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Rosneft Sets Revenue Record Despite Global Challenges

by Krystal

Rosneft Oil Company achieved record-breaking revenue and tax contributions in 2024, surpassing many global energy giants despite a tough economic environment and regulatory pressures.

The company’s 2024 financial results, based on IFRS standards, showed a 10.7% increase in revenue year-on-year, reaching 10.1 trillion rubles. This growth outpaced major international competitors like Shell, Chevron, Exxon, Equinor, and Total.

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Earnings before interest, taxes, depreciation, and amortization (EBITDA) grew by 0.8%, totaling 3 trillion rubles. This resulted in a strong EBITDA margin of 29.7%.

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CEO Igor Sechin highlighted Rosneft’s position as the largest taxpayer in Russia. “In 2024, the total amount of taxes and other payments to the Russian Federation’s consolidated budget exceeded 6.1 trillion rubles,” he said. “This is the highest figure in the company’s history and the Russian market as a whole.”

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Net income attributable to shareholders reached 1.08 trillion rubles, marking Rosneft’s second-best profit on record. The company pointed to several challenges affecting profits, such as rising borrowing costs, the revaluation of foreign currency liabilities, and an increase in corporate income tax rates.

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Capital expenditures increased by 11.2% to 1.4 trillion rubles, mainly driven by investments in upstream projects. Free cash flow for the year stood at 1.3 trillion rubles.

In terms of production, Rosneft produced 255.9 million tons of oil equivalent, including 184 million tons of crude oil and 87.5 billion cubic meters of gas. The company maintained its position as Russia’s largest independent gas producer, continuing to outperform Western majors like ExxonMobil, Shell, and Chevron, even while adhering to the OPEC+ production limits.

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