ACWA Power reports a 16% increase in nine-month profit, reaching $334 million, thanks to strong progress in projects
Saudi Arabian utility developer ACWA Power reported a 16% rise in nine-month net profit, reaching $334.1 million (SAR1.25 billion), due to increased revenue from improvements in its power and water desalination projects.
ACWA Results
The utility developer’s net profit went up, but this gain was reduced by higher costs in development, write-offs, general expenses, and impairment losses.
Revenue for the period rose by 6.4% to $1.21 billion (SAR4.56 billion), while operating profit grew 12.5% to $629.7 million (SAR2.37 billion), as reported by ACWA Power on Thursday in a filing with Tadawul.
Total shareholder equity, after accounting for minority interests, fell by 14.5% to $4.93 billion (SAR18.52 billion).
For the quarter, net profit decreased by 17.6% to $105.9 million (SAR397.9 million). However, revenue increased by 13.3% to $465.9 million (SAR1.75 billion) due to higher electricity sales, maintenance services, and more income from development and construction management services.
Major Projects
ACWA Power secured funding for seven large projects worth $8.25 billion (SAR 31 billion) in the past nine months. Key projects include the Taiba and Qassim gas turbine plants in Saudi Arabia, the Tashkent Solar project in Uzbekistan, and the Hassyan water desalination plant in the UAE.
Last year in September, ACWA Power signed agreements with six Italian companies to work together on green hydrogen, water desalination, and research. It also secured $542.9 million (SAR 2.05 billion) in funding for the Rabigh-4 water desalination plant.
In August, ACWA Power completed financial plans to build a 200 MW solar power station in Kom Ombo, Egypt, with an investment of $182 million.
Overall, ACWA Power manages 81 projects, with a total investment of $84.7 billion (SAR 317.8 billion). These projects can produce 55.1 GW of power and process 7.64 million m³ of desalinated water daily.
Big Numbers
ACWA Power’s market value is $86.05 billion (SAR 323.21 billion) as of November 7, 2024. Back in October 2021, the company raised $1.2 billion through its first public sale of shares. It sold 11.1% of the company, or 81.2 million shares, at $14.93 (SAR 56) each. Of the shares sold, 90% went to big investors and 10% to individual investors.
Published: 8th November 2024
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