Abu Dhabi National Energy Company reports net income of AED 4.3 billion

Abu Dhabi National Energy Company (TAQA) announced its consolidated financial results for the year ended June 30. The company reported net income of AED 4.3 billion, up 50% from the previous year, with oil and gas contributing a larger portion.

According to the company report, TAQA delivered strong results on the back of its stable and regulated rise in utility, commercial and commodity prices. Group revenue was AED 25.4 billion, up 15% from the same period last year, mainly due to higher commodity prices in the oil and gas sector.

Adjusted earnings before interest, tax, depreciation and amortization (EBITDA) was AED11.3 billion, up 15%, mainly reflecting higher revenue, partially offset by higher expenses. Capital expenditure was AED 1.8 billion, down 10% from the same period last year, mainly due to lower spending in the transmission and distribution sector.

The group reported free cash flow of AED 8.3 billion, 11% higher than last year, maintaining considerable liquidity.

We are proud to share some of the highlights of our first half results. In the first half of 2022, TAQA has made great strides in its growth strategy and in delivering on our ambitions for the future. Read more here: https://t.co/OPLcgApDTZ pic.twitter.com/tdIQfgSeis

— TAQA (@TAQAGroup) August 10, 2022

Transmission network availability for electricity and water was 98.4%, compared to 98.2% a year earlier, a slight improvement. Global commercial availability of power generation was 97.5%, slightly down from 97.7% a year earlier, mainly due to unplanned maintenance within the UAE fleet.

The Group’s average daily production of oil and gas was 124,100 barrels of oil equivalent, the same as the same period last year.

Following approval of the financial results for the period, the TAQA Board of Directors also declared an interim cash dividend of AED675 million. According to the company’s dividend policy, this will be the second quarterly dividend payment planned for fiscal 2022.

Mohamed Hassan Alsuwaidi, Chairman of TAQA Group, said: “TAQA Group continues to deliver on its ambition to become the champion of low carbon power and water in Abu Dhabi and beyond, which is reflected in its first half results. Notably, we in Progress has been made on the clean energy journey with the signing of a binding agreement to acquire Masdar’s stake.”

“The transaction between Mubadala, ADNOC and TAQA will create a global clean energy powerhouse, bringing together renewable energy and green hydrogen under one unified brand, and further accelerate TAQA’s growth trajectory. The partnership also embarks on Transforming the energy landscape in Abu Dhabi and globally, supporting the country’s own Net Zero Strategic Initiative by 2050 and strengthening its role as a leader in driving the global energy transition effort,” he added.