Abu Dhabi National Energy Company PJSC (TAQA), a prominent integrated utilities company in Europe, the Middle East, and Africa, revealed its financial performance for the year ending on December 31, 2024. The Group showcased solid operational results in its utilities sector, driven by strategic investments and international ventures.
In a financial overview, TAQA reported a revenue growth of 6.7%, amounting to AED 55.2 billion, propelled by consistent progress in Transmission & Distribution (T&D) and the integration of TAQA Water Solutions (TAQA WS). Earnings before interest, taxes, depreciation, and amortization (EBITDA) reached AED 21.4 billion, reflecting a 5.9% rise, excluding an AED 10.8 billion one-time impact from acquiring a 5% stake in ADNOC Gas.
Jasim Husain Thabet, Group CEO and Managing Director, expressed, "The strategic expansion of TAQA Water Solutions and key international investments reflect our commitment to long-term growth and sustainability." Mohamed Hassan Alsuwaidi, TAQA's Chairman, highlighted that 2024 proved to be pivotal for TAQA, solidifying its global leadership in low-carbon power and water solutions.
The company also witnessed an increase in capital expenditure by 63.8%, totaling AED 9.2 billion, primarily attributed to significant desalination projects, T&D enhancements, and the addition of TAQA WS. However, free cash flow decreased to AED 2.6 billion from AED 13.9 billion in 2023 due to escalated investments.
Operational highlights included improved transmission network availability at 98.7%, slight growth in global generation availability to 98.0%, strong performance in Water Solutions availability at 95.3%, and a 5.9% decline in oil & gas production to 101.4 mboe/d primarily because of natural production declines.
TAQA also embarked on strategic initiatives like the merger of Abu Dhabi Distribution Company (ADDC) and Al Ain Distribution Company (AADC) into TAQA Distribution with a goal to enhance customer experience and operational efficiency. Furthermore, the company launched a new brand identity to underline its leadership in low-carbon power and water solutions.
In line with its commitment to growth, TAQA executed key expansion projects like the Taweelah RO Plant in the UAE, the Juranah Strategic Water Reservoir Project in Saudi Arabia, and the acquisition of Terra-Gen Power Holdings II in North America, among others. The company displayed financial strength with an ‘AA’ credit rating from Fitch and raised USD 1.75 billion in green bond issuance.
Looking ahead, TAQA aims to maintain sustainable growth through its robust financial performance and ESG commitments, evidenced by a proposed final cash dividend of 2.1 fils per share by the Board. Thabet stated, "Our strong financial performance and ‘AA’ credit rating from Fitch demonstrate the resilience of our business, positioning us for sustainable growth in the years ahead." Finally, the Group recorded a net income of AED 7.1 billion, signifying a 1.5% increase from the previous year, excluding one-time items.
