ADNOC Distribution Nine-Month Profit Rises 37% to Dh2.9 Billion on Record Fuel Volumes

The results show the region's largest fuel retailer growing earnings faster than its core volumes. It is also expanding non-fuel businesses and heading into a fourth country of operation. For shareholders, the more immediate news is a third-quarter dividend of 5.14 fils a share, worth Dh643 million ($175 million). The company expects full-year 2026 payouts to exceed $700 million.

EBITDA rose 26 per cent to Dh4.10 billion ($1.12 billion) for the nine months. Underlying EBITDA, which strips out items such as inventory movements, grew a slower 14 per cent to Dh3.47 billion ($944 million). That gap shows part of the headline growth came from inventory gains rather than operations. Gross profit rose 20 per cent to Dh6.12 billion ($1.67 billion), lifted by higher fuel volumes, inventory gains and bigger contributions from non-fuel retail and international operations.

Fuel volumes reached a record 11.86 billion litres, of which 8.26 billion litres went through retail. Non-fuel retail gross profit rose 13 per cent to Dh797 million ($217 million) and grew faster than fuel retail gross profit. Convenience stores and property management led that growth, and ADNOC Rewards membership rose 15 per cent.

Chief executive Bader Saeed Al Lamki said the company is "building on this momentum to future-proof our growth by scaling higher-margin NFR opportunities and progressing our international strategy." He described the group as "transforming into a leading international mobility and convenience retailer."

Stations Ahead of Target

The company opened 71 stations in the nine months, reaching its original full-year target with a quarter to spare. It has raised its 2026 guidance to between 80 and 90 new stations. The network now stands at 1,081 sites. Eight larger Hub by ADNOC roadside sites are open, each with three times the retail space of a standard station. The company plans 30 by 2030, including five new sites this year. Its E2GO electric vehicle charging network grew 18 per cent, and it is targeting 50 to 60 new charging points in 2026.

The retailer also launched Engage by ADNOC, a retail media network built on its artificial intelligence programme. The company said it now runs more than 20 AI initiatives, covering fuel demand forecasting, supply chain optimisation and customer engagement.

The South Africa Deal

The proposed acquisition of Shell Downstream South Africa is still subject to regulatory approvals and closing conditions. When ADNOC Distribution announced it in July, it put the deal's implied enterprise value at about $1 billion. The deal would add Shell's network of 580 fuel stations and take the combined business to about 1,600 stations and 900 convenience stores. Completion is expected in 2027, and 28 per cent of the South African business will go to a local empowerment partner and an employee share plan after closing. South Africa would join the UAE, Saudi Arabia and Egypt as the company's fourth market. Management expects the deal to lift earnings per share by 6 per cent in the first full year after completion.

Under its 2026-30 dividend policy, ADNOC Distribution pays out the greater of $700 million or 75 per cent of net profit each year. The company said the third-quarter dividend will take its total payouts since its initial public offering to Dh22 billion ($6 billion).

Investors must hold the shares by November 12 to receive the third-quarter dividend. The shares go ex-dividend on November 13, the record date is November 16, and payment is due in early December.