Saudi-listed ACWA Power, the worldโs largest private water desalination company and a leading player in the global energy transition, has reported strong financial and operational performance for the first half of 2025, driven by major project wins, international expansion, and a successful capital raise.
Financial Highlights
For the six months ending June 30, 2025, ACWA Power posted an adjusted net profit of SAR 1.17 billion, a 62% increase compared to the same period last year. The increase, equivalent to SAR 449 million, was attributed to higher contributions from project development, construction management, and operational revenues.
However, the companyโs reported net profit fell slightly by 1.9%, primarily due to an impairment charge in one of its affiliated companies.
Operating income before impairment losses and other expenses rose to SAR 2.2 billion, an increase of SAR 818 million year-on-year.
Major Agreements and Capacity Additions
The first half of 2025 saw ACWA Power sign nine Power Purchase Agreements (PPAs) totaling 20 GW of new capacity. This includes 15 GW in Saudi Arabia alone, as part of the Kingdomโs renewable energy drive under Vision 2030.
In its water desalination business, the company signed two Water Purchase Agreements (WPAs), adding 700,000 cubic meters per day of new capacity.
ACWA Power also finalized a Share Purchase Agreement (SPA) to acquire power and water assets in Bahrain and Kuwait, adding 4.6 GW of power and 1.1 million mยณ/day of water capacity to its development pipeline. These assets will be counted as operational once the transaction is completed.
CEO and CFO Comments
ACWA Power CEO Marco Arcelli said the companyโs 2025 performance so far reflects its scale, agility, and strategic partnerships:
โWe have doubled in size over the past three years and expect to double again in the next five. Our growing portfolio and bold entry into new markets highlight our long-term commitment to building a cleaner, more sustainable future.โ
CFO Abdulhameed Al Muhaidib added:
โOur pipeline conversions, operational excellence, and disciplined acquisitions have positioned us strongly. The success of our capital raise further demonstrates investor confidence in our growth strategy.โ
Capital Raise and Investor Confidence
The company completed a Rights Issue capital raise of SAR 7.125 billion, with a 96% subscription rate and nearly six times oversubscription. The move increased foreign ownership in ACWA Power to 4.27%, signaling strong interest from international investors.
Project Execution and Milestones
During H1 2025, ACWA Power:
Achieved commercial operation for 3.3 GW of power and 600,000 mยณ/day of desalination capacity.
Achieved financial close on two projects totaling SAR 2.4 billion in investment value.
Strategic Growth in Green Hydrogen and Southeast Asia
ACWA Power continues to build momentum in green hydrogen, signing strategic agreements to establish a Green Hydrogen and Renewable Energy Export Corridor between Saudi Arabia and Europe. The initiative supports both Vision 2030 and Europeโs decarbonization efforts.
The company is also exploring new markets in Southeast Asia, particularly Malaysia, where it has signed several MoUs and strategic partnerships focused on renewable energy, hydrogen, and water infrastructure development.
Long-Term Vision
ACWA Power reiterated its ambition to reach USD 250 billion in assets under management by 2030 while expanding into high-growth markets and delivering infrastructure that supports global sustainability goals.
The companyโs full interim financial statements for the period, prepared by KPMG Professional Services, along with an investor presentation, are available on the ACWA Power Investor Relations page.
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