ADNOC Gas Delivers Strong Q3 Results; Board Approves Strategy Update
$1.24bn quarterly net income in Q3, up 11% YoY beating market expectations
Revenues of $6.28 billion exceeding $6 billion for fourth quarter in a row
Q3 results coincide with ADNOC Gas' Board approval of an updated growth strategy
Updated strategy targets over 40% growth in EBITDA by 2029 and includes $15 billion CAPEX
ABU DHABI, UAE, Nov. 11, 2024 /PRNewswire/ -- ADNOC Gas plc and its subsidiaries (together referred to as 'ADNOC Gas' or the 'Company') (ADX symbol: ADNOCGAS) (ISIN: AEE01195A234), a world-class integrated gas processing company, today announced strong earnings for the third quarter of 2024, with net income increasing 11% year-on-year (YoY) to $1.24 billion, beating Bloomberg consensus for the quarter.
The announcement of the company's Q3 results coincides with ADNOC Gas' Board of Directors approval of an updated growth strategy, that targets an increase of over 40% in EBITDA by 2029 and sets capital expenditure (CAPEX) of up to $15 billion for the period 2025-2029.
Dr. Ahmed Alebri, Chief Executive Officer of ADNOC Gas, said: "Our Q3 results are a testament to our robust performance while our updated strategy supports future proofing our business, aiming for over 40% EBITDA growth by 2029. We're committed to delivering exceptional shareholder value with our ambitious growth plans and an expected 5% annual dividend increase.
By advancing our projects and optimizing our existing assets, we will continue to support the UAE's industrial diversification while delivering more gas to our domestic customers through our expanding infrastructure."
"Additionally, through our decarbonization initiatives, we will help meet rising global demand for lower-carbon natural gas, positioning ADNOC Gas as a leader in the sustainable global gas industry," Dr. Alebri added.
Q3 Results
ADNOC Gas' Q3 revenues rose to $6.281 billion, up 8% YoY, exceeding $6 billion for the fourth quarter in a row. The results are driven by higher sales volumes and an improved price environment for export-traded liquids. EBITDA increased 18% YoY to $2.205 billion, yielding a continually robust 35% EBITDA margin. Free cash flow was $1.184 billion.
In the first nine months of 2024, net income increased 18% YoY to $3.62 billion. This is attributable to ...