Adnoc Distribution reported record financial results for the first half of 2026, posting a 59 per cent year-on-year increase in net profit to $568 million, while reported EBITDA rose 39 per cent to $786 million.

Underlying EBITDA, which excludes inventory gains, increased 14 per cent to $603 million, reflecting continued operational strength.

Gross profit climbed 29 per cent to $1.16 billion during the six-month period, supported by record fuel sales of 7.75 billion litres across the company's expanding retail network in the UAE, Saudi Arabia and Egypt.

Adnoc Distribution increased its service station network by 11 per cent year-on-year to 1,045 sites, benefiting from resilient retail and commercial demand.

Bader Al Lamki, Chief Executive Officer of Adnoc Distribution, said: “Despite a dynamic macroeconomic environment, Adnoc Distribution delivered another record performance in the first half of 2026, demonstrating the resilience of our diversified business model and the strength of our growth strategy. We are scaling higher-margin opportunities in non-fuel retail while continuing to strengthen our core fuel business. Building on our H1 momentum, we are accelerating innovation, expanding our digital revenue streams and progressing with the proposed acquisition of Shell Downstream South Africa – a major milestone in our international expansion journey. As we continue to shape the future of mobility, our focus remains on delivering exceptional customer experiences and creating sustainable shareholder value.”

The company continued to strengthen its higher-margin non-fuel retail (NFR) business, with gross profit from the segment rising 12 per cent on the back of increased customer footfall, higher transaction volumes and a broader food and convenience offering.

Its roadside retail concept, The Hub by Adnoc, also contributed to growth and is expected to generate annual EBITDA of $30 million by 2030.

As part of its convenience retail expansion, Adnoc Distribution signed a strategic agreement with Americana Restaurants International in May to introduce up to 200 quick-service restaurants across its network.

The company also accelerated its transition towards sustainable mobility by opening the region's largest electric vehicle (EV) mega-hub on the E11 highway linking Abu Dhabi and Dubai.

Its E2GO charging network expanded 35 per cent year-on-year, while electricity sales through the network more than doubled compared with the first half of 2025.

Vehicles charged through Adnoc Distribution's network travelled 27.4 million low-emission kilometres during the period.

In digital transformation, Adnoc Distribution launched Engage by Adnoc, the UAE's first full-funnel retail media network operated by a mobility and convenience retailer.

Supported by Adnoc Group's Artificial Intelligence and Digital Transformation programme, the platform is expected to create a new data-driven revenue stream.

The company is also advancing more than 20 AI initiatives across its operations, while membership of the Adnoc Rewards programme approached 2.8 million.

International expansion remained a strategic priority.

In July, Adnoc Distribution signed a definitive agreement to acquire Shell's downstream business in South Africa for an implied enterprise value of $1 billion, subject to regulatory approvals.

The acquisition is expected to enhance earnings per share by 6 per cent in its first full year after completion, anticipated in 2027.

The board approved a second-quarter 2026 dividend of 5.14 fils per share, equivalent to $175 million, payable in September, reaffirming its commitment to annual shareholder returns of $700 million or at least 75 per cent of net profit, whichever is higher. -OGN/TradeArabia News Service