• Record EBITDA of $1.05 billion, an increase of 4.8% year-on-year
• Non-fuel retail business continues to demonstrate strong results, with double-digit gross profit growth of 12.5% year-on-year
• Record fuel volumes increased 8.7% year-on-year to 15 billion liters
• Accelerated network expansion by adding 59 stations in 2024, including 30 stations under development in Saudi Arabia, driven by the new growth strategy
• Board recommends $350 million dividend equivalent to 10.285 fils per share for the second half of 2024, subject to shareholders’ approval

Abu Dhabi, UAE - 11 February 2025: ADNOC Distribution (ISIN: AEA006101017) (Symbol: ADNOCDIST), the UAE’s largest fuel and convenience retailer, today announced its financial results for 2024, achieving its highest-ever Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) of $1.05 billion (AED 3.86 billion), an increase of 4.8% year-on-year.

Underlying EBITDA, excluding inventory gains and one-off items, reached $989 million (AED3.63 billion), an increase of 11.4% 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% for the year 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.

Net profit, excluding the impact of the UAE corporate income tax which came into effect in 2024, would have grown by 2.4% year-on-year to $725 million (AED2.66 billion), highlighting ADNOC Distribution’s strong fundamentals. Reported net profit decreased 7.0% 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.

Eng. 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. Looking ahead, we are confident in sustaining robust growth and unlocking new opportunities both domestically and internationally.”

Operational Performance

ADNOC Distribution delivered record total fuel volumes of 15.0 billion liters in 2024, marking a year-on-year increase of 8.7%, 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% year-on-year to 11.9 billion liters.

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, solidifying ADNOC Distribution’s position as a leading fuel and convenience retailer in the region. 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 non-fuel retail business continues to demonstrate consistent strong results, with double-digit gross profit growth of 12.5% year-on-year. Key drivers of this growth included a 10.2% year-on-year increase in non-fuel transactions, the highest convenience store conversion rate in five years, a 33% year-on-year increase in barista-prepared drinks, upscaling of the car wash and lube change network, and launching additional Quick Service Restaurants.

The strong performance across the non-fuel retail business is a testament to the solid progress in successfully executing the Company’s new non-fuel retail strategy which is expected to gain further traction as new initiatives gather pace. In 2024, ADNOC Distribution added 17 new convenience stores in the UAE, taking the Company’s convenience stores network in the UAE to 373, and to 526 across its total network. This includes five standalone stores to capture opportunities for non-fuel retail growth outside its service stations.

There was a 10% increase in the number of occupied and awarded properties owned by ADNOC Distribution in 2024. New properties include restaurants that operate under exciting international and local brands bringing additional footfall to the Company’s service stations. There are now 12 Burger King restaurants operating at ADNOC Distribution sites under a franchise agreement, with plans to add a further 5-10 restaurants in 2025. This contributes to the Company’s target to diversify its revenue streams across its retail business. 

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 invested in advanced digital technologies in 2024, integrating AI-driven tools to optimize fuel delivery, enhance customer insights, and improve operational efficiency. The ADNOC Rewards loyalty program also grew to 2.3 million members, representing a 18.5% year-on-year increase and further strengthening customer engagement and brand loyalty.

Attractive Shareholder Returns

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 (AED 1.285 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.

This dividend is in line with the Company’s 2024-2028 dividend policy to distribute an annual dividend of $700 million (AED 2.57 billion) or at least 75% of net profit, whichever is higher. Free Cash Flow in 2024 reached $756 million (AED 2.78 billion), underscoring the Company’s consistent cash generation and solid financial position that supports the commitment to pay $700 million in dividends for 2024. 

Future Outlook

With a clear growth strategy, ADNOC Distribution remains on track to achieve its 2028 targets, including operating 1,000 service stations and over 500 EV charging points. In 2025, the Company plans to add 40-50 new stations across its network, including 30-40 in Saudi Arabia. After installing 220 EV charging points in 2024, the Company’s aims to install around 100 additional fast and super-fast charging points in 2025. It also plans to double the number of Tier-1 food and beverage properties in 2025, further enhancing its retail and real estate offerings.