Famil Sadygov: “Gazprom Group demonstrates excellent performance in terms of several key financial indicators in 2024”

Famil Sadygov, Deputy Chairman of the Gazprom Management Committee:

“In 2024 , the Gazprom Group demonstrated excellent performance in terms of several key financial indicators, which proved the efficiency and stability of its business model.

A significant contribution to this was made in the fourth quarter of 2024, as said period is traditionally the time of strong results for Gazprom due to seasonality. For instance, the EBITDA of the Gazprom Group for October-December 2024 totaled RUB 966 billion, which is one the highest quarterly figures ever observed in the entire history of Gazprom. A contribution to the result achieved in the fourth quarter was, inter alia, from the growth of gas supplies to foreign markets, including the increased export supplies to China which were brought to their maximum contractual level on December 1. Favorable price dynamics also facilitated the improvement of the financial results.

I would like to note that in 2024 there was an upward trend in the Gazprom Group's EBITDA and revenue: both indicators demonstrated a quarterly growth versus the same periods of 2023.

For the entire year 2024, EBITDA rose by 76 per cent to RUB 3.1 trillion. This is the third largest result in the entire history of the Gazprom Group; the only time the Company demonstrated higher figures was in 2021–2022, when prices in Europe's gas market were soaring to unprecedented highs. The largest contribution in 2024 was made by the gas business; other sectors of the Company's business also secured a consistently high result.

In 2024, the Gazprom Group's revenue rose by 25 per cent versus 2023 and totaled RUB 10.7 trillion. This is the second highest result in the entire history of Gazprom. The revenue growth was ensured by each sector of the Gazprom Group's business.

The net profit of the Gazprom Group amounted to RUB 1.219 trillion versus the loss observed in 2023 (said loss was largely due to non-monetary expenditure items). The net profit was considerably facilitated by the decrease in exchange losses on foreign currency liabilities, as well as by the increase in the interest income from the placement of monetary funds, as this increase offset the growth of interest expenditures. The net profit adjusted for non-monetary items reached RUB 1.433 trillion, which is a two-fold increase of this indicator versus 2023.

It is also important to emphasize the continuous work we perform to control operational and capital expenditures. Due to these efforts, inter alia, the Gazprom Group's capital expenditures were reduced by 3 per cent to RUB 2.4 trillion in 2024, despite the inflationary pressure.

Gazprom pays great attention to controlling the debt burden. In 2024, the Gazprom Group's debt repayment exceeded the borrowings by RUB 116 billion, which mitigated the negative effect from the revaluation of the debt portfolio in foreign currency against the backdrop of the growing currency exchange rates. As a result, the Gazprom Group's Total Debt remains approximately at the level observed in 2023 (RUB 6.7 trillion).

Gazprom also maintains a significant liquidity cushion, which totaled RUB 1.034 trillion in 2024. Such amount of fund reserves on the balance ensures a high level of financial stability at the Gazprom Group, even under sanctions pressure.

The (Adjusted) Net Debt/EBITDA ratio dropped to 1.8 against 2.8 observed at the end of 2023. This also confirms that the Gazprom Group strengthened its financial position in 2024.”