Abu Dhabi National Energy Company (TAQA) Q3 2024 earnings summary

Executive summary

• Q3 2024 saw strong growth in utilities, offsetting oil and gas declines, with T&D and TAQA Water Solutions as main revenue drivers.

• EBITDA and net profit increased 11% and 15% year over year, led by T&D, Generation, and TWS.

• MSCI ESG rating upgraded to A, reflecting sustainability progress; rebranding included merger of ADDC and AADC under unified TAQA identity.

• Net income reached AED 6.3 billion for the first nine months of 2024, up 13.2% year-over-year, excluding one-off items.

• Integration of TAQA Water Solutions and rebranding initiatives enhanced operational scale and market presence.

Financial highlights

• Q3 2024 revenue: AED 14.6bn (+14% YoY); EBITDA: AED 5.5bn (+11% YoY); Net profit: AED 1.9bn (+15% YoY).

• 9M 2024 revenue: AED 41.7bn (+6% YoY); adjusted EBITDA up 9% and adjusted net income up 13% YoY.

• Capital expenditure surged 85.4% to AED 6.1bn, mainly for desalination and Water Solutions integration.

• Free cash flow was negative, impacted by high capex and investments; AED 2.9bn for nine months.

• Dividend of AED 0.007 per share (0.70 fils) proposed for Q3 2024.

Outlook and guidance

• Confident in delivering on 2030 targets, including 100–150 GW capacity and regional expansion.

• Sustained growth in utilities expected, with focus on integrated power and water services and sustainable infrastructure.

• Continued focus on growth in the KSA market and project wins.

• Rebranding and operational integration expected to enhance customer experience and internal capabilities.

• Masdar's acquisition in North America supports renewable capacity goals.