confirmation of the new sales agreements for corporate fuel that were signed last year.
Gross profit of the non-fuel retail business increased by 10% in the first half of 2022 compared to the same period last year, driven by customer-focused promotional campaigns, increased transactions at service stations, and increased food and beverage sales.
ADNOC Distribution accelerated the implementation of its growth strategy during the first half of 2022 by opening 12 new service stations in the UAE, four of them in Dubai, bringing the number of its stations within the country to 472 service stations, 35 service stations in Dubai.
In Saudi Arabia, the company opened 26 new service stations during the first half of the year, bringing the total number of its stations in the Kingdom to 66 service stations. This brings the total number of the company's stations to 538, as on June 30, 2022. The company is moving forward in achieving its goal of opening 60-80 new sites in 2022.
ADNOC Distribution's dividend policy for 2022 is to distribute a minimum dividend of 2.57 billion dirhams, which provides an annual profit return of 4.8% based on the share price of 4.32 fils as of August 5, 2022.
The company expects to distribute cash dividends of no less than 1.285 billion dirhams, at 10,285 fils per share, for the first half of 2022 in the month of October, provided that the second part of the dividends for the year 2022 will be paid at 10,285 fils per share in April 2023, according to an estimate by the Board of Directors. Company management and shareholder approval.
For subsequent years, the dividend distribution policy stipulates a dividend of no less than 75% of the distributable profits. The dividend policy reflects the company's strong financial position and confidence in its ability to achieve strong financial flows in the future, which will support growth opportunities and maintain attractive returns for shareholders.
