District cooling firm Tabreed, which is partly owned by Abu Dhabi state fund Mubadala, said its net profit increased by 30 per cent to Dh47.8 million ($13 million) in the first quarter when compared to Dh36.8 million last year, helped by lower finance costs.
he Abu Dhabi-based district cooling utility firm said the group revenue remained consistent with last year at Dh219 million and in line with expectations as the phase-out of the non-core businesses continued.
The company continued to benefit from the consistent performance of its core chilled water business and its cost discipline, said a statement from the company.
The chilled water revenue increased by five per cent to Dh202.7 million during the period when compared to Dh193.2 million last year.
The chilled water profit from operations increased by one per cent to Dh74.3 million over last year's Dh73.2 million. The ebitda increased by 5 per cent in the first quarter to Dh110.4 million compared to Dh105.5 million last year, the statement added.
Commenting on the results, chairman Waleed Al Mokarrab Al Muhairi said, “Our strategy to grow our core chilled water business while further improving cost control and efficiency continues to deliver positive results. As an organization, we remain committed to pioneering creative solutions for some of the key challenges facing the region, namely the need for world-class cooling infrastructure that enables lower energy consumption and the sustainable management of resources.”
He pointed out that the net finance costs decreased by 14 per cent to Dh38.7 million over last year's Dh45 million.
CEO Jasim Thabet said Tabreed has begun 2013 well, recording strong profitability during the period driven by improved operational efficiencies and lower finance costs.
"We were involved in a number of exciting new projects at home and in key markets abroad, including the landmark Jabal Omar development in Makkah as well as the opening of Yas Waterworld Abu Dhabi, for which Tabreed is the exclusive supplier of cooling services,” he stated.
Tabreed currently has 66 plants across the GCC and provides its district cooling services to many of the region’s landmark projects including the Sheikh Zayed Grand Mosque, Dubai Metro, Ferrari World Abu Dhabi, Yas Marina Circuit, the Pearl – Qatar, and Bahrain Financial Harbour.-TradeArabia News Service