Tabreed proposes first-ever dividend in its history as H1 revenue rises to $300mn
Total connected capacity reached 1.37 million Refrigeration Tons (RT), with 18k RT of new connections in the UAE and 23.6k RT across regional markets.
Tabreed reports strong H1 2025 results
The new capacity played a role in the company reporting revenues of AED 1.11 billion (US$300mn), up 3 per cent from the corresponding period last year, and a net profit of AED 276 million (US$75.15 million), a 2.5 per cent increase YoY.
The uplift reflects continued scale benefits and disciplined cost control, alongside margin expansion as EBITDA rose 5 per cent to AED 632 million (US$172.1 million), with margins improving to 57 per cent.
Consumption volumes grew 3 per cent year-on-year in H1 2025 and accelerated to 8 per cent year-on-year in Q2 2025, reflecting both seasonal uplift and growing utilisation across Tabreed's network.
The results reflected strong momentum across Tabreed's platform, with improved margins, cost discipline and sustained demand, laying the foundation for continued growth.
Tabreed's Board of Directors proposed the interim dividend, which is 67 per cent payout based on H1 2025 net profit. The payment of dividend remains subject to shareholders approval at the General Assembly Meeting expected to be convened in September 2025.
Dr Bakheet Al Katheeri, Tabreed's Chairman, commented: 'Tabreed continues to demonstrate the strength and scalability of its platform, delivering solid financial results while advancing its long-term growth agenda. The record capacity additions in H1 2025, following landmark transactions, including the Palm Jebel Ali development and strategic acquisition of PAL Cooling, reinforce our position as a cross-regional operator and infrastructure partner with a clear mandate for value creation.
'As a Board, we remain focused on capital discipline and sustainable returns, and this balance between growth and value creation is reflected in our decision to propose Tabreed's first-ever interim dividend.'
During the period, Tabreed announced a 50:50 joint venture with CVC DIF, the company that is set to acquire PAL Cooling Holding from Multiply Group following regulatory approvals. The acquisition is set to add more than 182k RT, increase pro forma connected capacity to 1.55 million RT (+13 per cent) and includes eight concessions with total planned capacity of up to 600k RT.
It will expand Tabreed's long-term concession base and customer network, including a new relationship with Modon, and contribute to a secured future capacity pipeline of more than one million RT, equivalent to 80 per cent of current connected capacity.
The company also reported progress in its largest-ever greenfield project at Palm Jebel Ali, a 250k RT exclusive concession secured in partnership with Dubai Holding Investments. Together, the PAL Cooling acquisition and Palm Jebel Ali concession represent the two biggest strategic deals in Tabreed's history, expanding the company's total site capacity to approximately 2.6 million RT.
Free cash flows reached AED 973 million (US$265 million) over the past 12 months, translating to a 11.5 per cent yield. This is supported by strong collections, margin stability and disciplined capital allocation. As a result, net debt to EBITDA improved to 3.7x, down from 4.2x a year earlier.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Zawya
a few seconds ago
- Zawya
1,836 building permits issued in second quarter of this year: Qatar's ministry
Doha: The Ministry of Municipality announced Saturday that the Building Permit Complex and the technical affairs departments in municipalities issued a total of 1,836 building permits during the second quarter of 2025, covering new permits as well as those for additions, modifications, and renewals. In a statement, the Ministry said these permits covered 1,414 small-scale projects, 59 large-scale projects, and 363 other projects, reflecting the diversity of construction activity in the country. The Ministry added that the same period also saw the issuance of 1,872 other permits or certificates, including 919 building completion certificates, 340 maintenance permits, 189 demolition permits, and 424 property information certificates. Regarding approved engineering plans, the Ministry stated that a total of 91,887 plans were approved in the second quarter, including 62,237 for building permits, 25,522 for building completion certificates, 2,513 for maintenance permits, 1,310 for demolition permits, and 305 for property information certificates. © Dar Al Sharq Press, Printing and Distribution. All Rights Reserved. Provided by SyndiGate Media Inc. (
Gulf Business
a few seconds ago
- Gulf Business
Why regional CXOs must lead the next wave of GenAI transformation
Image: Supplied Generative AI (GenAI) has rapidly moved from proof-of-concept to boardroom priority across the Middle East. While initial enthusiasm was anchored in the impressive capabilities of large language models (LLMs), enterprises are quickly learning that true competitive advantage demands more than just deploying the latest AI models. The real value emerges when Why Standard LLMs Fall Short in the Enterprise LLMs are trained on vast but static datasets, limiting their knowledge to information available at the time of training. In regulated or fast-moving sectors, these limitations manifest as outdated or incomplete responses, raising both compliance risks and operational frustrations. For Middle Eastern enterprises facing evolving regulations and dynamic market conditions, these gaps are not just technical shortcomings — they can directly impact revenue and reputation. RAG: Transforming LLMs into knowledge powerhouses RAG bridges this critical gap by connecting AI models directly to diverse, real-time enterprise data. This not only keeps outputs current and reliable, but also boosts performance on tasks that require domain-specific knowledge or regional context. Additionally, RAG frameworks eliminate the need for continuous and expensive re-training of core models, streamlining scalability and reducing time-to-value as business use cases and data sources evolve. The market appetite reflects these benefits: global RAG spend is projected to soar from $1.2bn in 2024 to over $67bn in 2034, expanding at a compound annual growth rate of nearly 50 per cent. Agentic RAG: The next evolution — from answers to autonomous action With agentic RAG, enterprises are empowered to move beyond information retrieval to intelligent action. Rather than responding passively to user prompts with static outputs, agentic AI systems can autonomously plan, negotiate, execute, and optimise tasks — all while grounded in the latest organizational knowledge. Imagine AI assistants dynamically managing supply chain schedules, automatically resolving customer queries, or orchestrating employee onboarding — all with minimal human intervention but maximum compliance, consistency, and strategic alignment. For CXOs, this represents not just a step-change in productivity but a true leap in enterprise agility and innovation capacity. Agentic systems also introduce new dimensions of responsibility. Their autonomy and proactivity require strong frameworks for governance, transparency, and trust — especially as Middle Eastern governments advance national AI strategies and data protection laws. A strategic playbook for Middle East CXOs Embracing agentic RAG is as much a leadership mandate as it is a technology upgrade. Consider the following strategic actions: Build a unified data and infrastructure foundation Advance past silos by investing in robust, cloud-native data architectures. Standardised governance and privacy-first practices ensure that GenAI systems remain compliant with local regulations (such as GDPR and PDPLs) and are equipped for regional growth. Prioritise AI governance from day one Autonomous systems raise new questions of accountability. Establish ethical guidelines, audit trails, human oversight, and scenario-testing as non-negotiables. Transparency and responsible AI are essential to align with both stakeholder expectations and regulatory mandates. Develop true workforce-AI synergy The Middle East is witnessing exponential growth in demand for AI and ML skills. To fully harness agentic RAG, invest in upskilling programmes and nurture talent capable of translating business needs into AI outcomes. Encourage a culture of collaboration between human and machine. Start with impactful pilots Adopt a 'test-and-learn' mindset. Initiate agentic RAG pilots in high-value domains — such as automated customer support, dynamic supply chain adjustments, or internal policy management. Use clear KPIs and ROI metrics to guide rapid iteration and scaling. Tie GenAI to tangible business outcomes Anchor every AI initiative in measurable value. Whether it's reducing decision latency, enhancing the customer journey, or driving cost efficiencies, agentic RAG works best when it's solving real business problems for real people. Call to action: Lead the evolution, don't watch from the sidelines For Middle East CXOs, the status quo is no longer enough. Leading organisations are already transitioning from generic LLM deployments to bespoke, agentic RAG-powered ecosystems where intelligence is grounded, decisions are automated, and opportunities scale with data. The challenge is not just to keep pace, but to set the pace. Elevate GenAI discussions from IT operations to foundational business strategy. With agentic RAG, you're not just enabling smarter automation — you're building an enterprise that is resilient, adaptable, and primed for the future of work. Now is the time for Middle East business leaders to champion this evolution: secure your data, empower your teams, govern your AI, and reap the rewards of truly intelligent, action-oriented enterprise systems. The writer is the MD Gulf at
Zawya
a few seconds ago
- Zawya
Egypt pursues expansion of biogas, organic fertilizer production from agricultural waste
Egypt's Minister of Local Development and Acting Environment Minister, Manal Awad, held a key meeting on Sunday with Agriculture Minister Alaa Farouk to discuss accelerating the use of agricultural and livestock waste for biogas production and organic fertilizer manufacturing. This move aligns with the country's green transition goals and circular economy strategy, according to a joint statement from the ministries. The meeting was attended by senior officials from both ministries, representatives from the Biogas Energy Foundation for Sustainable Development, and experts in slaughterhouse management, agricultural extension, and livestock development. Awad emphasized that the government is committed to advancing projects that maximize the use of agricultural residues, slaughterhouse waste, and animal manure through biogas units. She highlighted an ongoing pilot initiative at the Kafr Shukr slaughterhouse in Qalyubeya as a model for broader implementation in modernized abattoirs. Awad called for expanding medium- and large-scale biogas units at key agricultural sites, including major farms, slaughterhouses, and hotels, to enhance the production of both biogas and organic fertilizers—thus improving the competitiveness of Egypt's agricultural exports. Farouk stressed the strategic significance of biogas projects, positioning waste recycling as a valuable economic resource that can turn environmental challenges into sustainable solutions. He also pointed out that the Ministry of Agriculture has the technical expertise and training infrastructure to support farmers and producers in adopting this innovative technology. Zagloul Khodr, an advisor to the Local Development Minister on slaughterhouses, presented feasibility studies for biogas units capable of processing 600 to 1,200 cubic meters of waste per day. These units are designed to generate electricity and produce organic fertilizer. Khodr noted that Egypt's agricultural exports reached 6.5 million tons last year and that the country's chemical fertilizer industry ranks seventh globally, underscoring the potential impact of biogas on the economy. The Biogas Energy Foundation reported that since its founding, it has successfully established 2,000 biogas units across 19 governorates, generating approximately 2.15 million cubic meters of gas annually—the equivalent of 86,000 LPG cylinders—and producing 50,000 tonnes of organic fertilizer. Current projects include an advanced unit at Cairo's Giza Zoo, a collaboration in Beni Suef with the UN Industrial Development Organization (UNIDO), and a joint initiative with Italy's Eni to build a biogas plant with a daily capacity of 5,000 cubic meters. To further accelerate this initiative, the ministers concluded the meeting by directing the formation of a committee tasked with developing a comprehensive plan to scale up biogas projects. The plan will focus on expediting the implementation of these projects and ensuring the efficient use of all types of agricultural and livestock waste to support Egypt's environmental sustainability and green transition goals.
