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ABU DHABI / WAM
Tabreed, the UAE’s international district cooling company, released its consolidated financial results for the first three months, recording revenue increase to AED468 million compared to AED464 million in Q1 2023.
In a statement, the company announced that Earnings Before Interest, Taxes, Depreciation, and Amortisation (EBITDA) rose to AED272 million, up from AED268 million during the same period last year.
The company reported a net profit before tax of AED122 million, representing an increase of 4% compared to AED117 million (adjusted for one-off gains and losses) reported during the same period last year.
The net profit after tax stands at AED112 million, contrasting with AED236 million in Q1 2023, which included one-off gains.
Tabreed’s consumption volumes increased by 9% year-on-year, driven by new cooling connections as a result of the company’s growth witnessed over the past year.
During Q1, Tabreed’s topline and EBITDA continued to climb, with a healthy rate compared to Q1 2023.
Reaffirming the company’s solid financial management and profit generation capability, Tabreed’s EBITDA margin was 58%, compared to 57% in the first quarter of 2023.
Tabreed’s management of working capital has enabled it to achieve a cash conversion rate of 90%, demonstrating efficiency in the running of its operations.
Commenting on the Q1 2024 results, Khaled Abdulla Al Qubaisi, Tabreed’s Chairman, said, “This upward trajectory is a testament to our strategic initiatives and highlights the company’s resilient performance. Our strategic initiatives, both locally and internationally, are geared towards ensuring we maintain our positive momentum in the medium term.”