Abu Dhabi National Energy Company (Taqa) reported its first half earnings for the period ending 30th June, announcing a group revenues of Dhs26.8 billion, 5% higher than the prior-year period, primarily due to higher pass-through bulk supply tariffs and transmission use of system within the Transmission and Distribution segment.

Taqa also announced that the net income (Taqa share) was Dhs13.5 billion, an increase of Dhs9.2 billion, mainly driven by a one-off gain of Dhs10.8 billion recognised on the acquisition of a 5% shareholding in Adnoc Gas, in part offset by a one-off Dhs1.2 billion deferred tax liability associated with the introduction of UAE corporate income tax from 1 January 2024. Net income excluding these one-off items was Dhs3.9 billion, 9% lower than the prior period, mainly due to lower contribution from the Oil and Gas segment.

It declared that adjusted EBITDA for was Dhs10.5 billion, down 7%. This fall was led by a decline in contribution from the Oil & Gas segment on the back of lower realised oil and gas prices and reduced production. Upon approval of the financial results, Taqa’s Board of Directors also declared a second interim cash dividend for the year of 0.65 fils per share (approximately Dhs731 million), in line with the Company’s new dividend policy.

Speaking on the occasion, Mohamed Hassan Alsuwaidi, Chairman of Taqa, said, “Through its strategic growth during the first half of 2023, Taqa continues to deliver value for its stakeholders. The Company delivered a strong and consistent financial performance, maintained its investment grade credit rating and ensured good returns for its shareholders through its dividend policy. Demonstrating its commitment to continued growth, the Company announced the expansion of its portfolio through its plan to acquire SWS Holding.

This transaction will broaden the scope of Taqa’s activity in the regulated utility business by becoming a fully integrated water and wastewater treatment provider. Taqa has also grown both domestically and internationally in 2023, as well as in the renewable energy sector where it has exceeded its 2030 target of having 30% of its generation portfolio coming from renewable sources through the growth of Masdar. As such, Taqa continues to showcase the evolution and growth of the utilities sector, underpinned by its strong ESG commitments.”

Jasim Husain Thabet, Taqa’s Group Chief Executive Officer and Managing Director, commented, “Taqa’s steady performance in the first six months of 2023 demonstrates the Company’s firm commitment to delivering on its promises and growth agenda which is underpinned by the strength of our balance sheet. As a low carbon power and water champion, we have delivered on our growth ambitions in the first half of 2023 both inside the UAE and abroad.