auto adnoc
Filling up - a full return to activity will drive ADNOC Distribution's volumes in the fourth quarter. Image Credit: Supplied

Dubai: Higher fuel consumption drove ADNOC Distribution’s net profit for the July to end September phase to Dh529 million. But this came in lower than last year’s Dh671 million for the same period. For the first nine months, the company’s net profit was at Dh1.7 billion, a gain on the Dh1.5 recorded a year ago.

The Abu Dhabi based fuel retailer expects fuel volumes to stick to a high-growth path in the coming weeks. “The company continues to see recovery with September total fuel volumes increasing by 10.6 per cent compared to August, following the easing in travel restrictions, the successful vaccination drive across the UAE, government entities now 100 per cent back to office, and schools return to face-to-face learning,” a statement said.

Heavy dividend
ADNOC Distribution paid an first-half interim dividend of Dh1.28 billion (or 10.285 fils per share) in October.

This would translate to a 4.8% annual dividend yield for 2021 (based on a share price of Dh4.26 as of November 8). The second and final dividend for 2021 is expected to be paid in April 2022.

According to Bader Saeed Al Lamki, CEO of ADNOC Distribution, said the company “presents a compelling investment story as today’s results show. The green shoots of recovery are here and accelerated growth is clear to see.

“We will continue to deliver on our expansion plans, domestically and internationally, which positions us as an even stronger fuel and convenience retail leader in the UAE and cements our place as a global fuel retailer.”