AED 3.3B in revenues and AED 908M in net profit for strong growth

Post by: Layla Badr

Photo: Dubai Government Media Office

Emirates Central Cooling Systems Corporation PJSC (DFM: EMPOWER), the world’s largest provider of district cooling services, has announced its financial results for the year 2024. The company achieved a historic revenue of AED 3.3 billion, showing a remarkable 7.4% increase compared to the previous year. Empower’s net profit for 2024 reached AED 908 million.

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CEO’s Vision for Growth

His Excellency Ahmad Bin Shafar, CEO of Empower, shared that the company’s success is largely due to Dubai’s strong economic growth, which helped the company achieve its goals. He also pointed out that Empower has taken advantage of the booming real estate sector in the city, which includes residential, commercial, hospitality, and entertainment projects. Bin Shafar mentioned that Empower’s well-planned strategies and flexible approach have played a key role in the company’s sustainable growth, increased profitability, and long-term returns for its shareholders.

Bin Shafar highlighted several major accomplishments in 2024. These include the company’s expansion in the number of iconic projects, improved customer satisfaction, and growth in the company’s asset base. Empower also made significant strides in adopting advanced technologies for its district cooling plants and networks. Additionally, Empower played an important role in global forums and helped other countries and governments promote district cooling as a sustainable solution for environmental protection.

Revenue and Profit Growth

Empower’s earnings before interest, taxes, depreciation, and amortization (EBITDA) grew by 6.2% in 2024, while the company’s profit before tax saw a 5.9% increase compared to 2023, reaching AED 998 million. Empower’s total net profit after tax was AED 908 million for the year.

Dividend Payouts

In line with its commitment to share its success with investors, Empower distributed AED 850 million in cash dividends for 2024. This payout was divided into two equal installments of AED 425 million each, paid in April and October. Empower plans to continue offering dividends in the coming years, in line with its business growth.

Impressive Operational Performance

Empower’s operations also showed excellent results in 2024. The company’s contracted cooling capacity grew by 6.9%, reaching a total of 1.78 million refrigeration tons (RT). The company signed 111 new contracts during the year, and the total length of its distribution pipeline network reached more than 418 kilometers, covering a wide area of Dubai. Empower now operates 88 district cooling plants.

Expansion of Business and Customer Base

Empower experienced a significant increase in the number of buildings it serves. By 2024, the company was providing district cooling services to 1,637 buildings, a 7.2% increase from 2023. Among these buildings, 67% are residential, 14% are commercial, and 13% belong to the hospitality sector. The remaining 4% covers educational, entertainment, and other sectors.

Empower’s customer base exceeded 143,000 in 2024, and the company’s district cooling consumption rose by 10% compared to the previous year, driven by new projects and higher occupancy rates in existing buildings.

Growth in Digital Services

Empower also saw a boost in digital transactions in 2024. The number of new customer registrations increased by 10.6%, and the number of bill payments made through digital channels rose by 10%, totaling 888,860 transactions.

Making Business Easier

To help customers, Empower approved 42,735 applications for No Objection Certificates (NOCs) in 2024. This was a 22% increase from the previous year. NOCs are important for building owners and contractors, allowing them to carry out projects without delays, fines, or violations.

Expansion of District Cooling Infrastructure

Empower signed a significant agreement with the Al Habtoor Group to provide environmentally friendly district cooling for the upcoming Al Habtoor Tower, which will be one of the world’s largest residential buildings. Empower is also connected to the iconic Wasl Tower, a 302-meter-high building on Sheikh Zayed Road, with a cooling capacity of 3,900 RT.

Empower expanded its services to many notable projects in Dubai, including The Crest and The Crest Grande in Meydan, with cooling capacities of 4,100 RT and 4,200 RT, respectively. Other projects include buildings developed by Deyaar and Orra Investment & Real Estate Development.

Additionally, Empower signed an agreement with Mitsubishi Heavy Industries Thermal Systems Ltd. to supply advanced chillers for its district cooling projects. These new chillers will have a total capacity of 56,250 RT and will be used starting in 2025.

New Cooling Plants and Ongoing Projects

Empower began operating the first phase of its new district cooling plant in the Jumeirah Beach Hills development, which will have a total production capacity of 48,000 RT. The company also started construction of a new plant in Deira, which will serve 46 buildings in the Deira Waterfront development.

Empower is also planning a second district cooling plant in Jumeirah Village with a cooling capacity of 37,000 RT, as part of a larger expansion project in the area.

Global Partnerships and Collaborations

In 2024, Empower continued to strengthen its global presence through collaborations. The company signed two important MoUs with the American Society of Heating, Refrigerating, and Air-Conditioning Engineers (ASHRAE) to develop the next generation of district cooling systems. Empower also participated in international conferences, including the IDEA Campus Energy 2024 conference in San Francisco, and the IDEA 2024 Conference & Exhibition in Orlando.

Empower signed an MoU with the UAE Ministry of Energy and Infrastructure to explore opportunities for providing district cooling services to the Northern Emirates, aiming to improve sustainability and energy efficiency across the country.

Recognitions and Awards

Empower’s efforts were recognized globally in 2024. The company set two Guinness World Records, including the record for the highest capacity district cooling plant, located in Business Bay, Dubai. This plant serves 188 buildings and is set to expand further.

Empower also received four international awards at the IDEA Annual Conference, including honors for innovation in metering solutions and chiller efficiency. Additionally, the company was recognized by the U.S. Green Building Council for its Business Bay district cooling plant, earning LEED Gold Certification for the sixth time.

Finally, Empower’s contributions to environmental sustainability were acknowledged by Moro Hub, which certified the company for preventing 42,415.92 kg of carbon emissions over three years.

Empower’s ongoing commitment to excellence, sustainability, and growth sets a strong foundation for continued success in the years ahead.

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