calendar_month February 15, 2023
Tabreed’s Full 2022 Financial Results Show 19% Increase in EBITDA to AED 1.23 Billion
  • Pioneering UAE district cooling company accelerates international expansion
  • Board approves record dividend payment of 13.5 fils per share

 

Abu Dhabi, United Arab Emirates – 15 February 2023: Tabreed, the UAE’s longest-established district cooling company, today released its consolidated financial results for the year 2022, reporting an EBITDA of AED 1.23 billion – a 19% increase over 2021 and a net profit of AED 600.2 million, representing an increase of 3%.

 

Additionally, Tabreed’s Board of Directors announces it is recommending a dividend of 13.5 fils per share, to be paid fully in cash – an increase over last year, acknowledging growth of the business while retaining availability of capital for further expansion.

 

It was an exceptional year for Tabreed, as the company spent 2022 building on its already robust network of assets, spearheading expansion into existing and all-new markets, while investing heavily in its existing UAE infrastructure. In January, Tabreed practically doubled its concession capacity in Oman with the acquisition of a seventh district cooling plant, which services Al Mouj, the Sultanate’s most prestigious new real estate development.

 

This was swiftly followed, in February, by the announcement of Tabreed’s partnership with Gascool and Marakez for Real Estate Investment Company, to provide district cooling services to the new D5M mall in New Katameya, east Cairo. Just seven months later, Tabreed signed an agreement with Egyptians for Healthcare Services Company (EHCS), to build, own and operate on a long-term basis, an expansive district energy plant to supply cooling and heating to CapitalMed, an all-new healthcare city project by EHCS in Cairo.

 

In May, Tabreed sponsored and exhibited at the inaugural World Utilities Congress in Abu Dhabi’s National Exhibition Centre (ADNEC). And in June, Tabreed received valuable recognition on the international stage, being presented with the Silver Award for the Number of Buildings Committed in 2021 Beyond North America, by the International District Energy Association (IDEA), with respect to the connection of 56 new buildings to its networks.

 

Tabreed plays a vital role in the region’s sustainability targets and, during 2022, the company was privileged to be part of the UAE’s delegation which represented the country at COP27, the global environmental summit held in Egypt. Such high-profile activities have helped Tabreed to position itself at the forefront of this nation’s sustainability agenda, gearing up for further involvement during 2023 and the UAE’s hosting of COP28.

 

The year also began and ended with two senior appointments to Tabreed’s Executive Management Team. In January, Antonio Di Cecca was named Chief Operating Officer (replacing Jean-François Chartrain) and, in November, the all-new position of Chief Asset Management Officer was announced, with Dr Yousif Al Hammadi assuming the role.

 

During 2022, Tabreed added 34,454 Refrigeration Tons (RT) of new connections in the UAE, 19,202 RT in Oman and 500 RT in Bahrain, increasing the company’s total connected capacity to 1,264,252 RT.

 

Financial highlights – 12 months ended 31 December 2022:  

 

  • Group revenue increased by 13% to AED 2.22 billion (2021: AED 1.95 billion)
  • Core chilled water revenue increased by 14% to AED 2.14 billion (2021: AED 1.88 billion)
  • EBITDA increased by 19% to AED 1.23 billion (2021: AED 1.03 billion)
  • Net profit attributable to the parent increased by 3% to AED 600.2 million (2021: AED 585.2 million)

 

Operational highlights – 12 months ended 31 December 2022:         

 

  • Total connected capacity increased to 1,264,252 Refrigeration Tons (RT)
  • 54,156 RT of new customer connections added
  • Tabreed achieved a record 17,039,729 hours worked without a single lost time incident (LTI), the most recent occurring in July 2015

 

Environmental impact highlights – 12 months ended 31 December 2022:

 

  • 2.31 billion kilowatt hours saved across the GCC – enough to power approximately 132,000 homes every year
  • Prevented the release of 1.38 million metric tons of CO2 into the atmosphere, which is equivalent to the removal of approximately 300,000 vehicles from the roads annually

 

Khaled Abdulla Al Qubaisi, Tabreed’s Chairman, said of the results: “With each passing year, Tabreed fortifies its already iron-clad reputation as one of this country’s most resilient companies. Targeted, strategic, carefully planned growth continues to manifest meaningful results that benefit shareholders, employees, clients, and the districts and communities in which we operate. As we take our globally renowned expertise into new markets, we further our positive impact by helping to negate climate change through optimum efficiencies. And we do this, always with sustainability as a cornerstone of our continuous success.”

 

Adding to these remarks, Khalid Abdulla Al Marzooqi, Tabreed’s Chief Executive Officer, said: “During 2022, Tabreed’s objectives and intentions became crystal clear. Our medium- and long-term strategy is being rolled out, with the company entering additional territories and increasing awareness through close alignment with governments, legislators, and developers, who understand how vital our services are in the drive to Net-Zero. This company is built on excellence and the pursuit of maximum efficiency, and these results prove that Tabreed’s reputation as the world’s leading district cooling company is entirely justified.”

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calendar_month May 16, 2025
UAE’s Ministry of Defence Strengthens its Environmental Credentials with Tabreed and Emerge
New Abu Dhabi project sees the integration of solar power into Tabreed’s energy mixAbu Dhabi, United Arab Emirates – 16 June 2025: The UAE Ministry of Defence, in partnership with Tabreed, the world’s leading district cooling company, and Emerge, a joint venture between the UAE’s Masdar, a global clean energy leader, and France’s EDF Group, announced today the completion of a new project to integrate solar energy into two district cooling plants serving the Ministry’s facilities in Abu Dhabi.In March 2024, a partnership agreement was signed to develop solar PV plants to be operated for a period of 25 years. Approximately 4,000 solar panels have been installed at the district cooling plants, supplying their thermal energy storage infrastructure and chilled water pumps with 2.4 megawatt (MW) of clean electricity. This will help reduce reliance on the electricity grid during peak periods and prevent emissions of more than 2,600 tons of CO2 annually.The project was officially inaugurated by a senior delegation from the Ministry of Defence, Tabreed and Emerge. This initiative follows the unveiling of the UAE Armed Forces Climate Change Strategy in December 2023, announced by the UAE Ministry of Defence to reinforce its commitment to reducing carbon emissions through a long-term energy transition. Tabreed’s CEO, Khalid Al Marzooqi, explained that this achievement further strengthens the already close strategic relationship between the company and the Ministry of Defence, which began with the commissioning of its first district cooling plant in 1998. He added, “Sustainability is a core concept at Tabreed, and we continually analyse and improve our operations in line with global aspirations to achieve climate neutrality. Recently Tabreed made a significant leap in diversifying its energy mix by introducing geothermal energy, and today we are proud to introduce another renewable: solar. These achievements underscore Tabreed’s commitment to the UAE’s net-zero goals and we will continue to integrate renewable energy at additional plants, to further our support of the public and private sectors in achieving their own environmental targets.”Michel Abi Saab, General Manager of Emerge, said: “This milestone reflects the growing momentum for distributed solar solutions across vital sectors of the UAE. We are proud to support the Ministry of Defence and Tabreed in advancing their sustainability goals by integrating clean energy into core infrastructure. At Emerge, we remain committed to enabling partners across the region to decarbonise their operations, reduce energy costs and drive measurable impact towards the UAE’s net-zero ambitions.” - ENDS –
calendar_month May 14, 2025
Tabreed Releases its Q1 2025 Financial Results and Gears Up for Extensive Growth with New Joint Venture
EBITDA and net profit both increase over same period in 2024Major announcements include signing biggest deal in company’s 27-year historyAbu Dhabi, United Arab Emirates – 13 May 2025: Tabreed, the world’s leading district cooling company, has released its consolidated financial results for the first quarter of 2025, once again reporting increases in EBITDA and net profit over the same period last year. The company’s EBITDA increased by 4% year-on-year to AED 283 million, with an improved margin of 61%, while net profit after tax increased to AED 115 million in Q1 2025, growing by 3% compared to Q1 2024.While the company’s financial performance remained steady during the first quarter of 2025, in this period Tabreed made significant announcements regarding developments that will positively impact its long-term outlook and portfolio growth. The first of these was the raising of USD 700 million via the issuance of a Green Sukuk with a competitive profit rate of 5.279%, attracting strong international investor demand. The proceeds were used for refinancing, in line with eligible use according to Tabreed’s Green Finance Framework.As a result of this refinancing, Tabreed demonstrated further strengthening of its balance sheet, with the majority of its short-term debt converted into longer term maturities, along with further reduction in net debt by 3% YTD and savings in net finance costs of 7% YoY. As a result, leverage further improved with a net debt to EBITDA ratio of 3.55x (compared to 3.7x on 31 December 2024).The second major announcement, following a special signing ceremony held in Dubai on 16 March, confirmed that Tabreed had entered a concession agreement in partnership with Dubai Holding Investments to exclusively provide district cooling services to one of the region’s most eagerly awaited projects: Palm Jebel Ali.This is an important milestone in the history of Tabreed – a 250,000 Refrigeration Ton (RT) concession representing approximately one fifth of the company’s connected capacity. The network will require an estimated investment of AED 1.5 billion, making it the biggest greenfield deal in Tabreed’s 27-year history, and enhances its competitive position in the fast-moving, dynamic Dubai market.Also during the first quarter of 2025, shareholders approved a cash dividend of 15.5 fils per share for 2024, implying attractive yield of 5.6% (at a share price of AED 2.76 as of 12 May 2025). The company’s financial position remained strong, allowing it to invest in accelerating growth while returning cash to shareholders in the form of dividends, thereby delivering sustainable long term value creation. Q1 also saw 4,599 RT of new customer connections added within the UAE and new capacity addition is expected to gather pace in the coming months.Financial highlights – three months ended 31 March 2025: Group revenue remained broadly stable at AED 466 million (Q1 2024: AED 468 million)EBITDA increased by 4% YoY to AED 283 million (Q1 2024: AED 272 million)Net profit after tax increased by 3% to AED 115 million (Q1 2024: AED 112 million)Operational highlights – three months ended 31 March 2025:      Consumption volumes decreased by 7%, due to colder weather than experienced during first quarter of 2024Total connected capacity reached 1.33 million Refrigeration Tons (RT)4,599 Refrigeration Tons (RT) of new customer connections added in the UAEChairman of Tabreed, Dr Bakheet Al Katheeri, said: “On the surface all appears ‘business as usual’ and, indeed, the Q1 results demonstrate a company with stability and dependability at its core. While this is entirely true, behind the scenes there is incredible drive and energy facilitating substantial expansion in key markets, Dubai being a prime example. Our recent landmark deal with Dubai Holding Investments perfectly encapsulates the spirit of Tabreed, which prizes strategic partnerships with organisations aligned with our values and objectives.“Tabreed’s resilience is one of its hallmarks and only through prudent financial stewardship is the company in a position to commit to such long-term, significant investments. The value to investors will increase, the positive environmental impact continuing to grow, with greater uptake of its globally renowned services. The future is brighter than ever for Tabreed and I look forward to seeing it flourish for many years to come.”
calendar_month March 28, 2025
Tabreed’s Annual General Assembly Approves AED 441 Million Dividend Payout for FY 2024
Annual General Assembly confirms new appointments to Board of DirectorsChairman points to a momentous, transformative 2025Abu Dhabi, United Arab Emirates – 26 March 2025: Tabreed, the world’s leading district cooling company, yesterday held its Annual General Assembly (AGA). In recognition of the company’s strong financial and operational performance throughout 2024, shareholders approved a dividend payment of 15.5 fils per share, representing more than AED 441 million, to be paid fully in cash.Over the past five years, Tabreed has delivered total shareholder return of 96% in the form of share price increases and dividends and, during 2024, the company reported record revenues and a 32% increase in net profit after tax.The AGA was chaired by Tabreed’s Chairman, Dr Bakheet Al Katheeri, and during the meeting shareholders also confirmed the appointments of new board members, Mansoor Al Hamed and Janis Rey Lozada.Al Katheeri said that Tabreed had performed consistently well throughout 2024, reaping the benefits of prudent recent investments and a considered approach to business development and expansion. “This is one of the UAE’s most resilient companies,” he remarked, “and delivers excellent returns for its investors year after year, with 2024’s dividend payments no exception.“Tabreed has entered 2025 with impressive momentum, already having raised $700 million via its inaugural, five-year green sukuk, and entering a new joint venture with Dubai Holding to supply sustainable district cooling to one of the UAE’s most exciting real estate projects, Palm Jebel Ali. Tabreed’s balance sheet is stronger than ever and there is a strong pipeline of promising opportunities ahead. It undoubtedly remains a safe haven for existing and future shareholders alike.”During 2024 Tabreed completed two new plants and added 23,576 Refrigeration Tons [RTs] of new connections across the company’s portfolio, in the UAE, Saudi Arabia, Oman, Egypt and India. Tabreed also saw consumption volumes grow during 2024, increasing by 5% to 2.66 billion refrigeration ton hours (RTH).
calendar_month March 17, 2025
Tabreed and Dubai Holding Enter Agreement to Provide District Cooling to Palm Jebel Ali
Anticipated total cooling capacity of approximately 250,000 Refrigeration Tons (RTs)AED 1.5 billion project to be executed in multiple phasesAbu Dhabi, United Arab Emirates – 17 March 2025: National Central Cooling Company (DFM: Tabreed) and Dubai Holding Investments, part of Dubai Holding, have entered a concession agreement to provide district cooling services for Palm Jebel Ali in Dubai.The agreement establishes a joint venture, with Tabreed holding a 51% stake and Dubai Holding Investments 49%. This structure is designed to optimise cooling capacity, enhance information-sharing and strengthen customer protection, while ensuring sustainable cooling solutions for one of Dubai’s most transformative developments.Supported by Tabreed’s major shareholders, sovereign investor Mubadala (42%) and the French low-carbon energy and services company ENGIE (40%), the agreement was signed by Khalid Al Marzooqi – Chief Executive Officer of Tabreed and Omar Karim – Chief Executive Officer of Dubai Holding Investments, in the presence of senior officials from Tabreed, Dubai Holding, Mubadala and ENGIE.Subject to customary approvals, construction of the district cooling network is expected to commence in Q2 2025, with the first cooling services expected to be delivered by 2027. Over time, the system will address the need for approximately 250,000 RTs of cooling capacity and require an estimated investment of AED 1.5 billion.Following the signing, Chairman of Tabreed and Chief Executive Officer of Mubadala’s UAE Investments Platform, Dr Bakheet Al Katheeri, said: “Mubadala has a worldwide reputation for being a responsible investor with an unwavering focus on its ESG framework and Tabreed is a vital part of our portfolio as a driver of sustainability and societal progress. The signing marks a major milestone in Tabreed’s 27-year history and underscores the company’s commitment to providing sustainable, high-efficiency cooling solutions for large-scale developments. I am eagerly looking forward to witnessing the successful progress of this landmark project.”Omar Karim, Chief Executive Officer of Dubai Holding Investments, commented: “This agreement reinforces Dubai Holding’s long-term vision of developing sustainable communities with high-quality infrastructure at their core. Palm Jebel Ali is one of Dubai’s most ambitious developments and by incorporating district cooling services we support our customers and align to our commitment to deliver future-ready urban environments.”Commenting on the agreement, Chief Executive Officer of Tabreed, Khalid Al Marzooqi, added: “Palm Jebel Ali is a transformative project that will shape Dubai’s future and we are proud to play a role in ensuring its infrastructure meets world-class standards. With our extensive experience and cutting-edge technology, we will deliver reliable and environmentally responsible cooling that benefits residents, visitors and stakeholders alike.”