ADNOC Logistics and Services plc (ADNOC L&S) announced financial results for the third quarter and first nine months (9M) of 2024. The company reported a revenue of $2.66 billion (Dh9.79 billion) for 9M 2024, marking a 38% increase from the same period in 2023. EBITDA rose by 37% to $867 million (Dh3.18 billion), with an EBITDA margin of 32%, and net profit reached $576 million (Dh2.11 billion), up 27% from 9M 2023, equating to $0.08 (Dh0.29) per share.
Q3 revenue grew by 32% year-on-year to $928 million (Dh3.41 billion), with EBITDA rising by 26% to $275 million (Dh1.01 billion). Net profit for Q3 increased by 18% year-on-year to $175 million (Dh643 million).
ADNOC L&S attributes these results to its strategic investments in energy-related maritime logistics. Since its IPO, the company has made significant progress toward its long-term growth commitments, supported by over 340 years of contracted demand.
“These robust financial results demonstrate continued delivery of our strategy and our focus on delivering strong shareholder value through growth,” said Captain Abdulkareem Al Masabi, CEO of ADNOC L&S. “The expected contribution of Navig8 will further boost our profile as a global energy maritime logistics company, while our strong balance sheet provides for further organic and inorganic value-accretive growth opportunities.”
Segment performance highlights:
- Integrated Logistics: Revenue rose 51% to $1.67 billion (Dh6.13 billion), driven by higher Jack-Up Barge utilization, an expanded fleet, and progress on the Hail & Ghasha project and the G-Island project. EBITDA for this segment grew by 38% to $505 million (Dh1.85 billion).
- Shipping: Revenue increased by 23% to $745 million (Dh2.73 billion), supported by high charter rates and new Very Large Crude Carriers. Shipping EBITDA rose by 32% to $316 million (Dh1.15 billion), with a three-percentage point increase in EBITDA margin to 42%.
- Services: Revenue was up 20% to $252 million (Dh924 million), with EBITDA growing by 48% to $46 million (Dh168 million), mainly due to increased petroleum port and terminal operations.
ADNOC L&S’s acquisition of Navig8, announced in early 2024, is projected to increase earnings per share by at least 20% in its first full year. Regulatory approvals are in progress, with completion expected by March 31, 2025.
In 2024, ADNOC L&S invested in its fleet, awarding contracts for up to 10 Liquified Natural Gas (LNG) Carriers ($2.5 billion), nine Very Large Ethane Carriers ($1.4 billion), and four Very Large Ammonia Carriers ($500 million).
