ADNOC Gas Net Income 2024 Hits Record $5 Billion, Driven by Strong Growth
ADNOC Gas has reported its highest-ever annual net income of $5 billion for the fiscal year 2024, marking a 13% year-on-year (YoY) increase and exceeding market expectations. The company also posted its strongest quarterly performance to date, recording a net income of $1.38 billion in Q4 2024, significantly outperforming Bloomberg’s consensus forecasts.
The company’s financial success was fueled by strong demand for domestic gas, improved sales volumes, and strategic investments. Its focus on low-carbon energy solutions and enhanced pricing strategies contributed to this exceptional growth.
Fatema Al Nuaimi, Chief Executive Officer of ADNOC Gas, highlighted the company’s outstanding performance and its long-term vision:
“Our record-breaking fourth quarter results demonstrate our ability to deliver on our ambitious growth strategy as we aim to achieve over 40% EBITDA growth by 2029. ADNOC Gas has evolved into one of the highest income-generating companies listed in the UAE. Our commitment to sustainable and long-term value creation for shareholders is backed by strategic investments in growth projects that cater to the rising demand for domestic gas, LPG, and LNG—both locally and globally—positioning us as a key player in the energy transition.”
FY 2024 and Q4 Performance: Strong Revenue and Profit Growth
For the full year 2024, ADNOC Gas recorded a:
- $5 billion adjusted net income (13% YoY increase)
- $24.43 billion in adjusted revenues (7% YoY growth)
- $8.65 billion EBITDA (14% YoY increase) with a high margin of 35%
- $4.58 billion in free cash flow, showcasing its strong financial stability
The company’s total sales volumes rose 2% YoY to 3,616 million MMBTU, driven by growing domestic gas demand and a 13% increase in the ADNOC LNG (ALNG) joint venture contribution.
For Q4 2024, ADNOC Gas delivered:
- $6.06 billion in adjusted revenues
- $2.28 billion EBITDA
- $1.38 billion in net income
This outstanding quarterly performance was attributed to a stronger mix of gas products, increased liquid production, and improved commercial terms in the domestic market.
Strategic Growth Plan and Future Investments
Following its Q3 2024 strategy update, ADNOC Gas is targeting an over 40% EBITDA increase by 2029, with major capital investments planned. The company has outlined a capital expenditure (CAPEX) budget of up to $15 billion between 2025 and 2029, ensuring continued expansion and technological advancements in gas production.
A key part of this strategy includes the acquisition of ADNOC’s 60% stake in the Ruwais LNG project, which focuses on lower-carbon intensity energy solutions. This acquisition is expected to be completed in H2 2028, further positioning ADNOC Gas as a leader in sustainable energy.
With a strong emphasis on enhancing operational efficiency and expanding global LNG supply capabilities, ADNOC Gas aims to solidify its role in the UAE’s broader economic and energy transformation.
Dividend Announcement: Strong Shareholder Commitment
ADNOC Gas has confirmed a dividend payout of $3.412 billion for FY 2024, reinforcing its commitment to consistent shareholder returns. The dividend structure includes:
- $1.706 billion interim dividend, which was paid in September 2024
- $1.706 billion final dividend, set to be paid in April 2025, pending shareholder approval at the Annual General Meeting (AGM)
The company’s dividend policy aims for a 5% annual increase, supported by strong free cash flow that exceeds dividend obligations by over $1 billion.
Outlook: ADNOC Gas Positioned for Continued Growth
ADNOC Gas remains committed to expanding its market share and strengthening its leadership in the global energy sector. The company’s record-breaking earnings, strong balance sheet, and ambitious growth strategies position it well for sustained long-term success.
As the global demand for low-carbon energy solutions continues to rise, ADNOC Gas’ strategic investments and financial strength will play a critical role in shaping the future of the energy industry.
