Russia’s second gas giant posts steep profit drop, slashes investments

The profit dropped to 225.7 billion rubles (approximately $2.53 billion) from 341.7 billion rubles ($3.84 billion) in the same period last year.

The normalized EBITDA (Earnings before Interest, Taxes, Depreciation and Amortization) dropped by 1.9% to 471.8 billion rubles ($5.3 billion) compared to 480.7 billion rubles ($5.4 billion) in 2024.

At the same time, the company’s revenue rose by 6.9% to 804.3 billion rubles ($9.04 billion). Novatek’s net debt fell by 22.5%, amounting to 108.4 billion rubles ($1.2 billion), while capital investment was slashed by 37.4% to 76.4 billion rubles ($858 million), down from 122 billion rubles ($1.37 billion) in the first half of the previous year.

As previously reported, in March 2025 Gazprom announced a net loss of $12.89 billion for 2024 under Russian accounting standards (RAS).

However, in April Gazprom claimed a net profit of $14.6 billion for 2024 under international accounting standards.

Additionally, it was reported that the Russian government is not expecting dividend payments from Gazprom for the 2025 state budget.

Gazprom’s net loss under Russian accounting standards in the first half of 2025 amounted to 10.77 billion rubles (about $130.7 million).