Russia’s Gazprom reports USD15 billion net profit

(MENAFN) Russian energy company Gazprom reported a net profit of 1.2 trillion rubles (approximately $14.76 billion) in 2024, rebounding strongly after recording its first loss in over 20 years in 2023. The turnaround was largely driven by a recovery in gas exports—particularly to China—and increased earnings from financial investments, the firm announced on Wednesday.

Deputy CEO Famil Sadygov said the company's performance in 2024 demonstrated the strength and resilience of its business model. He credited the profit growth to a surge in gas sales to non-Western countries and rising interest income.

Gazprom, once the European Union’s top gas supplier, saw its exports to Europe collapse following the Ukraine conflict, Western sanctions, and the sabotage of the Nord Stream pipelines. Russia’s share of EU pipeline gas imports has since plunged from over 40% in 2021 to around 11% in 2024.

The company had posted a $6.8 billion net loss in 2023 after years of strong profits, including $13.2 billion in 2022. The 2024 recovery included a 25% increase in total revenue to 10.7 trillion rubles ($130.8 billion), its second-highest on record—just behind the 2022 peak of 11.7 trillion rubles ($143 billion), when soaring European gas prices temporarily boosted income.

Operating expenses fell 3% to 2.4 trillion rubles ($29.5 billion), while the company’s debt remained steady at 6.7 trillion rubles. Gazprom also reported cash reserves exceeding 1 trillion rubles, which Sadygov said provide strong financial stability despite ongoing sanctions.

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