Dubai: The UAE district cooling company Tabreed’s 9-month revenue powered up by 10 per cent to Dh1.8 billion, with new projects locally and a growing portfolio of overseas contracts helping out.
During the period, Tabreed – whose stock is up more than 20 per cent on DFM year-to-date – added 41,319 RT (refrigeration tons) to its existing capacity, including, most notably, two district cooling plants in Saudi Arabia. It also completed the buyout of a facility in India (from Tata Realty).
India, Saudi Arabia and Egypt have been primed as ideal overseas territories for Tabreed to expand into.
All this is starting to be felt on the bottom-line too, with net profit before tax attributable to parent entity at Dh605 million against Dh400 million. On an absolute basis, Tabreed's net profit of Dh285 million for the nine months.
“Our new projects and capacity additions throughout the period continue to demonstrate the attractiveness of district cooling in Tabreed’s key markets, with the company on track to add 120,000 RT over 2023-24," said Khaled Al Qubaisi, Tabreed’s Chairman.
Equally important is Tabreed’s commitment to pursuing growth opportunities and delivering attractive and sustainable long-term returns for shareholders, underpinned by a positive business outlook and resilient business model offering predictable cash flows.
Major win in Abu Dhabi
Tabreed commenced service delivery at the high-profile SeaWorld Abu Dhabi plant, while in India, it was named preferred bidder for a long-term district cooling concession by the Hyderabad Pharma City in Telangana state.
Phase 1 of the India project entails construction of district cooling facilities of 2,500 RT, with an approximate project cost of Dh36.2 million. The total concession capacity of the project will be 125,000 RT, to be implemented in phases in accordance with 'progress of the master-development and corresponding increase in cooling demand'.
"Tabreed continued to capitalise on its regional presence, growing rapidly and strategically across its core markets, domestically in the UAE and across GCC and Asia, further cementing our position as the district cooling partner of choice," said Al Qubaisi.