Fitch Ratings: SOCAR’s revenue set to approach $46 billion in 2025

Fitch Ratings has forecasted that the gross revenue of the State Oil Company of Azerbaijan (SOCAR) will total approximately $45.935 billion in 2025.

The international rating agency also projected that SOCAR's operating earnings before interest, taxes, depreciation, and amortization (EBITDA) would amount to $3.317 billion in the same year, per Caliber.Az.

Fitch noted that "favourable oil and gas prices have strengthened SOCAR's financial performance," driving positive growth for the company.

The agency anticipates that SOCAR's revenue in 2024 will be higher, reaching $50.61 billion, with an operating EBITDA of $3.535 billion. It also expects SOCAR’s EBITDA margin to increase from 7% in 2024 to 7.2% in 2025.

SOCAR’s performance continues to outpace its Central Asian counterparts, including Kazakhstan’s KazMunaiGas and Uzbekistan's Uzbekneftegaz, with significant trading operations contributing to its higher profitability.

Founded in 1992 and based in Baku, SOCAR plays a crucial role in Azerbaijan’s energy sector, engaging in the full spectrum of the oil and gas industry. The company’s operations extend beyond Azerbaijan, with key partnerships and projects across Europe, the Middle East, and Asia.

One of SOCAR’s flagship projects is the Shah Deniz gas field, one of the world’s largest, supplying natural gas to Europe through the Southern Gas Corridor. Additionally, SOCAR is instrumental in the Baku-Tbilisi-Ceyhan (BTC) pipeline, which transports oil from the Caspian Sea to the Mediterranean, strengthening Europe’s energy security.

In recent years, SOCAR has also made strides in sustainable energy, focusing on renewable sources like wind and solar power, alongside investments in green hydrogen technology.

By Tamilla Hasanova