By: Reuters

ADNOC Gas (ADNOCGAS.AD), opens new tab reported on Wednesday a 16% rise in second-quarter net profit as strong domestic demand and operational efficiency helped offset lower hydrocarbon prices.

The subsidiary of Abu Dhabi's state oil giant said it made net profit of $1.385 billion in the three months to June 30, its highest quarterly earnings.

The gas processing and sales company said earnings before interest, tax, depreciation and amortisation rose 8% to $2.256 billion, with margins improving across its portfolio. Revenue dipped 2% to $5.96 billion, but cost reductions and higher-margin sales supported earnings growth.

"We are pleased to report the highest quarterly net income in ADNOC Gas' history," CEO Fatema Al Nuaimi said, citing robust local market performance and improved efficiency.

The company's board approved an interim dividend of $1.792 billion, a 5% increase from a year earlier, to be paid in September.

ADNOC Gas increased capital expenditure by 49% in the first half of 2025, advancing key projects including a $5 billion investment in the first phase of its Rich Gas Development (RGD) project. It also expects to progress the Ruwais LNG project and other initiatives aimed at expanding its LNG footprint.

Following its inclusion in the MSCI Emerging Markets Index in June, ADNOC Gas said it saw capital inflows of around $500 million. It said it expects to join the FTSE Index in September, potentially attracting an additional $200 million in passive investment.