30.8 billion dirhams 'TAQA' revenues in 9 months

TAQA Group recorded net income of AED 1.3 billion.

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The Abu Dhabi National Energy Company announced yesterday its first interim consolidated financial results, after completing the merger deal with the Abu Dhabi Power Corporation on July 1, 2020, achieving revenues of 30.8 billion dirhams during the first nine months of this year, a decrease of 7 % Over the same period last year, due to lower commodity prices and the volume of production in the oil and gas sector.

In a statement, TAQA stated that earnings before interest, taxes, depreciation and amortization amounted to 12 billion dirhams, 17% less, indicating that this came as a result of lower revenues.

She added that a net income of 1.3 billion dirhams was recorded, reflecting a decrease in the size of the oil and gas sector’s contribution, including a cost recorded in the first quarter of 2020, for a decrease in the book value of some sector assets, amounting to 1.5 billion dirhams after tax.

In addition to approving the financial results of the "TAQA" group, the Board of Directors approved increasing the foreign ownership limit for the company to 49% of the issued capital. This decision will take effect immediately, after the ownership of the company was previously restricted to the citizens of the state and its institutions.

The company's board of directors also proposed a new dividend policy, targeting total dividends for the year 2020 of 2.50 fils per share, with an annual increase of 10% over the next two years.

According to the proposed policy, dividends for the year 2020 will be paid through an interim dividend of 1.50 fils per share, to be paid as soon as possible, and a final dividend of one fils per share, to be paid after holding the annual general assembly in 2021.

Dividends for 2021 and 2022 will be paid on a quarterly basis.

"We are excited to see TAQA embark on a journey reinforced by the recent merger with the Abu Dhabi Energy Corporation, and we are pleased to start realizing the new strategic foundations for the company, which include achieving sustainable returns for shareholders," said the Chairman of the Board of Directors of TAQA Group, Mohamed Hassan Al Suwaidi.

He added, "To this end, we will propose to our shareholders a progressive dividend policy that would produce quarterly cash returns for investors."

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