ADNOC Distribution Nine-Month Profit Rises 37% to $791 Million on Record Fuel Volumes

Earnings before interest, taxes, depreciation and amortisation rose 26% to 4.11 billion dirhams ($1.12 billion), the company said in its results statement. Underlying EBITDA, which strips out items such as inventory gains, grew a slower 14% to 3.46 billion dirhams ($944 million). Gross profit increased 20% to 6.12 billion dirhams ($1.67 billion). The company attributed the gain to higher fuel sales, inventory gains and bigger contributions from its non-fuel retail business and international operations.

The gap between reported and underlying earnings matters for investors. Part of this year's profit jump came from inventory gains, which depend on fuel price movements. The more lasting drivers are a growing network and growing non-fuel sales. A year earlier, the company reported nine-month net profit of $579 million.

Stations, Shops and AI

The company added 71 service stations in the nine months, reaching its original target for the whole year ahead of schedule, and ended the period with 1,081 stations. It has raised its 2026 network target to between 80 and 90 new stations, and kept its targets of 50 to 60 new electric vehicle charging points and five new sites under The Hub by ADNOC format. Fuel volumes reached a record 11.86 billion litres, of which 8.26 billion litres went through retail. Its E2GO charging network grew 18% year on year.

Gross profit from non-fuel retail grew 13% to $217 million (796 million dirhams). The company said this came from its shops and property management business and a 15% rise in members of its ADNOC Rewards loyalty programme. It has also launched Engage by ADNOC, a retail advertising network built on customer data. The company describes it as a new, high-margin revenue line that grew out of its AI and digital strategy. ADNOC Distribution said it is running more than 20 AI-backed initiatives across its operations, including fuel demand forecasting, supply chain efficiency and personalised customer offers.

The Hub by ADNOC sites are roadside retail destinations with about three times the space of a conventional service station. Eight are open, and the company plans 30 by 2030.

South Africa and Dividends

Chief executive Badr Saeed Al Lamki said the results reflected the company's diversified business and disciplined execution. He said expanding higher-margin non-fuel retail and moving into new countries would drive further growth. Its biggest planned international move is the proposed acquisition of Shell Downstream South Africa's business. Subject to regulatory approvals and closing conditions, the deal would make South Africa the company's fourth country of operation. ADNOC Distribution expects the acquisition to add 6% to earnings per share in its first full financial year after completion.

The board approved a third-quarter cash dividend of 5.14 fils per share, or $175 million (642 million dirhams), payable in early December. That payment will take cumulative cash dividends since the company's IPO to $6 billion (22 billion dirhams). The company expects total dividends for 2026 to exceed $700 million (2.56 billion dirhams). Its 2026-2030 policy is to pay the higher of $700 million a year or at least 75% of net profit.