Abu Dhabi’s TAQA says its profit dropped 56% in 2024 to $2 billion
TAQA, the Abu Dhabi National Energy Company, said its net profit dropped by 56.4% in 2024. It earned $1.9 billion (AED 7.3 billion), down from $4.6 billion (AED 16.8 billion) last year. This happened even though the company made more money overall, according to its financial report on Thursday.
TAQA Financial Highlights
- TAQA’s total revenue increased by 6.7% in 2024, reaching $15 billion (AED 55.2 billion). This growth was mainly due to strong performance in transmission and distribution (T&D) and the addition of TAQA Water Solutions (TAQA WS), according to a filing on the Abu Dhabi Exchange (ADX).
- The company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) grew by 5.9% to $5.8 billion (AED 21.4 billion), excluding a one-time cost of $2.9 billion (AED 10.8 billion) for acquiring a 5% stake in ADNOC Gas. When including this cost, EBITDA dropped by 31% compared to last year.
- TAQA’s capital spending increased by 63.8% to $2.5 billion (AED 9.2 billion). This was mainly due to progress on the Mirfa 2 (M2 RO) and Shuweihat 4 (S4 RO) desalination projects, as well as investments in T&D and TAQA WS.
- The company’s free cash flow dropped to $707.9 million (AED 2.6 billion) in 2024, down from $3.7 billion (AED 13.9 billion) in 2023. This was due to higher investments in Masdar, capital spending across different divisions, and the faster shutdown of oil and gas operations.
- TAQA’s total debt rose to $17.5 billion (AED 64.1 billion) from $16.8 billion (AED 61.7 billion) at the end of 2023.
- TAQA ranked eighth on Forbes Middle East’s Top 100 Listed Companies 2024 list. Its CEO, Mohamed Hassan Alsuwaidi, was ranked fourth among Sustainability Leaders 2024.
Key Quote
TAQA’s Chairman, Mohamed Hassan Alsuwaidi, said, “In 2024, TAQA continued to grow, with key achievements such as acquiring TAQA Water Solutions and making strategic investments in international power projects.”
TAQA Regional Expansion
In November, TAQA partnered with Japan’s JERA and Saudi Arabia’s Al Bawani Capital to sign two 25-year power agreements with the Saudi Power Procurement Company (SPPC). These agreements will develop two new power plants in Saudi Arabia with a total capacity of 3.6 gigawatts.
TAQA and JERA had already worked together before. In August, they finalized financing for Najim Cogeneration Company Limited, a new plant that will supply 475 megawatts of electricity and 452 tonnes per hour of steam to a petrochemical complex in Saudi Arabia.
In the UAE, the Taweelah Reverse Osmosis (RO) Independent Water Plant, where TAQA owns a 20% stake, began full operations in the first quarter of 2024. It can produce 200 million imperial gallons of water per day.
Published: 14th February 2025
Also Read:
Dubai Islamic Bank’s profit rises 10% to $3.5B in 2024
Modon Holding’s 2024 revenue soars 637% to $1.7B
Deyaar Development’s 2024 net profit rose 7.5% to $129 million
