ADNOC Gas (ADNOCGAS) Q4 2024 earnings summary

Executive summary

• Adjusted net income reached $5.0 billion in FY 2024, up 13% year-over-year, with Q4 net income at a record $1.38 billion since IPO.

• Adjusted revenue was $24.43 billion, a 7% increase year-over-year, driven by diversified growth and robust domestic gas demand.

• EBITDA for FY 2024 was $8.65 billion, up 14% year-over-year, with a stable margin of 35%.

• Sales volume grew 2% year-over-year to 3,616 TBTU, supported by a 13% rise in the ADNOC LNG joint venture contribution and domestic demand.

• Reliability improved to 99.6% from 99.0% in 2023; Q4 shutdowns completed ahead of schedule.

Financial highlights

• EBITDA rose 14% to $8.65 billion in 2024 from $7.61 billion in 2023, mainly due to margin enhancement.

• Adjusted revenues increased 7% to $24.43 billion; free cash flow for FY 2024 was $4.58 billion, up from $4.46 billion in 2023.

• Q4 2024 adjusted revenues were $6.06 billion, EBITDA $2.28 billion, and net income $1.381 billion.

• Dividend payout for FY 2024 totaled $3.41 billion.

• Free cash flow for FY 2024 exceeded the dividend payout by over $1 billion.

Outlook and guidance

• 2025 EBITDA margin expected to remain around 35%.

• Domestic gas sales volume guidance for 2025: 2,320–2,390 TBTU; exports & traded liquids: 920–965 TBTU; LNG JV: 220–230 TBTU.

• Net profit unit margins for 2025 expected to normalize after one-off events in 2024.

• CAPEX guidance for 2025: $3.0–3.5 billion, up from $1.8 billion in 2024, mainly for MERAM and maintenance.

• Targets over 40% EBITDA growth by 2029, supported by a capital expenditure plan of up to $15 billion for 2025–2029.