Qatar Gas Transport Company (QGTS) Q2 2024 earnings summary

Executive summary

• Net profit for H1 2024 was QAR 829.4 million, up 7% year-over-year, with EPS at QAR 0.15.

• Total revenue for the first six months was QAR 2.29 billion, stable compared to the prior year.

• Interim cash dividend of QAR 388 million (QAR 0.07/share) proposed for H1 2024, pending approval.

• Major fleet expansion underway, with 40 new LNG vessels in the newbuild program, including 9 Q-Max vessels announced in Q2.

• Maintains a modern fleet of 69 LNG carriers, 4 LPG carriers, 1 FSRU, with 36 LNG and 4 LPG/ammonia newbuilds on order.

Financial highlights

• EBITDA for H1 2024 was QAR 1.83 billion, down 0.6% year-over-year, mainly due to lower shipyard activity.

• Depreciation and amortization costs decreased by 8.9% due to a one-off accounting treatment in 2023.

• Finance expense for H1 2024 was QAR 595 million, down 4.1% year-over-year, reflecting scheduled debt repayments.

• Vessel operating expenses rose 2.9% to QAR 408 million, in line with inflation.

• General and administrative costs decreased by 1.6% due to ongoing cost optimization.

Outlook and guidance

• Shipyard segment expected to improve in H2 2024 with increased dry dock activity.

• Confident in continued financial growth and maximizing fleet utilization.

• Delivery of new vessels to ramp up from late 2026, peaking in 2027–2028, then tapering through 2030.

• LNG market fundamentals strong, with global liquefaction capacity projected to rise from 408 mmtpa in 2023 to 732 mmtpa by 2030.

• Results for the six-month period are not necessarily indicative of full-year 2024 performance.