Abu Dhabi National Energy Co (Taqa) posted a 154-per cent jump in second-quarter net profit to 471 million dirhams ($128.2 million) boosted by foreign acquisitions and high oil prices.

Revenues in the three months to June 30 jumped 155.6 percent to 4.6 billion dirhams, Taqa said in a statement.

Revenue from oil and gas activities soared to 2.3 billion dirhams from 77 million dirhams in the quarter, while revenue from gas storage grew more than 10-fold to 86 million dirhams, it said.

"The increase is due to the acquisitions made since the first quarter of 2007, as well as the impact of higher oil and gas prices," Taqa said.

Taqa earned net profit of 186 million dirhams in the second quarter of 2007, it said. Earnings per share of 11 fils in the quarter compared with 4 fils a year earlier.

Net profit for the first six months of 2008 grew 249 per cent to 869 million dirhams, compared with 249 million dirhams for the same period in 2007. 

Basic earnings-per-share grew 249 per cent to 21 fils for the first six months of 2008, compared with 6 fils for the same period in 2007.

EBITDA increased by 152 per cent to Dh5.2 billion for the first six months of 2008, compared with Dh2.1 billion for the same period in 2007.

Total revenue grew by 202 per cent to 8.6 billion dirhams, compared with 2.8 billion dirhams for the same period in 2007. Revenue from oil and gas activities was 4.2 billion dirhams, compared with 153 million dirhams for the same period in 2007. This increase reflects the acquisition of upstream assets in North America and Europe since Q2 2007, it said.

High average oil and gas prices experienced during the period have also been a contributing factor, Taqa said.

Peter Barker-Homek, chief executive officer of Taqa, said: “These results show the significant change in the nature of our business compared to just 12 months ago. While our domestic power generation and water desalination assets have continued to deliver solid performance, we are now seeing the full impact of the acquisitions made in the past year on Taqa’s results. High oil and gas prices have also boosted growth in revenue and profits.

“For the second quarter in a row we have seen profit growth of over 150 per cent in a year-on-year comparison, and 32 per cent compared with the first quarter of 2008. This substantial growth is reflected in earnings per share of 21 fils for the first six months of 2008 compared to six fils last year.

“Our focus now, as a management team, is to ensure the continued and effective integration of these, and other high-quality assets, into TAQA’s business. This process has been underway for some time and, as you would expect, we are already seeing the benefits of this.” - Reuters and TradeArabia News Service