Dubai: Dubai’s district cooling leader Empower reported Dh494 million in revenue in the first quarter of 2023, on Friday.
The company's EBITDA for the quarter amounted to Dh284 million, up 8.2 per cent increase from the same period in the previous year. The growth during the quarter is attributed to the significant rise in demand for its services across various regions of Dubai, particularly from newly added mixed-use projects to Empower's portfolio.
The consumption of company’s high-quality district cooling services has surged to 286.4 million RTh, indicating a growth of 5.1 per cent compared to the same period of 2022.
“The growth of 2023 is primarily fueled by the rise in recurring and sustainable revenues resulting from the boom in various economic sectors and markets in Dubai, notably the real estate sector, which is the mainstay of the company's business,” Empower said in a statement.
During the first quarter of 2023, Empower entered into several exclusivity agreements including concessions agreements with major real estate development projects. In February 2023, the company signed an agreement with the Dubai Maritime City (DMC) to provide its projects district cooling services with a capacity exceeding 63,000 refrigeration tons (RT), and in March 2023, Empower signed an agreement with Sobha Real Estate to provide 17,000 RT district cooling services for the Sobha Hartland project.
Moreover, the company signed agreements for several other buildings in various parts of Dubai, including Business Bay, Jumeirah Village Circle, Dubailand, Dubai Studio City, DIFC, Jumeirah Lake Towers, and Barsha Heights, the total cooling capacity of these agreements reached 24,000 RT.
The results also reinforce Empower's strong and effective presence and its capability to attract investors to the Dubai Financial Market, motivated by their confidence in the company's strong base to continue achieving growth in terms of sustainable revenues and profits
Empower started operating its new district cooling plant in Dubailand with a total production capacity of 47,000 RT, which will provide cooling services to residents of the Dubai Land Residence Complex (DLRC).
Bin Shafar said that the company will continue investments in its portfolio of assets and infrastructure to serve the growing demand in the region’s district cooling market.
