Naftogaz Group, Ukraine's state-owned oil and gas giant, reported a net profit of Hr 38 billion ($913 million) for 2024, marking a 64% increase from the previous year, the company announced on May 1.
The company managed to boost profits despite Russian attacks on Ukraine's energy infrastructure that knocked out almost 50% of Naftogaz's gas production capacity last winter.
"Achieving this requires significant effort even in peacetime — during wartime, it borders on the impossible," said Roman Chumak, acting CEO of Naftogaz.
The company reported an operating profit of Hr 51.1 billion ($1.2 billion), up 32% year-on-year, while gross profit surged to Hr 89.1 billion ($2.1 billion) from Hr 48.5 billion ($1.1 billion) in 2023.
The financial results were confirmed by international audit firm KPMG, Naftogaz said.
Ukrgasvydobuvannya, Naftogaz's gas production unit, doubled its profit to Hr 20.9 billion ($501.6 million) in 2024 while increasing gas output to 13.9 billion cubic meters (bcm) from 13.2 bcm in 2023.
The company achieved a three-year high in daily production of 38.9 million cubic meters thanks to the commissioning of 83 new wells.
This growth came despite Russian forces attacking 34 of Ukrgasvydobuvannya's facilities last winter.
For the first time in years, the gas trading segment became profitable, posting a net operating result of Hr 2.3 billion ($55.2 million) compared to a Hr 22.3 billion ($535.2 million) loss in 2023. The company's gas supply settlement rate improved by 10 percentage points to 98%.
Naftogaz's oil divisions, Ukrnafta and Ukrtransnafta, both delivered strong results in 2024, with Ukrtransnafta posting a profit of Hr 3.7 billion ($88.8 million) and Ukrnafta remaining profitable for the second consecutive year with Hr 17.3 billion ($415.2 million) in profits.
The company has also expanded its electricity generation capacity, with ongoing cogeneration projects expected to provide an additional 177 megawatts of capacity.
Naftogaz Group contributed Hr 104.3 billion ($2.5 billion) to Ukraine's state budget in 2024, representing approximately 7% of the government's total revenue.
"We continue to fulfill our core mission of ensuring the country's energy stability during wartime," Chumak said. "At the same time, we're becoming more profitable, thanks to the team's efforts."
On April 29, Naftogaz appointed Serhii Koretskyi as the company's new CEO. Koretskyi, who previously headed Ukrnafta and Ukrtatnafta, will replace Oleksii Chernyshov who left in December 2024 to become deputy prime minister and 'national unity' minister.
Andrea Januta
(Updated: )
