RIYADH: The UAE’s Abu Dhabi National Oil Company (ADNOC) Distribution announced a net profit growth for the past year 2020 of 9.7 percent, reaching AED 2.4 billion ($653.4 million), compared to a profit of AED 2.2 billion in 2019, according to a statement on the Abu Dhabi Securities Market website.

ADNOC also achieved net profit growth in the fourth quarter of 2020 to AED 851 million, compared to AED 671 million for the same period in 2019.

The board of directors of ADNOC Distribution approved the distribution of cash dividends of AED 1.285 billion (equivalent to 10.285 fils per share) for the second half of the year 2020, to be presented to the shareholders for approval during the general assembly meeting expected to be held on March 16, 2021.

During the meeting, directors approved a proposal to amend the dividend policy for the year 2022 to reach at least AED 2.57 billion, equivalent to 20.57 fils per share, compared to at least 75 percent of the dividends distributable according to the current policy.

ADNOC CEO Ahmed Al-Shamsi said that the company was able to maintain its profitability during 2020, despite the circumstances and challenges faced by the markets, according to the statement.

“We have set ambitious growth targets for 2020, and we have achieved and exceeded them, both in terms of the number of new stations and retail stores that have been modernized,” he added.

Al-Shamsi explained that the company would move toward achieving its goal of increasing EBITDA (earnings before interest, taxes, depreciation and amortization) to no less than AED 3.67 billion by 2023.

The company announced during the last quarter of 2020 that it would strengthen its expansion in Saudi Arabia, agreeing to acquire 15 service stations, following this month’s announcement of signing two additional agreements to acquire 20 other stations.

ADNOC opened 64 new stations and increased its network in Dubai in 2020, with 20 new service stations opened in the emirate.