ADNOC Distribution Shareholders Approve H2 2024 Dividend, Bringing Total Annual Payout to $700 Million
ADNOC the UAE’s leading fuel and convenience retailer, has secured shareholder approval for all agenda items at its Annual General Assembly Meeting (AGM). This includes the final cash dividend of $350 million (AED 1.285 billion) for the second half of 2024, scheduled for distribution in April 2025. With this approval, the total annual dividend for 2024 reaches $700 million (AED 2.57 billion), representing a 6.1% yield based on the March 25, 2025, closing share price of AED 3.39. The payout aligns with the company’s 2024-28 dividend policy, which guarantees a minimum annual distribution of $700 million or 75% of net profit, whichever is higher.
ADNOC: Record-Breaking Performance in 2024
Dr. Sultan Ahmed Al Jaber, Chairman of ADNOC Distribution, commented: “Financially, 2024 was another record-breaking year. We successfully executed our five-year strategy, achieving key milestones that solidified our market position. For the second consecutive year, our EBITDA exceeded $1 billion, driven by record fuel volumes, strong non-fuel retail growth, and enhanced contributions from international operations. These achievements have enabled us to deliver exceptional shareholder returns.”
In 2024, ADNOC Distribution achieved a record EBITDA of $1.05 billion (AED 3.86 billion), marking a 5% year-on-year increase. This growth was fueled by a nearly 9% rise in fuel volumes, continued expansion in non-fuel retail, and a stronger performance from its operations in Saudi Arabia and Egypt. The company also generated robust free cash flow, totaling $756 million (AED 2.78 billion) in 2024.
Since its IPO in 2017, ADNOC Distribution has distributed a total of $4.8 billion (AED 17.4 billion) in dividends, delivering a 92% total shareholder return. The 2024 dividend represents a 3.5x increase from the $200 million distributed in its first year as a publicly listed company.
ADNOC: Expanding Footprint and Future Growth Plans
Eng. Bader Saeed Al Lamki, CEO of ADNOC Distribution, stated: “We are committed to shaping the future of mobility and convenience retail. Our focus remains on international expansion, high-growth areas, and enhancing our service offerings. Throughout 2025, we will continue to drive towards our five-year objectives, targeting 1,000 service stations, increasing non-fuel transactions by 50%, and expanding our E2GO network to 500 EV charging points across the UAE by 2028.”
Looking ahead, ADNOC Distribution plans to install approximately 100 additional fast and super-fast EV charging points across the UAE in 2025, reinforcing its commitment to sustainable mobility solutions. The company is also transforming its service stations into community hubs by doubling the number of properties occupied by top international and regional food and beverage brands by year-end.
By 2028, ADNOC Distribution aims to expand its ADNOC Oasis convenience store network by 25%, increase non-fuel transactions by 50%, and establish 50 directly operated franchise stores. This strategy is expected to enhance property yields by 2.5 times compared to traditional rental agreements.
Strategic Expansion in Saudi Arabia
ADNOC Distribution is aggressively expanding in Saudi Arabia, with plans to add 40-50 new service stations in 2025. Of these, 30-40 will be in Saudi Arabia, further strengthening its presence in the Kingdom. In 2024, the company reached a milestone of 100 stations in Saudi Arabia, utilizing a smart Dealer-Owned, Company-Operated (DOCO) model. This capital-efficient strategy allows ADNOC Distribution to partner with local dealers who own service stations while managing operations.
By 2029, the company aims to operate at least 300 stations across Saudi Arabia, positioning itself among the top five fuel and convenience retailers in the Kingdom.
Investment in Digital Transformation
With a planned CAPEX of $250-300 million for 2025, ADNOC Distribution is also investing heavily in AI-driven data analytics and personalized customer engagement. These initiatives will enhance customer experience and reinforce its leadership as the UAE’s top multi-energy mobility retailer while maintaining disciplined international expansion.
ADNOC Distribution’s robust financial performance, strategic investments, and commitment to sustainability and innovation underscore its ambition to shape the future of mobility and convenience retail across the UAE and beyond.
