ADNOC Gas Group reported a net profit of $1.27bn for the first quarter of 2025, marking a 7% increase compared to the same period in 2024. Earnings before interest, tax, depreciation and amortisation (EBITDA) reached $2.16bn, up 4% year on year, according to a statement released on May 5.
The profit growth was mainly supported by increased gas demand in the United Arab Emirates, linked to ongoing economic expansion. In parallel, shorter plant shutdown periods under its planned maintenance programme allowed for higher gas processing volumes. Quarterly revenue reached $6.099bn, rising 1% year on year, while free cash flow excluding working capital grew 6% to $1.214bn.
Operational efficiency and investment expansion
Capital expenditures (CAPEX) rose 43% compared to the first quarter of 2024. The increase aligns with the group’s ongoing growth strategy aimed at strengthening industrial capacity across economic cycles. ADNOC Gas expects to reach a Final Investment Decision in 2025 for its Rich Gas Development project.
During the quarter, the company signed several liquefied natural gas (LNG) supply contracts with Indian Oil Corporation and JERA Global Markets, with a total estimated value of $9bn. These agreements support ADNOC Gas’s strategy to expand its international customer portfolio, particularly in Asian markets.
Strengthened market profile
In the same quarter, ADNOC Gas conducted a marketed offering of 3.1 billion shares, increasing its free float from 5% to 9%. This transaction positions the company for potential inclusion in the MSCI index as early as June and in the FTSE index by September.
The EBITDA margin reached 35.4%, compared to 34.5% a year earlier. The net income margin stood at 20.8%, up 107 basis points. Despite a slight sequential decline in EBITDA versus Q4 2024 (-5%), the company’s management reaffirmed its target of over 40% EBITDA growth by 2029, including proportional consolidation of the Ruwais LNG project once operational.
