Saudi-based utility developer ACWA Power reported a sharp 62% increase in adjusted net profit for the first half of 2025, underpinned by strong operational performance, aggressive portfolio expansion, and a highly successful SAR 7.125 billion ($1.91 billion) capital raise.
The adjusted net profit attributable to equity holders of the parent reached SAR 1.17 billion ($312 million), up from SAR 723 million in the same period a year earlier. The rise came despite a slight 1.9% dip in reported net profit, which was affected by an impairment charge in one of the company’s affiliates.
Operating profit surged by 59% to SAR 2.21 billion ($591 million), largely driven by higher income from project development and construction services, as well as improved contributions from operating assets.
The first six months of 2025 marked a milestone period for ACWA Power, with the company securing nine Power Purchase Agreements (PPAs) totaling 20GW in new capacity. Notably, 15GW of that was signed in July as part of Saudi Arabia’s renewable energy drive under Vision 2030. On the water side, two Water Purchase Agreements (WPAs) were concluded, adding 700,000 cubic metres per day (m³/day) of desalination capacity once operational.
In parallel, the company achieved commercial operation for 3.3GW of power generation and 600,000 m³/day in desalination capacity across its global portfolio.
ACWA Power’s scale-up efforts also extended beyond Saudi Arabia. The company signed a Share Purchase Agreement to acquire power and water assets in Bahrain and Kuwait, bringing in an additional 4.6GW of power and 1.1 million m³/day of water desalination capacity. These assets, which are already operational, will be added to ACWA Power’s portfolio upon completion of the transaction.
The company continues to position itself at the forefront of the global energy transition, with green hydrogen emerging as a key strategic focus. During the period, ACWA Power inked several agreements with international partners aimed at establishing a green hydrogen and renewable energy export corridor between Saudi Arabia and Europe. The initiative is closely aligned with the Kingdom’s Vision 2030 and Europe’s long-term decarbonisation plans.
Looking eastward, ACWA Power is also making inroads into Southeast Asia. It signed memoranda of understanding and partnership agreements in Malaysia to explore investments in renewable energy, water infrastructure, and hydrogen. The move marks a continuation of the company’s strategy to expand its geographic footprint into high-growth markets.
The company’s H1 performance was buoyed by strong investor confidence, demonstrated by the Rights Issue completed in June. The offering, which generated SAR 7.125 billion in proceeds, was 96% subscribed and nearly six times oversubscribed. The capital raise broadened ACWA Power’s investor base, lifting foreign ownership in the company to 4.27%.
Marco Arcelli, CEO of ACWA Power, said the company’s progress reflects its growing scale and strategic discipline. “We have doubled in size over the past three years, and we expect to double again over the next five,” he said in a statement, pointing to long-term partnerships, particularly with the Public Investment Fund (PIF), as key enablers of growth.
Chief Financial Officer Abdulhameed Al Muhaidib highlighted operational and financial resilience as core to the company’s outlook. “The overwhelming response to our capital raise, our successful pipeline execution, and disciplined acquisitions position us strongly for the future,” he said.
During the first half, ACWA Power also achieved financial close on two projects with a combined investment of SAR 2.4 billion ($648 million), reinforcing its commitment to disciplined capital deployment. The company now aims to reach $250 billion in assets under management by 2030, driven by rapid expansion in clean energy and water infrastructure.
ACWA Power’s interim financial statements for the six months to June 30, 2025, audited by KPMG, and the accompanying investor report, are available on its investor relations portal. The company held an investor call to discuss the results on July 31.
