Transportadora De Gas Sa Ord ( (TGS) ) has released its Q4 earnings. Here is a breakdown of the information Transportadora De Gas Sa Ord presented to its investors.
Transportadora de Gas del Sur S.A. (TGS) is a leading Argentine company in the natural gas transportation sector, responsible for transporting approximately 60% of the gas consumed in the country through an extensive network of pipelines. The company is also a significant player in natural gas processing and has substantial investments in the Vaca Muerta formation, positioning it as a key midstream operator in Argentina.
In its latest earnings report for the fourth quarter of 2024, TGS announced a total comprehensive income of Ps. 129,619 million, a significant turnaround from a loss of Ps. 51,090 million in the same period the previous year. This improvement was driven by increased revenues from its Natural Gas Transportation and Liquids Production and Commercialization segments, as well as a reversal of impairment charges.
Key financial highlights include a 56% increase in total revenues to Ps. 348,465 million, with the Natural Gas Transportation segment alone seeing a 203% rise in revenues due to tariff adjustments and increased demand. The Liquids Production and Commercialization segment also performed well, with revenues up by 32%, supported by higher volumes and favorable exchange rates. Additionally, the company’s financial results benefited from a lower exchange rate variation, contributing to a positive financial result of Ps. 154,002 million.
Despite the positive financial performance, TGS faced increased costs, with net cost of sales and administrative expenses rising by Ps. 18,841 million. However, the company maintained a strong financial position with a negative net debt of Ps. 216,429 million, indicating a healthy cash flow and reduced financial liabilities.
Looking ahead, TGS is poised for growth with ongoing infrastructure projects and regulatory developments. The company is awaiting the final resolution of the Five-Year Tariff Review, which is expected to provide a clearer regulatory framework for the period 2025-2029. With its strategic investments and operational improvements, TGS is well-positioned to capitalize on future opportunities in the Argentine energy market.