TAQA profit rises 9.7%, approves Dh899 million dividend for shareholders

Dubai: TAQA shareholders will receive a second-quarter interim dividend of 0.8 fils per share, worth approximately Dh899 million, after the Abu Dhabi-listed utility reported a 9.7% increase in first-half net income despite lower revenue.

Net income attributable to shareholders reached Dh4.1 billion in the first six months of 2026, compared with Dh3.7 billion during the same period last year, supported by higher earnings from the group's transmission and generation businesses.

Revenue declined 2.6% to Dh27.5 billion, from Dh28.2 billion a year earlier, following lower pass-through revenues at TAQA Distribution, extension works at the Shuweihat 1 Power Plant and lower oil and gas production after the planned decommissioning of UK North Sea assets.

Utilities lift earnings

TAQA's operating performance improved despite the decline in revenue, with EBITDA increasing 7.7% to Dh11 billion, compared with Dh10.2 billion in the first half of 2025.

Higher contributions from TAQA Transmission and the group's generation operations helped offset weaker earnings from the oil and gas business.

Spending on power and water jumps 38%

Capital expenditure climbed 38% to Dh7.2 billion during the first half, reflecting increased investment across power generation, water and transmission infrastructure.

The higher investment reduced free cash flow to Dh4.6 billion, compared with Dh7 billion during the same period last year.

TAQA also progressed several major UAE infrastructure projects during the period, including the 2.6 gigawatt Taweelah C Independent Power Producer project, where a TAQA-led consortium holds a 60% stake.

The company signed a 27-year Utilities Purchase Agreement with ADNOC to provide utilities to the TA'ZIZ Industrial Chemicals Zone in Ruwais, while TAQA Water Solutions joined Etihad Water and Electricity and Saur International on a wastewater treatment project in Ras Al Khaimah.

The planned facility will have capacity to process 60,000 cubic metres of wastewater a day and is expected to serve up to 300,000 people.

Renewable energy investments expand

TAQA also continued its renewable energy expansion through its stake in Masdar during the first six months of the year.

Masdar signed a binding agreement with TotalEnergies to create a $2.2 billion joint venture covering onshore renewable energy projects across Asia and agreed with Repsol to acquire a 49.99% stake in a €849 million, 705 megawatt renewable energy portfolio in Spain.

The company also secured Contracts for Difference for 3 gigawatts of new offshore wind capacity across the Dogger Bank South projects in the UK.

TAQA, EWEC, Masdar, EDF Power Solutions and Jinko Power completed a $870.75 million, or Dh3.2 billion, green bond issuance during the period to refinance the Al Dhafra Solar PV Independent Power Plant.

Thabet said the group had also advanced partnerships supporting Abu Dhabi's industrial development while expanding its international renewable energy presence through Masdar.