Saudi renewables player Acwa Power's net income increased 52% y-o-y to SAR 631 mn in 2Q 2024, according to its investor report (pdf). Revenues also rose 10.7% to SAR 1.6 bn during the period.

Driving the rally: The company attributed the better performance in its bottom line to gains from divestments, higher margins from its subsidiaries, along with higher finance income (which usually includes income from interest, dividends, capital gains, and investment returns), according to a disclosure to Tadawul.

Acwa posted a 35.5% y-o-y rise in bottom line to SAR 926.8 mn in 1H 2024, while revenues grew 2.6% to SAR 2.8 bn.

REMEMBER- Acwa sold down its stake in Uzbek projects: Saudi’s renewables giant Acwa Power sold a 35% stake in its Bash and Dzhankeldy 1 GW wind projects in Uzbekistan to China Southern Power Grid’s global investment arm China Southern Power Grid International for SAR 595.9 mn (c. USD 158.9 mn) last month. The total investment ticket for both projects — the 500 MW Dzhankeldy wind farm and the 500 MW bash wind plant — is around USD 1.3 bn.

That wasn’t Acwa’s only stake sale: In June, Hassana Investment Company signed a SAR 844 mn Share Purchase Agreement to acquire 30% of the company’s shareholding in Independent Water, Steam and Power Producer Rabigh Arabian Water & Electricity Company, according to a press release.

The company’s also working on R&D: Acwa also signed an MoU with China’s Huawei Digital Power in June to develop a joint research and development program that aims to localize photovoltaic string production tech in Saudi Arabia, maximize solar panel efficiency, and reduce costs.

Tags: