Adnoc Distribution has announced an interim dividend of $350 million for the first half of 2024, equivalent to 10.285 fils per share. Shareholders who purchase shares by September 26, 2024, will qualify for the dividend payment, based on the share register as of September 30, 2024. This H1 dividend is the first installment of the expected full-year 2024 dividend of $700 million. Adnoc Distribution’s long-term dividend policy aims to provide consistent shareholder returns and potential earnings growth, with the second dividend for 2024 expected in April 2025.
In the first half of 2024, Adnoc Distribution reported a 16 per cent year-on-year increase in Ebitda to $515 million and a 7.7 per cent rise in net profit to $319 million. The company generated free cash flow of $488 million in H1 2024, covering the interim dividend comfortably. Adnoc Distribution has maintained a strong financial position and liquidity of $1.7 billion, positioning it well for future growth and shareholder value creation. Since its IPO in 2017, the company has delivered solid returns to shareholders through market value enhancement and consistent dividends.
Adnoc Distribution’s new five-year growth strategy focuses on domestic and international growth, future-proofing the business, enhancing digital capabilities, and driving operational efficiencies. The company aims to capture new market positions both domestically and abroad, creating long-term value and sustaining shareholder returns. Adnoc Distribution is committed to exploring growth opportunities in fuel and non-fuel retail, as well as new revenue streams emerging from the energy transition. The company also plans to expand its new mobility solutions, including Electric Vehicle charging, while maintaining focus on sustainability-driven initiatives.
Eng. Bader Saeed Al Lamki, CEO of Adnoc Distribution, expressed confidence in the company’s future growth and financial performance. The successful execution of their smart growth strategy has reinforced the company’s value proposition, with a healthy balance sheet and robust cash generation supporting future growth and shareholder returns. Adnoc Distribution’s dividend policy provides long-term visibility on expected shareholder returns and potential upside from future earnings growth, highlighting the company’s commitment to consistent shareholder value creation.
Adnoc Distribution’s record Ebitda of $1 billion in 2023 positions the company well for its next phase of strategic and accelerated growth. With a strong financial position and liquidity, the company is prepared to capitalize on growth opportunities in both fuel and non-fuel retail sectors. By focusing on sustainability and delivering long-term sustainable value to shareholders, Adnoc Distribution aims to secure its position as a leader in the industry and continue to drive shareholder value.
