Utility provider Dubai Electricity and Water Authority (DEWA) reported a net profit attributable to owners at 3.3 billion UAE dirhams ($898.5 million), up 8% year-on-year (YoY) for Q3 2023 on the back of a surge in new businesses. 

The net profit topped analysts’ mean estimate of AED2.75 billion, according to LSEG data.

Revenue rose 10% YoY to AED 9.4 billion, fuelled by higher demand for electricity, water, and cooling services, as well as an increase in the revenues from DEWA’s other portfolio of assets, it said in a regulatory statement on the Dubai Financial Market (DFM) on Friday.

Total power generation in the quarter was 18.897 terawatt hour (TWh), up nearly 9%

Water desalination amounted to 38.7 billion imperial gallons (BIG), up 5.4% YoY.

As of September 30, 2023 DEWA was serving 1.2 million customers, up 5% YoY.

By the end of Q3, 2023, DEWA's net cash from operating activities increased 8% YoY to AED9.8 billion.

Saeed Mohammed Al Tayer, MD & CEO of DEWA said: "The profit from this quarter alone is sufficient to meet our dividend obligations for the second half of 2023.”

DEWA, which distributed AED3.1 billion as dividend for H1, 2023, is set to pay AED3.1 billion for H2, which is expected to be distributed in April 2024.

By the end of the third quarter of 2023, the utility had installed generation capacity was 15.1 GW with 2.6 GW of this capacity coming from renewable energy sources. DEWA has added 200 MW of green capacity during Q3.

(Reporting by Brinda Darasha; editing by Seban Scaria)

(brinda.darasha@lseg.com)