ADNOC Distribution posts record Q1 2025 earnings

Arabian Business

06-05-2025

ADNOC Distribution, a leading UAE fuel and convenience retailer, reported a 16 per cent rise in its net profit in the first quarter of 2025 to $174 million (AED 639 million).
The company also reported an 11 per cent jump in its EBITDA in Q1 this year to $275 million (AED1.01 billion), its highest first-quarter EBITDA result since its 2017 IPO.
These strong results reflect growth in both fuel and non-fuel segments, driven by the company's focus on sustainable growth and cost efficiencies, ADNOC Distribution said.
Bader Saeed Al Lamki, Chief Executive Officer of ADNOC Distribution, said the record first-quarter performance demonstrates the company's commitment to growth and delivering sustainable and innovative solutions to its customers, while creating long-term value for shareholders.
'Our outstanding Q1 2025 results, with an 11 per cent rise in EBITDA and a 16 per cent increase in net profit, highlight the company's outstanding progress against its 2024-2028 growth strategy and commitment to operational excellence.
'As we continue to expand our network and capabilities, adding new service stations and enhancing our customer experiences, we remain focused on capturing new opportunities and setting new benchmarks for the mobility and convenience retail industry,' he said.
ADNOC Distribution said it achieved its highest-ever first-quarter fuel volume of 3.7 billion liters in Q1 2025, driven by market share growth, increasing demand, and network expansion in the UAE, Saudi Arabia, and Egypt.
Non-fuel retail (NFR) continues to be a key growth driver for the company, outpacing fuel growth, it said.
In Q1 2025, NFR gross profit grew by 14 per cent y-o-y, driven by a 9 per cent increase in transactions, higher convenience store conversion rates, and continued strong performance in car wash, lube change, and property management services.
The company said it added 20 new service stations in Q1, bringing the network-wide total to 915, up from 846 in Q1 2024, putting it on track to meet its target of 40-50 new stations by the end of 2025.
Key to this expansion has been the company's focus on the large and dynamic Saudi fuel retail market, where it is able to expand quickly to meet increasing demand, while minimising CAPEX by deploying a Dealer Owned-Company Operated (DOCO) business model.
In Q1 2025, ADNOC Distribution contracted 15 service stations in Saudi Arabia, growing its total network in the country to 115, up by 67 per cent compared to Q1 2024.
ADNOC Distribution also added 20 new quick-service retail outlets in Q1 2025, further cementing its position as the largest retail property network in the UAE with 1,165 units across the country.
Additionally, the company significantly expanded its E2GO public EV charging network, adding 63 new fast and super-fast charging points in Q1, bringing the total to 283 installed across the UAE, a y-o-y increase of 318 per cent.