ADNOC Distribution reported a 37 per cent year-on-year (YoY) increase in net profit to $791 million for the first nine months of 2026, supported by higher fuel volumes, network expansion and growth in non-fuel retail operations.
The company’s EBITDA
rose 26 per cent to $1.12 billion, compared with $885 million in the same
period last year, while underlying EBITDA increased 14 per cent to $944
million. Gross profit climbed 20 per cent to $1.67 billion, up from $1.39
billion in 9 million 2025.
The results reflect
stronger contributions from fuel retail, inventory gains, convenience stores
and international operations.
Bader Al Lamki, Chief Executive Officer of ADNOC Distribution, said: “ADNOC Distribution’s strong nine-month performance demonstrates the breadth of our diversified platform and the disciplined execution of our growth strategy. We are building on this momentum to future-proof our growth by scaling higher-margin NFR opportunities and progressing our international strategy. Through initiatives such as our proposed entry into South Africa, we are transforming into a leading international mobility and convenience retailer and creating long-term shareholder value.”
Non-fuel retail
drives growth
Non-fuel retail (NFR)
continued to deliver double-digit growth, with gross profit reaching $217
million in the first nine months, up 13 per cent YoY.
Performance was
supported by convenience stores and property management operations, alongside a
15 per cent increase in ADNOC Rewards membership.
The company also
launched Engage by ADNOC, a data-driven retail media network developed under
its AI and Digital Transformation (AIDT) strategy. The platform is designed to
create an additional, scalable and higher-margin revenue stream.
ADNOC Distribution
currently has more than 20 AI-enabled initiatives across its operations,
covering areas such as fuel demand forecasting, supply chain optimisation and
personalised customer engagement.
Its roadside retail
concept, The Hub by ADNOC, is another growth driver. Offering a retail
footprint three times larger than traditional service stations, the concept
combines lifestyle, convenience and mobility services. Eight sites are
currently operational, with the company targeting 30 locations by 2030.
Network expansion
exceeds initial target
ADNOC Distribution
added 71 new service stations during the first nine months of 2026, achieving
its initial full-year network expansion guidance ahead of schedule.
The company ended
September with 1,081 stations and raised its full-year 2026 expansion target to
between 80 and 90 new locations. It maintained its guidance to add 50-60 EV
charging points and five new Hub sites during the year.
Fuel volumes also
reached a record 11.86 billion litres during the period. Retail fuel volumes
increased to 8.26 billion litres, supported by network expansion in the UAE and
initiatives aimed at increasing customer footfall.
The company expanded
its E2GO electric vehicle (EV) charging network by 18 per cent YoY as it
progresses its commitment to electrifying key UAE highways by 2030.
South Africa
expansion plans
ADNOC Distribution’s
international growth strategy gained momentum following its proposed
acquisition of Shell Downstream South Africa, announced earlier this year.
Subject to regulatory
approvals and customary closing conditions, the transaction would establish
South Africa as the company’s fourth country of operations.
The proposed
acquisition is expected to deliver a 6 per cent uplift in earnings per share
during the first full year following completion, supporting the company’s
ambition to expand its international mobility and convenience retail platform.
Dividend payments
to exceed $700m
ADNOC Distribution’s
board approved a third-quarter dividend of 5.14 fils per share, equivalent to
$175 million, with payment expected in early December.
Once paid, cumulative
dividends distributed since the company’s initial public offering will reach $6
billion.
Supported by its
earnings outlook, the company expects full-year 2026 dividends to exceed $700
million.
Under its 2026-2030
dividend policy, ADNOC Distribution has committed to distributing $700 million
annually or at least 75 per cent of net profit, whichever is higher.
The company said it would continue strengthening its core fuel and convenience retail operations while expanding into new markets, attracting customers and developing additional growth opportunities. -TradeArabia News Service