- Dubai’s DEWA reported a second-quarter profit of 1.86 billion dirhams, which met market estimates and marked a 3.6% decrease year-over-year.
- Second-quarter revenue reached 7.86 billion dirhams, exceeding estimates and showing a 7.8% increase year-over-year.
- Operating profit in the second-quarter was 2.32 billion dirhams, slightly below the estimate of 2.46 billion dirhams but up by 4.2% year-over-year.
- Finance costs were 503.8 million dirhams, down 2.2% year-over-year.
- Earnings per share (EPS) stood at 0.0370 dirhams, compared to 0.0390 dirhams the previous year.
- DEWA has approved a dividend of 3.1 billion dirhams for the first half of the year.
- The company cites an increase in demand for electricity, water, and cooling services.
- Consolidated first-half profit was down 6.7%, primarily due to higher depreciation and the introduction of corporate tax in 2024.
- Analyst recommendations for DEWA include 9 buys, 3 holds, and no sells.
A look at Dubai Electricity & Water Auth Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Dubai Electricity & Water Authority (DEWA) is positioned with moderate scores across the board, indicating a stable outlook for the company in the long term. With scores of 3 in Value, Dividend, Growth, Resilience, and Momentum, DEWA appears to be a well-rounded utility provider in the United Arab Emirates. The company, known for its ownership and operation of power generation and water desalination stations, as well as distribution networks, continues to cater to both residential and commercial customers in the region.
Looking ahead, DEWA’s consistent scores in various key areas suggest a steady performance expected from the company. While not excelling in any particular factor, the balanced nature of its scores implies a reliable and resilient business model. Investors may find DEWA to be a safe bet for steady returns and a consistent dividend payout, backed by its established presence in providing essential utility services within the UAE market.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
