Increasing by 36% year-on-year, net profit attributable to equity holders reached SAR 927 million

• A record 10.5GW of renewable power generation capacity added on the development portfolio

Saudi-listed ACWA Power, the world’s largest private water desalination company, leader in energy transition and first mover into green hydrogen, today announced its consolidated financial results for the six months ending 30 June 2024.

The company’s net profit – attributable to equity holders of the parent – reached SAR 927 million, growing by 36% or SAR 243 million versus the comparable period in 2023. Operating income before impairment losses and other expenses reached SAR 1,389 million in the same period, with an increase of SAR 100 million.

As part of its operating income, the Company reported a SAR402 million of development business and construction management services gain on partial divestment of its Bash and Dzhankeldy wind projects in Uzbekistan.

During the first half of the year, the company has continued to add new projects to its portfolio, including the addition of a record 10.5GW of renewable power generation capacity. In May, the company signed a Power Purchase Agreement (PPA) with the National Electric Grid of Uzbekistan for up to 5GW Aral Wind with BESS project, which is Central Asia's largest wind farm and ACWA Power's 15th project in Uzbekistan. In June, three PPAs were signed for large-scale PV solar projects at an aggregate total investment cost of SAR 12.3 billion in Saudi Arabia with a combined capacity of 5.5GW as the fourth round of the ACWA Power-Public Investment Fund (PIF) Strategic Framework Agreement.

Marco Arcelli, Chief Executive Officer of ACWA Power, stated: “Our financial results renew our confidence in pursuing our ambitious growth agenda and allow us to accelerate our mission of delivering low-cost and responsible water and power globally.”

Commenting on the financial results, Abdulhameed Al Muhaidib, Chief Financial Officer, ACWA Power, said: “Despite the operational challenges witnessed in few assets, the diversity of our asset base as well as our business model has allowed us to grow our operating and net profit in the first six months of this year.”

ACWA Power has successfully reached financial close on three major projects, the Taiba and Qassim Combined Cycle Gas Turbine (CCGT) projects in Saudi Arabia, and the Hassyan IWP project in the UAE, with a total investment of SAR 18 billion for all three.

On the operations front, ACWA Power is seeing a steady stream of projects coming fully or partially online. The 1,500MW Sudair Solar PV in Saudi Arabia, Kom Ombo 200MW solar PV in Egypt, and the 909m³/day Al Taweelah water desalination plant in the UAE, are now operating at full capacity. Additionally, the 1500MW Sirdarya CCGT in Uzbekistan is currently generating 918MW, with the remaining capacity expected to come online within this year. Meanwhile, the Shuaa Energy 3 company, in which ACWA Power owns a 24% stake, was granted the commercial operation certificate for the 300MW Phase C, the fifth phase of the Mohammad Bin Rashid Al Maktoum Solar Park in Dubai.

On 10 June 2024, ACWA Power’s Board of Directors recommended increasing the company’s capital by SAR 7,125 million through the offering of a Rights Issue, which will allow the company to anchor its growth strategy of tripling the assets under management to USD 250 billion by 2030. The company reports that the main driver for this capital raise is that the expected increase in the average annual equity commitments by the company to around USD 2.5 billion between 2024 and 2030, from an earlier range of USD 1 billion to USD 1.3 billion. The capital increase will allow ACWA Power to continue to invest in the growth of its portfolio while maintaining a strong financial position. The Board of Directors' recommendation is subject to approval by the Capital Market Authority and an extraordinary general assembly.

ACWA Power’s interim financial statements for the six months ending 30 June 2024, issued by KPMG Professional Services (the company’s Certified Public Accountants), along with the Investor Report including a management’s discussion and analysis on the financial results, are available on the company’s Investor Relations page at http://acwapower.com/en/investor-relations/

The company will host a conference call discussing the financial results and business updates on Sunday 4 Aug 2024 at 16:00 KSA / 13:00 GMT.