MADRID, Feb 25 (Reuters) - Spain's second-largest oil

company Moeve, formerly known as Cepsa, said on Tuesday it swung

to a profit last year on the back of growing earnings at its

energy and chemicals divisions, while boosting investments.

The results come as the company presses ahead with its plan

to shift to low-carbon energy and sustainable transport,

focusing on green hydrogen, biofuels and electric mobility.

Net profit for the year was 92 million euros ($96.33

million) compared to a 233-million-euro loss in 2023.

"Our 2024 financial performance improved markedly

compared to last year but should be further improved to produce

industry-leading returns," CEO Maarten Wetselaar said, deeming

2024 a "historic year" for the company.

Despite a 30% drop in refining margins, which also fell at a

host of peers including its larger Spanish competitor Repsol

, earnings at the company's energy division rose 75%.

Growing demand for products such as acetone led to a 14%

increase in earnings at its chemicals unit.

Owned by Abu Dhabi fund Mubadala and U.S.-based private

equity firm the Carlyle Group ( CG ), Moeve rebranded last year

to reflect its shift towards low-carbon businesses under an

8-billion-euro plan. It has sold 70% of its oil production

assets since 2022, including operations in Abu Dhabi and South

America.

The asset sales were reflected in the 40% earnings drop

at its upstream unit.

"Robust cash generation allowed us to more than double

sustainable capex to advance key projects," Wetselaar said.

Last year, the company

started

construction of a 1.2-billion-euro biofuels plant.

With a 2-gigawatt target by 2030, Moeve wants to be a

major player in the green hydrogen industry.

"We're working toward starting construction on the first

phase of the 2-GW Andalusian Green Hydrogen Valley, subject to

incentives and regulatory hurdles being resolved," the CEO said.

($1 = 0.9550 euros)