Adnoc Gas has announced strong financial results for the second quarter (Q2) of 2024, posting an adjusted net income of $1,190 million, a 21 per cent year-on-year (y-o-y) improvement exceeding market expectations.

Revenues for the Q2 period of $6,076 million are an increase of 13 per cent y-o-y. Within the UAE, increased population and industrial growth have contributed to stronger sales for the domestic gas business.

Adnoc Gas fulfils more than 60 per cent of the UAE’s gas demand and is fueling the development of key industrial sectors of the nation, including the growth of petrochemicals.

EBITDA growth outpaced revenue improvement during the quarter, reaching $2,086 million, an 18 per cent y-o-y increase.

The company’s EBITDA margin of 34 per cent is underpinned by high sales demand and the benefits of its long duration gas supply and purchase agreement and Adnoc Gas’ integral role in powering and enabling the UAE’s Industrial diversification and growth.

Dr Ahmed Alebri, Chief Executive Officer of Adnoc Gas, said: "Our robust Q2 results clearly reflect our focus on growth, significantly strengthening revenues and profitability while continuing to maintain a healthy margin. The 21 per cent improvement in Q2 Net Profit underlines our commitment to enhancing our performance, implementing efficiencies, and optimising costs. We are well positioned to pursue our ambitious growth agenda, underpinned by the strength, expansion, and ambition of the UAE market."

DIVIDEND UPDATE

 Adnoc Gas has announced an increase in its annual dividend per share by 5 per cent, aligning with its dividend policy to distribute a total of $3,412 million for the full year (FY) 2024.

The Board of Directors has approved an interim dividend of $1,706 million, scheduled for distribution in September. The approved interim dividend equals to a dividend per share of 8.164 fils.

A planned final dividend also of $1,706 million will be distributed in April 2025, pending approval at the Annual General Meeting (AGM).