NMDC Energy Reports Exceptional 2024 Financial Results, Proposes 50% Dividend Payout

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NMDC Energy Reports Exceptional 2024 Financial Results, Proposes 50% Dividend Payout

NMDC Energy PJSC (ADX: NMDCENR), a majority-owned subsidiary of NMDC Group (ADX: NMDC), has announced outstanding financial results for the year 2024, marking a historic year for the company. The firm reported a significant 82% year-on-year increase in revenues, reaching AED 14.44 billion, driven by strong operational performance and its strategic international expansion.

Net profit surged by 80% year-on-year, increasing from AED 780 million to AED 1.406 billion, underscoring the company’s robust growth. Earnings per share also rose by 82%, and total assets amounted to AED 16.5 billion, a 27% increase over the previous year. The company’s Q4 results further solidified its success, with a 35% increase in net profit to AED 502 million and record high revenues of AED 4.7 billion, a 57% rise compared to the same period in 2023.

In line with its strong performance, the board of NMDC Energy has proposed a cash dividend payout of AED 700 million for the fiscal year 2024, equating to 14 fils per share, representing a 50% payout ratio, which is subject to shareholder approval at the upcoming General Assembly Meeting.

“We are proud of our achievements in 2024, which demonstrate significant advances in both operational excellence and geographic expansion,” said Mr. Mohamed Hamad Almehairi, Chairman of NMDC Energy. “Our financial performance reflects the growing value we are delivering to our stakeholders, aligned with the UAE's vision for sustainability and economic growth.”

Eng. Ahmed Salem Al Dhaheri, CEO of NMDC Energy, highlighted the company’s continued focus on innovation and efficiency. “Our strategic projects and technological advancements have positioned NMDC Energy as a leader in the global energy sector,” Al Dhaheri remarked, emphasizing the success of projects such as the advanced fabrication yard in Saudi Arabia and the prestigious EPC contract with Taiwan Power Company.

NMDC Energy’s project backlog currently stands at AED 50.4 billion, showcasing the company’s strong pipeline. The company was also recently awarded a $1.14 billion EPC contract by Taiwan Power Company for the Tung-Hsiao Power Plant 2nd Stage Renewal Project, a notable step in NMDC Energy’s international growth.

The company made its debut on the Abu Dhabi Securities Exchange (ADX) in September 2024, following an oversubscribed Initial Public Offering (IPO), marking another key milestone in its growth trajectory. The listing places NMDC Energy among a select group of listed entities and strengthens its position in the GCC region.

As part of its commitment to sustainability, NMDC Energy has invested AED 200 million in modernizing its facilities, including the Mussafah and Ras Al Khair yards, aimed at reducing its carbon footprint and enhancing operational efficiency. The company continues to reinvest in local economies, contributing AED 17 billion to the UAE economy and increasing its presence in Saudi Arabia, where it accounts for approximately 40% of its total revenue.

Recognized for its leadership in ESG practices, NMDC Energy is also focusing on renewable energy solutions and decarbonization initiatives. The company received an AA ‘leader’ rating from MSCI, reinforcing its role in supporting the UAE’s Net Zero goals.

Through its partnership with e&, NMDC Energy is enhancing its operations with cutting-edge technologies such as 5G and Artificial Intelligence to improve safety, sustainability, and efficiency, positioning itself as a forward-thinking leader in the energy sector.