Thank you very much, Carla. Good morning, afternoon, or evening wherever you are joining from.

It's a pleasure to be with you once again, and welcome to ACWA's fiscal year 2025 earnings call. We are reporting today under some kind of distress in the region.

You are all aware of that. As a matter of fact, I am joining the call from Dubai because I could not travel to Riyadh as usually I do.

My name is Ozgur Serin. I'm the Head of Corporate Strategy and Investor Relations.

Together with me today in Riyadh are Dr. Samir Serhan, our CEO; Marco Arcelli, now our former CEO; and Abdulhameed Al Muhaidib, our CFO.

We will be your hosts today. Before we jump into the results, I'd like to use the opportunity to begin with the recent leadership change.

ACWA board of directors, as you are all fully aware, has appointed a new CEO, and this is effective 1st of March, and it was heavily covered in the media. Marco Arcelli's contract is expiring in April 2027, and as a sign of company's strong governance and succession planning processes, this transition has been decided between Marco and the board to implement the planned succession process.

In the meantime, Marco will continue to serve in an advisory capacity to ensure continuity and a smooth transition. Again in the meantime, the company's long-term direction remains unchanged.

If we may move to the next slide, please. I just would like to give you a brief introduction and biography of Dr.

Samir, and I'm going to read this with your permission. Before his appointment as CEO, Dr.

Serhan was ACWA's President of Saudi Arabia and Middle East, where he was responsible for seven key markets, including Saudi Arabia, UAE, Kuwait, Bahrain, Oman, Jordan, and Iraq. Previously, Dr.

Serhan was Chief Operating Officer of the US-based company Air Products, where he had global responsibility for the company's operational business and project execution, with P&L accountability for the Americas, Asia, Europe, Africa, the Middle East, and India. He also led functions including technology, global engineering, manufacturing, and equipment at Air Products.

Earlier in his career, Dr. Serhan was President, Hydrogen for Praxair.

For 14 years prior, he worked for the Linde Group in leadership positions in the US and Germany, culminating in his role as Managing Director of Linde Engineering. Dr.

Serhan holds a PhD in engineering mechanics from Virginia Polytechnic Institute and State University, which is aka Virginia Tech. Active in research, he has presented and published more than 40 papers at conferences and in scientific journals around the world.

Let me hand over to Marco now because, before going into the call, we also wanted to give an opportunity to Marco and Dr. Samir to say words to us.

Marco?

Thank you, Ozgur, and thank you to everyone joining us today. Before we turn to the numbers, I want to reflect briefly.

When I came to Saudi Arabia, I arrived in the middle of something extraordinary: a country rewriting its own story at a speed and scale that few places on Earth have ever attempted. That energy is infectious.

It gets into you. The ambition of this nation, the clarity of its vision, the sheer determination of the people around you, it changes how you think about what's possible.

To have led ACWA through this period that has been a privilege indeed. What stays with me the most are the people: the late-night problem-solving calls, the long-term relationships built on trust, the young engineers discovering their purpose in this industry.

That human energy is what defines ACWA today, and that's the ACWA I will carry with me. We went through a startup phase, a scale-up phase, and now we enter a new phase of maturity.

A leader's job is to know when the next chapter needs a different hand on the wheel. Dr.

Samir Serhan is that person. I worked alongside him since he joined us in mid-2025, and I've watched him earn the trust and respect of every team he's engaged with inside the company and outside.

He understands this business at a molecular level: three decades of building, operating, scaling energy and water infrastructure across the world. The foundation we've set is strong.

The team we have here, it's extraordinary. The person stepping in is ready.

That matters more than anything I could say about myself, ACWA, and what we have done. Samir, it's yours.

Thank you, Marco. The results we will go through today are a direct reflection of the company you have helped shape and the platform you helped build.

I'm thrilled to be here at ACWA. ACWA sits at the intersection of everything that matters in global infrastructure: energy security, water scarcity, decarbonization at scale.

I spent 30 years in the industry. I have developed and built world-scale plants.

I have restructured complex organizations. I have navigated downturns and expansion cycles.

I want to emphasize that growth alone is not an objective. As I step in, we will sharpen our focus on strict selectivity on our market pursuits, operational transformation, solid project execution, and ensuring every riyal of growth contributes directly to our bottom-line profitability.

Solid project execution means safety first, front-end alignment, proactive risk management, transparent project controls, rigorous change control, and operational readiness focus. This is ACWA next chapter.

Given the ongoing geopolitical situation and the ongoing events in the Middle East, our first priority is the safety and well-being of our people across all locations. ACWA has taken several precautions to protect our people and our assets, to ensure the well-being of our employees and business continuity.

We're working closely with our partners in every country, including government authorities, offtakers, and security officials. We're implementing necessary steps to ensure the safety of our people, our networks, and our water and energy assets.

Our global safety and security teams are monitoring the situation closely. We have even initiated a round-the-clock command center to do so.

With that, I would like to go back to Ozgur to go through the details behind the results. Thank you.

Thank you, Dr. Samir, and thank you, Marco, very much.

Now here we go with the results. Before I hand over the word to Marco, let me do my usual reminders that there is a disclaimer with respect to the material and remarks we will use during this call, particularly on the forward-looking statements and all material, including our comprehensive investor report as well as the usual management discussion and analysis report, our own and Tadawul's websites, and as well as the financial statements and this call material.

Now without further ado, let's go into the results call. Marco, it's over to you.

Thank you, Ozgur. Let me start by telling you the overarching theme of this 2025.

It has been a year of acceleration, scale, and maturation like never before in our history, and I think that today ACWA is doing something that no one else in the world is doing. We achieved very strong financial results with an operating income that increased about 20%.

We closed more than 69 billion, almost 70 billion SAR of project financing, and we reinforced the balance sheet with 7.1 billion SAR rights issue that, if you remember, was 96% subscribed, with the rump being six times oversubscribed and a significant inflow from foreign investors. By the way, we also closed the first private debt placement on a refinancing in Saudi Arabia with private insurance companies from the US.

We're really expanding the pool of capital that is available to ACWA to fuel this massive growth. This growth in 2025 was equivalent to about the sum of '23 and '24 together, that all together is equivalent to the previous 18 years in the history of the company.

You see really this acceleration. We have proven what we have told you three years ago that we were going to grow massively to reach this $250 billion of asset under management by 2030.

This year alone, we added 25 GW of capacity in power generation and 2.1 million cubic meter of water desalination per day. That includes the acquisition of the Engie assets.

There is a great complement in Kuwait where we won also the tender for Az-Zour North 2 and 3 that was signed early in this year, and we reinforced our position in Bahrain. Key milestones achieved included also reaching strategic priorities on water desalination, where we're the number one player in the world.

We control a quarter of the global capacity, and we want to expand beyond the region that, as is the core of the industry worldwide. We signed the first agreements in Azerbaijan and Senegal outside of GCC.

We brought the first green hydrogen or green ammonia plant into operation in Uzbekistan, and we did that in less than 2.5 years from concept to commercial operation. We became the largest investor in electricity in Africa, and we confirmed to be the number one in Central Asia as well.

We added 13 GW and more of capacity and 1.7 million cubic meters per day of desalination to operations. That is three to four times what we used to do up until 2021, 2022.

We tripled the speed of execution. We, as I mentioned, brought into operation the first ammonia plant, and we are well on track of delivering also the big NEOM green hydrogen plant that is now 90% complete, and we started commissioning.

We achieved 28 between ICOD and PCOD, predominantly on time, increasing our execution clarity and track record. In operations, we had very good operational availability in renewables, in water.

We are at world benchmark level there in the top quartile. We made promising progress with the CSP and the CCGT, as you know from previous calls and previous announcements.

We had some shortfalls that we had to recover in Noor Energy 1, in Morocco, in Oman, and in Uzbekistan. Overall, over the last three years, we reduced forced outages by 50%.

We reduced LTIR by 50% in the last three years, and although we had tragic fatalities this year, I am confident that the company is much stronger and better positioned now to address also this in the future. We also improved reliability, the number of trips in our projects decreased by 35% in power, by almost 20% in water.

Not only less outages, but less trips that make it more reliable in the market for the grids, and that is increasingly something that is very important for all the grid operator, transmission system operators, to be reliable on our plants. Succession is the last point.

I'm very glad that we were able to secure this succession so smoothly with Dr. Samir, and you will see with a number of appointments that we will make from internal pipeline.

If we move to the next slide, that reflects in the scale, reach, and delivery, where you can see that we're well on track to deliver the 2030 targets of Strategy 2.0. I think that the only one where it's still kind of moving and we continue to monitor closely the market is green hydrogen, where, as regulatory uncertainty drives what the offtakers will want to commit to.

What I want to reinforce and reassure is that we will not do new green hydrogen projects unless they are fully contracted, and we're working eagerly to achieve that. We've now more or less doubled the size of the company since three years ago, and we're now well on track to double again to the 250 milestone by 2030.

As Dr. Samir mentioned, we're going to increasingly do so focusing on the profitability because we have the ability to be selective in this growth.

With the equity commitment reaching now $2.5 billion roughly on average every year compared to 1.1 at the time of the IPO, I think that we have delivered on our commitment to really being able to scale up to this level. Moving on to the next slide, you can see also the operational improvement that underlines and underpins the ability to deliver strong, recurrent financial.

Power availability in renewables is higher than what we achieved before, the same for water desalination. As I mentioned, on the overall power with the shortcomings that we had in bringing online the Sirdarya project in Uzbekistan and the outage that we had on two plants in Oman were shortly below what we achieved in 2024, but the team are already working hardly on achieving these numbers and improving them for the next year.

Overall, as I mentioned, it's a 50% improvement despite this setback, both in outages and the LTIR. I think that it's a company that you should be proud of, and that I'm sure that under the leadership of Dr.

Samir, we'll be able to ensure better continuity and better track record also in the future. With this, I would like to pass to our CFO, Abdulhameed, to comment the financial performance.

Thank you. Thank you, Marco.

Assalamu alaikum everyone. Good afternoon.

Mubarak alaykum [unclear]. Wishing you all a blessed remaining of the month.

We'll take you quickly through the financials, and then we'll pick up a few questions from the audience to go through it. Alhamdulillah, as mentioned by both Dr.

Samir and Marco, excellent operating year when it comes to operating income. We have delivered a 20% growth compared to last year.

When it comes to the overall net income was around 5.4% higher than last year, and we'll go through the details on the logic and reason behind that, along with a very strong operating income of BOCF, which is around 3.2 billion Saudi riyals, is 13.5% increase from last year. This year, this BOCF has been delivered without any capital recycling or capital gain cash coming in.

That's definitely a very strong and solid BOCF that we have delivered. Alhamdulillah, we have maintained our net debt to BOCF on check.

We have delivered now almost five years of less than 6.5% x of net debt to BOCF, despite the fact that we were giving signals that it could go above that, but thanks to our capital raise of the 7.1 billion Saudi riyal, we've been able to boost and strengthen our balance sheet, and we were able to pay off some of the existing debt from our existing cash flow, based on which we have delivered a very strong reduction on the net debt to BOCF this year. Overall, the track record for the last five years and since the IPO, alhamdulillah, there is a double-digit increase in CAGR of operating income, net income, and parent operating cash flow.

Moving to the details, we'll start off in the development side, as highlighted by Marco specifically on the financial close. Alhamdulillah, a record year, 70 billion Saudi riyal project has been closed during 2025.

This is definitely the best year in our history when it comes to the number of financial closes. We were able to have more than 23 GW of new capacity, with around 300,000 kilo—sorry, 300,000 cubic meter per day of water desalt and three additional 1,000 ton of green hydrogen.

When it comes to capacity that we brought online with this 28 CODs or ICODs being delivered, it means that almost every month we are delivering one or two units during the course of 2025. That is significant, and you can see it also on the chart from 3.1 GW that we used to deliver on a yearly basis to operation, last year we have delivered 8.2 GW of power capacity.

Definitely it had been high returns, and I will start with the highest-ever being presented operating income of 3.6 billion. A lot of new capacity that came online that we talked about it earlier.

I will go through the details later on, but a bit of details I would like to share with you with the total investment amount that we have delivered last year. If you look at the 76 GW, I think there is three messages that I would like to share with you here.

One is that when it comes to our business model and the way that we have explained multiple times in the previous years, I think we have a clear demonstration in the 2025 financials where we have said every time for each dollar ACWA Power delivers, it equals $10 of project worth. You can see in this chart specifically that in the 76 billion basically that have been delivered of projects last year, ACWA Power equity was around 10% of that.

Then we had our partners' equity, which is around 14%, and the remaining 76 was all built on a non-recourse basis outside our balance sheet. Deep diving into the details and looking at what last year used to be a big challenge, which is the liquidity in the Saudi market, we can show you that actually we have relied only in 50% of all the debt has been raised in the Saudi market, whereas we have used more than 20% on the regional and 30% international.

We have also tapped into a bit different liquidity pools, including ECAs, DFIs, and project bonds that has been capturing almost 1/4 of our liquidity pool last year. This is definitely a landmark movement for a couple of reasons.

One is that it's just a demonstration that refinancing is always achievable and new liquidities can be formed within a short span of time that we have delivered. Project bonds, which is now 2% only of our portfolio, I suspect that within the coming years it will be a big part of our refinancing initiatives.

That's definitely a big liquidity that will come to our pool of operational assets that will free up liquidity for our growth and fuel the future of ACWA Power. With that, I will also move to the next slide to talk specifically more about that came online as well.

Now building up to the largest number, which is the operating income, the 3.5. If you just quickly reflect on how does that build-up come from 2024 numbers, you will see that we have definitely did a great job in the development side.

As mentioned earlier, the financial closes has delivered a very strong revenue, which is around 672 million higher than last year, and also some of the construction and management service fees that you collect or we collect usually during the construction horizon and not only specifically for the first year of development. The second contributor mainly comes from the asset itself, this is mainly on the assets came into operation, along with existing and big settlements that we have closed related to insurance, EPC settlements, that I also have the breakdown later on to talk about it.

There is also a small comparison of lower development cost and provisions and write-off compared to last year. On the negative part, there was a big gain recognized last year or not that last year, the 2024, related to the divestment of Bash and Dzhankeldy that was not recognized in any divestment in 2025.

That's the 400 402 million Saudi riyal. Then also there was another gain that was in 2024 related to the restructuring of ACWA Guc, which is our project in Kırıkkale, that is not also visible or nothing similar in 2025.

You can see that there is a good boost from the recurring, less dependence on the one-offs, but still we have one-offs that we are trying to shy away from as we move through our journey. The next slide, we talk about specifically the net income and the adjusted net income.

Building up from what we had, the 611 increase in the operating income, there is a small gain or difference and increase in the higher financial and other income, including the lower NCI. Then looking at a big drop, which is item number 3, it's related to two main things.

One is that we have taken an additional impairment charges related to Noor III, and we are also building up a new tank, hot molten salt tank in Noor III project, which is immediately impacting our P&L as it is not capitalized, along with, in the previous 2024 numbers, we had a reversal of impairment of Barka that is not existing in this year, based on which cumulatively it's around 500 million riyal less in 2025. We have also have a higher zakat and tax charges, including deferred tax impacts as well, around 100 million Saudi riyal.

That brings to 1.8 billion Saudi riyal. If you take the adjustment of both items, the impairment, which is around 250, mainly it's only actually Noor III, and there was a termination of one project in Africa, which we believe that this is an unrecurring instance because this is the first time in our 22 years experience that we had a project being terminated because of couple of days delay in the longstop date, based on which we are adjusting for that.

This is another $92 million adjustment, and you are reaching to the 2.1 million net income or adjusted net income. The next slide with the building blocks, it will give us a better link to our operating model.

If you look at it here, through the develop, invest, operate, and optimize, and you will see the same numbers at the bottom. I will not go through the details that I have actually explained earlier, but just to highlight a few things.

You can see immediately that item or bucket A, which is the develop bucket, significant improvement and big development business increase in 2025. The second bucket, which is the invest, did not do well, I would say.

You can see that it has not moved the needle in a year-on-year progress, and this is mainly driven by two things. One is that in 2024 number, we have Rabigh 100% shareholding, whereas from 2025, we have 70%.

We have lost 30% of our strategic assets that is contributing around 130 million Saudi riyal. That's one part.

The second part is Noor III, which is mainly the building up of the tank. This is another hit of 120 million Saudi riyal, I suspect that is one-off, and hopefully we will not have that recurring in the future years.

This is where we have the second bucket. For the third bucket, normal continuity to improve.

You can see there is an increase of 130 million. You have also the other operating incomes mainly coming from the higher service income and that is associated with the volume of the business.

The capital gain, I would say we took a break in 2025, you don't see that big gain of Bash and Dzhankeldy. However, this is something that we will continue to operate in and will continue.

We have identified a couple of opportunities for capital recycling in 2026 that we are expecting to execute in this as well. This brings us to the last item, which is mainly the cost, and you can see that there is a higher cost mainly due to the hedging communication and the termination that I have highlighted earlier on the South African project that we had.

We move to the next slide with the BOCF. On the BOCF, I will talk about the buckets related to all the increase on year on year.

We can see that the cash inflow, there is a big 1.4 billion coming up from the distribution of mainly the project company, and there is another 2.7, which is higher—2.7 billion Saudi riyal, which is related to the development business, construction, and management services income that came into a record year of development, and there is a gain of around 466 million related to refinancing mainly. This brings the total cash to around 4.6 billion Saudi riyal, and if you take out the all the cost related to operating cost, G&A cost, and the financial charges, zakat and tax, you will reach a BOCF of around 3.6—sorry, 3.26 million billion riyal.

Moving to the sources, and let to repeat what I had mentioned earlier, quickly you have a 3.2 billion Saudi riyal of BOCF. We had in the beginning of the year around 2.9 billion Saudi riyal, and we did a drawdown of around 700 million Saudi riyal.

7.1 billion Saudi riyal is the capital increase. You had a total cash position of around 14 billion Saudi riyal.

We have consumed 7.5 billion Saudi riyal to reach to a closing balance of 6.3 billion Saudi riyal. Looking at the details, alhamdulillah, it's very clear on the chart on the pie chart on the right side that most of the funds are actually going for investment.

So 82% of all the spending of the cash was investing in projects, whereas around 16% is mainly financial charges for the sukuk and existing facilities that we have, and there is a small 2% related to the share buyback that we had did for our LTIP program. We'll talk on the final slide I have is related to the leverage.

Quickly on the net debt to BOCF, let's talk about leverage first. As we usually do, you look at the full balance sheet, and if you look at the full balance sheet, it's around 31 billion Saudi riyal, and you take the recourse funded facilities only, which is primarily all the basically project company debt that is recourse to ACWA Power, sukuk, and PIF loan.

This is cumulatively 10 billion Saudi riyal. Then we add anything off-balance-sheet, but they have a corporate guarantees from ACWA Power and it is a financial obligation.

This is the 13 billion Saudi riyal. In total, our leverage is around 23 billion Saudi riyal.

We subtract the cash position that we had toward the end of the year. This is around 6.3 billion Saudi riyal, and you reach a net leverage of 16.7 billion Saudi riyal.

With that and what we have presented earlier, which is the BOCF, we are reaching 5.2 multiple or 5.2x of net debt to BOCF ratio. For those who are joining us for the first time, theoretically this means that if we continue to have the same BOCF, we can pay all the debt in 5.2 years.

We'll pause here. I think this is the end of our presentation, and we'll open it up for Q&A.

Thank you.

Hi, Giuseppe from Morgan Stanley here. Thank you for the presentation and for taking our questions.

The first one, a bit of an obvious one, but what's the impact you're seeing currently from the geopolitical tensions? Are you seeing any impact to one of your plants or to your workforce?

Is there some commentary that you can give whatsoever? Then secondly, you mentioned capital recycling for this year.

Could you give the market a little bit more color on that? That will be helpful as well.

Thank you very much.

Okay. In regard to the conflict, as I mentioned earlier, we really have a around-the-clock 24-hour command center, basically with three shifts rotating, and we're really monitoring the situation with our employees, with our assets all around the world.

Again, everything is under control. We're in very good shape, and again, we're keeping an eye on what's really developing, which is it changes by the day.

From an operating assets, all is going well. From also we have many projects under construction.

We have around $47 billion worth of projects under construction. Everything also under control, the shipments.

Far, good.

I can add a bit more there, and then I will talk about the capital recycling. Also just to keep highlighting the way that how we build up the insurance program for our projects.

For all the assets under operations, we just did the big renewal of last year, and there is a specific coverage related to political violence, including wars. For the marine cargo for the projects under construction, we also have that covered.

There is, of course, triggers for termination or renegotiating if we want to keep that basically coverage. Depending on the situation of the project, we might decide to delay the shipments or renew the program at a higher premium.

That's something that we are also looking at. In relation to the projects under construction, usually they don't have similar coverage, but we'll keep monitoring and see how things develop.

Far, there is no impact specifically in any of plants. I think that's the key question.

Correct. Yeah.

When it comes to the capital raise, I highlighted that for two reasons. One is that to demonstrate that the BOCF increase is not only delivered the higher year on year, but also if you look at 2025, we deliver that without any capital gain.

We did some divestment, but it was mainly through EBL replacement, there was no capital gain for us. When it comes to 2026 and beyond, definitely there is a plan for capital recycling for the following reasons.

As we stayed earlier, any asset that we own more than 30% to 40%, it is a position that we would like to partially divest and recycle and reach to the optimum level of 30% or 40% ownership in the projects. That would be a priority for us.

Second is that we are actually in, as we highlighted in the previous calls, we are shying away from single-asset divestment to bring a portfolio divestment. We also mentioned that it might take time, and we are seeing that taking time for our first plant divestment.

That's both points to answer the question. Yes, capital recycling will remain a core business for ACWA Power.

Great. Thanks a lot.

Thank you.

Yeah. Hi.

Good afternoon, and thank you for taking the questions. I have two.

The first one is on the project pipeline, specifically in Saudi. If you look at the advanced project pipeline, there is no project from Saudi.

Could you help us understand the growth you're seeing in Saudi given all the announcements, the pullback from the giga projects? That's number one on the projects in Saudi.

The second one is on the recently you have announced the power purchase agreement you have done in Turkey. Could you give some color that how is it different from the earlier ACWA Guc project which you implemented in Turkey?

What are the fundamental changes why you believe that the recent project will be successful? Thank you.

Sorry, at the beginning of the first question, you mentioned that the KSA development is what? Because we lost you.

The project pipeline, the advanced project pipeline, there is no project from Saudi. If you could give some color what kind of projects you are seeing that the pipeline you're seeing from Saudi in terms of power generation?

Okay.

When it comes to the pipeline in Saudi, actually we see it as a rich pipeline. I don't really understand why you have highlighted there's no pipeline for 2026.

First, if you look at ACWA Power mandate, we have 70% of the renewable program in Saudi under execution. We have delivered up to PIF round 6 last year, and you have seen we have signed the largest renewable program, which is 15 GW of last year.

We are indeed working today with the offtaker and the relevant stakeholders to deliver on the next PIF round, potentially PIF 7 and 8. That's definitely one part.

We are now in the final process of closing a second expansion to the CCGT plant. We are also waiting results for two IWP projects in Saudi, and we are looking forward as well for the results for the BESS.

Overall, there is actually very rich pipeline of growth in Saudi Arabia in 2026, and I also expect the same to continue in 2027. Given the recent geopolitical volatility, how sustainable this project, how this pipeline are confirmed, we'll have to wait and see.

I think there could be delays few months here and there, but we are uncertain and we are working as business as usual. For the PPA in Turkey, the program is 5 GW,

2 GW.

One was already signed with ahead of terms. Once we sign the PPA, we'll announce it in the Saudi exchange.

We are reflecting on the lesson learned we had in the previous project in Turkey. We are making sure that first there is a PPA, which is a power purchase agreement, which did not exist in the Kırıkkale project.

That's the first principle to proceed with the project in Turkey. The second is that we are structuring the tariff of the payment aligned with the financing of the project, whether it is euro or any other currency.

We'll have to make sure that there is a natural hedge to avoid the risk of that we had in earlier. If you look at the previous Kırıkkale project of ACWA Power, we had a fuel risk, we had a merchant risk, and we had a currency risk.

With this structure that we are planning, we are trying to avoid these big three risks. As we eliminate these big risk, we are comfortable to proceed with the project in Turkey.

Thank you. I will link it really to a few things.

One is that what we are planning to do in the next five years. We have highlighted since 2023 that we are planning to invest between $2 to $2.5 billion equity for the next few years.

By considering that, it means that we are remaining planning to invest and developing projects on the same speed. The commitment from ACWA Power side is there, and we are ready with a strong balance sheet after the capital raise to deliver these projects.

How does the market come? Far we are seeing a very rich pipeline for developing projects, and we believe that we will continue to deliver on these numbers in 2026 and 2027.

Yes, there will be years of slightly lower numbers, there will be years of slightly higher numbers, there will be years and that. Developments is not going to be an immediate hit if there is zero development, because some of these services is extended to the full execution period and not specifically to the development stage.

With these two in mind, I think you can run your sensitivity first on how does the different offtakers deliver these projects as per the pipeline; second is that how we will be able to close some of these projects on time and some of them could be delayed. Based on these two scenarios, you can see a bit of movement in these development fees.

Okay. If you look at this slide, we are showing you the breakdown of the projects into different sectors, which is power, water, and green hydrogen.

Then there is the AD. The AD is the advanced developed project.

These are projects that been awarded to ACWA Power when it comes to basically our physical award, but we have not yet achieved financial close. This is considered the first step on our development pipeline.

The second step is related to the pipeline is the projects that are in early developments, which is not presented here. There is definitely a big pipeline that we are looking at.

I just highlighted what is there in KSA. I also highlighted basically what is there in Turkey, which is that 5 GW, meaning that there is 2 plus 3 technically between advanced development and early development.

We are looking at several projects in Africa, in Egypt specifically. We're waiting results for two projects in Morocco, Midelt 2 and 3.

There is a project of Senegal water that we are looking at, and there is a potential renewable project as well there. We are just recently opened our offices in Philippines, and we have an office in Malaysia, and that's also looking at development there, along with Indonesia.

Southeast Asia remaining a big part of upcoming development that we're expecting a decent pipeline coming from there. Finally, China, now we have scaled up big time last year, and there is a potential big pipeline coming up from the China projects.

Perhaps on the annual report that is attached to the financials, there is more detail that you can refer to as well there.

When it comes to the project execution, we're currently working with our EPC contractor partners and also suppliers really monitoring the situation and adjust as we go. It's very dynamic, but the majority of our projects in the area are really in Saudi Arabia.

They're all performing well. Basically, we really have no negative impact.

We have also a project in Kuwait that we just started and one also in the Emirates. Again, we're still going ahead with these, no changes really, and we're planning to manage as the situation develops around us.

Far, it's been going very well.

Maybe the last question, there was a question saying that,

can you explain again how the mitigation risk for the ongoing global conflicts?

I talked about the insurance, I don't need to repeat that. On the structuring of the contracts, it's important to highlight that our almost 90 90% of all projects are based on an EPC lump-sum turnkey solution.

Really the execution risk falls under the responsibility of the EPC contractor, and this is definitely built-in in the overall EPC price that they have shared. Definitely there is force majeure event that can be escalated by the EPC contractor to our project companies, which is mirroring the same clauses for us as the project companies to the offtakers.

We expect, and we have seen during our COVID-19 experience, that the relevant offtakers can give us a relief and time extension when it comes to the execution of these projects, depending on how far this geopolitical conflicts extend and how much impact it's happened when it comes to the lockup date. The structuring of the contract is fairly solid to protect us, and we have to work hand-in-hand with the EPC contractor to deliver the projects safely and with a win-win positioning for us along with the EPC contractor.

Abdulhameed, I just would like to add one more thing because Oma has asked another question whereby she was asking for KSA's plans for the existing current tenders for the current year. Oma, I think this topic is widely covered in the press anyway.

Saudi Arabia is pretty transparent with respect to their renewable energy transformation targets. Round by round, it's only hitting the news as soon as the government is ready to do that.

What I would like to highlight there is obviously, remember, last year we have closed 15 GW of PIF pipeline, which was a record, the capacity that was PPA'd in one sitting. Obviously, again, there, as soon as we announce one round of PIF, we already started negotiating for the next round.

This round is now being obviously discussed between us and Ministry of Energy and PIF. That is on one side.

In the long term, again the second point is, 2030 renewable target of Saudi Arabia has not changed. It is still sitting at 130 GW that was announced, which reflects to our numbers because of the AC-DC conversion as 103 GW.

You all know about this from your discussions with us. This has not changed.

This is despite several rounds of budget recalibration, and I think this is another testament to the government's seriousness of transforming the energy mix in Saudi. Thank you.

Okay. Is there a question to repeat the three risks of Turkey?

Correct. Yeah.

Basically,

I have highlighted the three risks, which is the fuel risk that we used to have in Kırıkkale project. We are not having it here obviously because it's a renewable project.

There is a currency risk where we raise dollar funding to fund a Turkish lira merchant projects, which is again we are trying to mitigate by raising the funding with the same offtake funding that potentially could be a euro-linked. The third risk is that merchant risk in Turkey that is existing in the market that we are trying to mitigate it with the power purchase agreements fixed from day one.

With these three, our upcoming projects are adjusted for these three main risks that we have seen in the past.

The contract will be in euros?

Yes. If it's come in euro, we will have the funding raised in euro.

Yeah.

Hello, thank you so much. This is Ildar Khaziev from HSBC.

I joined the call a bit late, apologies if this was already discussed. Just to understand better the numbers in Q4, I understand that there have been quite a few financial closes, and is my understanding correct that the 2025 results capture the associated project fees, or we might see some of them spilling over and showing up in first half of 2026?

This is my first question. Secondly, on China, you mentioned a strong pipeline of projects there.

I have just learned recently, and forgive my ignorance if I'm missing something, but I've learned that as of mid-last year, I think Chinese government stopped approving the feed-in tariffs for the new solar projects. Has that changed the outlook for investments at all in China for you?

Thank you.

Yeah. Thank you.

Maybe for the first question, we covered a bit earlier before you joined. Just to reflect on a first-half guidance, definitely we cannot give a full visibility on what is the expectation on the development because simply it's linked to so many different variables.

Some projects, we are getting very close to the financial close, but also it's reliant on certain CPs linked to the different stakeholders. Whenever we reach them, we're going to achieve the financial close, and we can also expect the construction service fees to be kicked in.

For some of the development projects, we have actually been awarded, but we are waiting for the PPA or the SHA to be signed. On an overall basis, from a year perspective, we are expecting a solid year when it comes to development.

For the first half, I think we'll have to wait and see, especially with the recent development of the market dynamic and the geopolitical challenges. For China, we have delivered around 500 megawatt—

Let me take China because I understand what you are talking about. June 1st changed the rules of the market.

The feed-in tariff had expired already before, and there was a big question on receivables on feed-in tariff, but those are not our projects. Our projects are already in the next phase, where basically the price is set in the market, there is not an explicit subsidy.

What happened on 1st of June is that they made the further step in the liberalization of the market about the price-setting mechanism, which was anticipated. Actually, we had already taken into account the potential curtailment and price-setting mechanism, because we need to look at 20, 25 years ahead, and you know that there are models like Nexant and so on to define basically the demand-supply in the different areas and calculating your own vision of prices.

This is already embedded when we take the investment decision, but of course what the impact was in the market that there was an acceleration in the first half of the growth, and the second half was a bit slower. That's why in the second half, you have not seen a lot of activity also by ACWA in terms of new projects.

Now we brought at the end of the year a number of projects for approval in our investment committee, and so throughout the year you will see progress on those.

Thank you. One more question, if I may, on the M&A side.

I think I've seen that you have concluded quite a few deals in the region. Are you interested to continue to acquire assets in the region, in the Middle East?

Is there a pipeline of assets being offered at the moment? Thank you.

Yeah. If you look at basically our acquisition, it's complementing to our business model.

When we say that we are targeting $2 to $2.5 billion of equity investment per year, this is including both greenfield and brownfield. You have seen that we completed the acquisition successfully for the Engie assets in Kuwait and Bahrain, and definitely this you will see the impact in 2026 because we closed it toward the end of December, there was no impact in 2025.

You saw also that we have announced a position of 30% or 32% of PIF share, of the build share on Shuaibah IWPP. Now we're working for the clearance and the completion of the CPs to go ahead with that.

That's definitely another acquisition that we are waiting results on, and we definitely are open for greenfield opportunities in multiple locations, including Africa, Southeast Asia, and China. In the KSA market, it's quite less active because we have been quite understanding the market well, and we have seen that we are capturing most of the greenfield and most of the existing assets.

In the GCC, we are very selective. I think we have satisfied our desire with the latest acquisition of the portfolio of Engie.

We don't see anything that is materially coming up, especially that most of the countries in the GCC, we are almost hit the limit when it comes to single developer target capacity.

Thank you very much.

Thank you.

Yes, thank you. At the IPO time, we have announced our three years dividend policy or let's say three years dividend plan, which has been executed successfully, and we have delivered on that.

Actually quite higher than what we have expected or what we have shared with investors when it comes to the dividend distribution. Last year we decided not to distribute any dividends at the level of the board, and it was basically a year of focus for the capital raise.

This was, alhamdulillah, delivered very well last year. Today we are actually working with the management, the board, to design what can be the dividend plan for the upcoming period, which is from 2026 to 2030.

We have yet to share this with the board and with the shareholder later on for endorsements. Today we don't have anything handy to be sharing it with you.

However, from your side, you should be expecting that we will deploy most of the cash for reinvesting in our pipeline, given the strong pipeline, visible pipeline that we have in front of us. The guidance definitely is to go big in investing, and we can discuss once the board approved the dividends plan for upcoming period, and we'll share it with you and the rest of investors.

Thank you, Carla. Thank you very much everyone for your participation and joining us today.

It was a very good call, at least as far as I can see it from here, and thanks for your active questions. If you have any further questions, and you know the protocol, you can just reach out to us at IR or you can use our email addresses, and we will be more than happy to answer them as quickly as we always do.

With this, I would like to close the call, and I would like to thank Marco, Abdulhameed, and Dr. Samir, as well as everybody who has worked for the preparation and answering all these questions, and for you, of course, for your joining us today.

Thank you very much. This concludes the call.

Thank you. Shukran jazeelan.

Thank you.

Shukran jazeelan.