Famil Sadygov: “Financial results for H1 2024 demonstrate stability of Gazprom Group’s business model”

Famil Sadygov, Deputy Chairman of the Gazprom Management Committee:

“The financial results for the first half of 2024  show the stability of the Gazprom Group's business model. In the reporting period, the Company significantly improved its key financial performance indicators.

In the first six months of 2024, the Company generated EBITDA in the amount of RUB 1.459 trillion, which is 19 per cent above last year's figure. This was achieved as a result of the efficient work of the oil sector, increase in gas exports including the planned growth of supplies to China, and our active steps taken to reduce costs. The consolidation of Sakhalin Energy has also contributed to the positive financial result for the first half of 2024.

The net profit attributable to Gazprom's shareholders in the first six months of 2024 totaled RUB 1.043 trillion, which is more than three times above the figure for the same period of last year. The net profit adjusted for non-monetary items (dividend base) reached RUB 779 billion, which is 26 per cent above the figure for the first six months of 2023.

The capital investments in the reporting period amounted to RUB 1.058 trillion. Despite the inflationary pressure, the figure decreased by 11 per cent compared to the same period of last year. The capital investments were funded from the operating cash flow, which totaled RUB 1.031 trillion taking into account the adjustments for changes in the amount of bank deposits.

A considerable liquidity cushion of RUB 1.5 trillion completely covers the Company's short-term debt obligations. The adjusted net debt went down significantly: at the end of the first half of 2024 it amounted to RUB 4.7 trillion, which means that it was decreased by RUB 284 billion in the reporting period.

Thus, against the background of the Company's strong performance observed in the first six months of 2024, the net debt/EBITDA ratio was calculated at 2.4 in Russian rubles.”