News Column

Tabreed Q1 2014 profit climbs to Dh58.2m

April 28, 2014

Sarah Diaa Staff Reporter

Abu Dhabi: National Central Cooling Company (€˜Tabreed'), an Abu Dhabi-based district cooling utility infrastructure company, said on Monday its net profit reached Dh58.2 million during the first quarter of 2014, marking a 22 per cent increase over Q1 2013's Dh47.8 million.

Revenue for the period went up four per cent to reach Dh227.2 million, the company said in a statement. It attributed its performance to the core chilled water business, as more than 16,000 refrigerated ton of new connections were made in the first quarter of the year.

"Our strong performance in Q1 resulted from our ability to connect new clients to existing plants primarily in the UAE," stated Jasim Hussain Thabet, CEO at Tabreed.

"As economies in the UAE and the region continue to expand, we are witnessing increasing interest in district cooling driven primarily by the economic, environmental, and energy benefits it delivers to both consumers and governments alike," he added.

The company also benefited from decreased finance cost, which dropped 15 per cent compared to Q1 2013 to reach Dh32.7 million.

The first quarter of this year saw Tabreed's revenue from the chilled water business climb three per cent to Dh208.2 million. Meanwhile, chilled water profit from operations increased three per cent to Dh76.6 million compared to Q1 2013.

In an emailed statement to Gulf News, Thabet discussed future projections, saying, "We expect the district cooling industry to continue to benefit from both the resumption of real estate projects, and launch of new ones, as well as the investment in critical infrastructure by governments across the GCC."

Tabreed currently has 66 district plants across the GCC, and provides its cooling services to many of the region's landmark projects including the Shaikh Zayed Grand Mosque; Dubai Metro; World Trade Centre, Abu Dhabi; Ferrari World Abu Dhabi; and Yas Marina Circuit.

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Source: Gulf News (United Arab Emirates)

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