Taqa, a leading Abu Dhabi based National Energy Company has announced that its first quarter net profit has witnessed a dip by 89% on year to Dh 40 million.

The company has attributed this huge dip in net profit to low foreign exchange rates and a decrease in natural gas prices during the period.

However, Taqa’s total revenue, surged by 5%, posting Dh 4.2 billion during the period.

While commenting on the occasion, Mr. Peter Barker-Homek, CEO of Taqa, stated, “We remain committed to rigorous and disciplined cost control. Taqa remains well-funded with no short-term refinancing needs and significant free cash flow to cover existing obligations and fund opportunities for future growth.”

Taqa authorities said that cash flow from operations after meeting interest obligations remains robust even as the net income has been negatively impacted by lower oil and gas prices.

The company revealed that upstream activity, including gas storage, produced revenue of Dh1.8 billion which is 44% of the total earnings during the first quarter.

(via TopNews Arab Emirates. Contributed by Akilah Amiri)