Abu Dhabi National Oil Company for Distribution (ADNOC Distribution) on Thursday reported a 55% year-on-year profit growth in the third quarter of 2018.
The fuel distribution unit of Abu Dhabi National Oil Company (Adnoc) logged a net profit of AED 558 million ($151.91 million) during the three-month period ended September, compared to AED 360 million in Q3-17, according to a filing to the Abu Dhabi Securities Exchange (ADX).
The Emirati oil firm attributed the third-quarter profit rise to a major increase in revenues, coupled with lower expenses.
Revenues went up 24% to AED 5.96 billion ($1.62 billion) from July to September, compared to AED 4.80 million in the year-ago period, while capital expenditures plunged 77.6% to AED 195 million from AED 874 million.
“We have made significant progress across all three pillars of our strategy – fuel, non-fuel and cost-efficiency initiatives,” ADNOC Distribution’s acting CEO Saeed Mubarak Al Rashdi said.
The ADX-listed firm posted a 28% year-on-year profit increase during the first nine months of 2018, reaching AED 1.67 billion, while revenues grew 19% to AED 16.9 billion.
“We have seen good momentum across our businesses, led by a 54% increase in Earnings before interest, tax, depreciation and amortisation (EBITDA) in our retail segment and a 3 % increase in volumes sold by our corporate sales segment in the first nine months of 2018,” deputy CEO John Carey stated.
Earnings per share (EPS) stood at AED 0.135 by the end of September, against AED 0.105 in the prior-year period.
ADNOC Distribution’s net profit rose 18% year-on-year to AED 1.124 billion during the first half of 2018, compared to AED 951.8 million in H1-17.