Tabreed H1 net profit surges 4% to Dh233.5m

Tabreed, the National Central Cooling Company, reported on Wednesday a 4.0 per cent increase to Dh233.5 million in net profit for the first six months of 2021 compared to the same 2020 period.

The Abu Dhabi headquartered company said its group revenue jumped by 22 per cent to Dh869 million in H1 2021 from Dh710 million a year ago. “Core chilled water revenue increased by 22 per cent to Dh832.1 million (H1 2020: Dh681.2 million) as Ebitda increased by 25 per cent to Dh517.6 million (H1 2020: Dh415.4 million),” a Tabreed statement said.

Profit from operation increased year on year by 40 per cent to Dh326 million compared to Dh232.8 million in H1 2020. Share of results of associates and joint ventures increased by 37 per cent to Dh24.9 million (H1 2020: Dh18.2 million), Tabreed said.

“As Tabreed has remained focused on achieving its stated objectives, revenue has continued to grow, along with its portfolio of district cooling networks. Recent additions include a fourth plant in Downtown Dubai, along with additional connections to our existing concession areas. Capacity has also increased, in Bahrain and Oman,” it said.

Khaled Abdulla Al Qubaisi, Tabreed’s chairman, said Q1 results are impressive in their own right and set the tone for what will undoubtedly be another historic year for one of the UAE’s most important and influential companies. “Our second quarter has proved we are on the right path for sustainable and meaningful growth.”

“We are also building on the foundations laid by our recent corporate rebranding, making good on our plans to reach a more global audience and playing an ever more important role in the UAE’s ambitious plans for carbon neutrality. Progress is a central pillar for Tabreed and these financial and operational results bolster our determination to forge ahead as an industry leader that positively affects all who deal with us,” said Al Qubaisi.

Khalid Abdullah Al Marzooqi, Tabreed’s chief executive officer, said the first half of 2021 has shown Tabreed’s steadfast resilience in market conditions that remain challenging due to the continued impact of the pandemic. “This has been a busy year for us and we continue to push forward, meeting our goals and exceeding expectations, which are good for everyone, from staff to stakeholders and shareholders, for whom we consistently deliver valuable returns.”

Al Marzooqi said the company’s portfolio continues to grow through strategic business development that is measured and carefully considered. In the past six months Tabreed increased cooling capacity in three different countries, most notably with the addition of a fourth district cooling plant in Downtown Dubai, which forms part of Tabreed’s acquisition deal with Emaar in April last year. “This is a remarkable plant with state-of-the-art infrastructure and a central control room for monitoring and controlling the entire network in Downtown Dubai, further strengthening Tabreed’s reputation as a company that is lean, agile, efficient, reliable and progressive.”

In the first half, total connected capacity reached 1,417,179 Refrigeration Tons (RT), with 12,650 RT being added in the UAE, 410 RT added in Bahrain and 300 RT in Oman. The company achieved a record 13,810,261 hours worked without a single lost time incident (LTI), the most recent occurring in July 2015.

-- issacjohn@khaleejtimes.com