The company’s shareholders approved the payment of H2 2022 dividend of Dhs3.1bn and a one-time special dividend of Dhs1.67bn
Dubai Electricity and Water Authority (DEWA) shareholders have approved a record dividend of $1.3bn (Dhs4.77bn) for the second half of 2022, bringing the total full-year dividend to Dhs9.9bn compared to the initially promised Dhs6.2bn.
The electricity and water utility provider said its shareholders approved the payment of H2 2022 dividend of Dhs3.1bn and a one-time special dividend of Dhs1.67bn.
“For shareholders who invested in DEWA’s shares before the dividend record date of April 20, 2023, the next twelve-month dividend yield is at 6.3 per cent considering an IPO share price of Dhs2.48 per share,” the utility firm said in a statement.
The company’s consolidated full-year profit surged 22 per cent year-on-year (y-o-y) to a record Dhs8bn in 2022, driven by dividends received from its district cooling services provider Empower and profit collected from the sale of its shares.
DEWA held its annual general assembly on 10 April 2023 where shareholders approved the payment of H2, 2022 dividend of AED 3.1 billion and a one-time special dividend of AED 1.67 billion pic.twitter.com/HXXoX1ZNw6
— DEWA | Official Page (@DEWAOfficial) April 10, 2023
“DEWA delivered the best full-year consolidated and standalone financial performance in its operating history. As a result, we have increased our dividend for the year 2022 by 60 per cent to Dhs9.9bn,” said Matar Humaid Al Tayer, chairman of DEWA.
The utility giant reported a consolidated net profit of Dhs1.5bn in Q4 2022, a 25 per cent y-o-y jump while its quarterly revenues rose by 14 per cent to Dhs6.7bn.
The full-year consolidated revenues soared to Dhs27.4bn in 2022, a 15 per cent increase from a year earlier due to an increase in demand for electricity and water and a transition to a normalised tariff structure. “Demand for power in 2022 reached 53.2 terawatt hours (TWh) compared to 50.4 TWh in 2021, representing a 5.56 per cent increase,” DEWA said.
The company said water demand also increased by 6.45 per cent last year to 136.9 billion imperial gallons (BIG), up from 128.6 BIG while noting that the average water consumption by the company’s customers also went up in 2022.
DEWA’s public offering
Meanwhile, DEWA’s $6.1bn initial public offering on the Dubai Financial Market earlier in 2022 was the city’s biggest ever and is part of the government’s broader strategy to float state-backed entities to boost investment and liquidity as well as diversify its economy.
Founded in 1992 following the merger of the Dubai Electricity Company with the Dubai Water Department, the utility firm is the exclusive electricity and water utility provider to Dubai’s 3.5 million residents.
The company served 1,157,501 customers by the end of 2022, an increase of 14,438 from Q3 2022 while increasing its customer base by 51,089, or 4.6 per cent, in 2022 compared to 2021.
“As Dubai’s population continues to grow, so does the demand for electricity and water services. In 2022, there was a 5.56 per cent increase in the demand for power and a 6.45 per cent increase in the demand for water compared to 2021,” said Al Tayer.
DEWA generates, transmits and distributes electricity and potable water to end users throughout Dubai. The group owns 56 per cent of district cooling services provider Empower and comprises several other businesses including the manufacturer and distributor of bottled water Mai Dubai, digital business solutions company Digital DEWA and Etihad ESCO, a company focused on the development and implementation of energy-efficient solutions.
The company became the first utility in the world to enhance its services with Microsoft’s artificial intelligence technology ChatGPT in February. DEWA said it plans to integrate ChatGPT technology into its services to customers and employees through Moro Hub, a subsidiary of Digital DEWA.
The company’s use of ChatGPT is aimed at delivering integrated and advanced services that enhance productivity and meet current and future needs.
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