ADNOC L&S delivers strongest nine-month performance since listing

Dubai: ADNOC Logistics and Services delivered its strongest nine-month performance since listing, supported by broad-based growth across all business segments and a firm third quarter. The company reported nine-month revenue of $3.7 billion, up 39% year-on-year, with EBITDA rising 30% to $1.1 billion. Net profit reached 631 million dollars, an increase of 9%.

Revenue rose 36% to 1.27 billion dollars. EBITDA increased 38% to $379 million. Net profit climbed 20% to $211 million.

Starting from the third quarter, the company shifted to quarterly dividend payments. The full-year dividend will increase by about 20% to $325 million, with a yearly growth rate of 5% planned through 2030.

Integrated Logistics recorded revenue of $1.95 billion in the first nine months, up 17%. EBITDA grew 26% to $635 million. High utilisation of Jack-Up Barges, stronger margins across the Integrated Logistics Solutions Platform and a contribution from Engineering, Procurement and Construction activity, including the G-Island project, supported the results.

Shipping delivered one of the strongest performances. Revenue increased 99% to $1.48 billion, mainly due to the consolidation of the Navig8 tanker fleet. EBITDA rose 39% to $438 million with an EBITDA margin of 30%.

Services generated $269 million in revenue, up 7%. EBITDA increased 12% to $51 million, supported by higher volumes at the Borouge Container Terminal and profit contributions from Navig8’s bunkering business.

Strong capital-market presence

ADNOC L&S will join the MSCI Emerging Markets Index on 25 November after ADNOC completed a $317 million share placement that raised the company’s free float to 22%. Analysts expect the inclusion to attract more than $200 million in passive inflows.

The company signed a 15-year logistics contract with Borouge worth $531 million and reached a 50-year agreement with TA’ZIZ to establish the UAE’s first dedicated chemicals port in Ruwais. The port is projected to generate more than $1.3 billion over the first 27 years.

Fleet expansion continued with the delivery of two new LNG carriers, Al Rahba and Al Reef, and the arrival of the first two Very Large Ethane Carriers, Gas Yongjiang and Gas Minjiang. The nine-vessel VLEC programme operates under a 20-year charter expected to contribute $4 billion in long-term revenue.