Adnoc Distribution, the UAE’s largest fuel and convenience retailer, has opened a new service station in Saudi Arabia, the first to be fully constructed and operated by the company in the kingdom.
Adnoc Distribution will bring its modern fuel and retail convenience offering along with integrated Adnoc Oasis stores, car wash units and vehicle service centres to the country, the company said on Monday.
The Abu Dhabi-listed company plans to open more Adnoc service stations in Saudi Arabia this year and in 2022, in line with its smart growth strategy it said.
“We reaffirmed our commitment to Saudi Arabia through the intention to expand our presence both through acquisition and organic growth," Bader Saeed Al Lamki, chief executive of Adnoc Distribution, said.
"Having first opened in the kingdom in 2018, this continued expansion is an integral part of our company’s overarching strategic growth plans. We look forward to more openings.”
The company received clearance to acquire 35 stations in Saudi Arabia, with 10 new stations added to the network as of November 8. It is set to open up to 45 stations in the kingdom.
Adnoc Distribution had 459 fuel stations across the UAE at the end of September, with 31 stations in Dubai contributing to incremental volumes.
The company's net profit for the first nine months of the year rose more than 6 per cent to Dh1.68 billion ($457.8 million) due to the recovery of fuel volumes amid the ongoing post-coronavirus growth in the UAE.
Revenue for the nine months through to the end of September rose about 23 per cent to Dh14.7bn.
In May, Adnoc Distribution joined the MSCI Emerging Markets index, which is tracked by funds with assets worth billions of dollars. It joined nine other UAE-listed companies that are part of the index.
The company was also included in the FTSE Emerging Markets Index in September. The index tracks stocks from emerging markets globally and includes large and medium-cap securities.
