Adnoc L&S Q1 revenue up 41pc year-on-year
The company's net profit for Q1 2025 was $185 million, down 5% from Q1 2024 due to lower commercial shipping rates, but up 3% from the previous quarter.
Despite market conditions, Adnoc L&S's strategic diversification and resilient business model ensure strong net profit and operating cash flow.
The company is unlocking additional value and efficiencies from its extensive portfolio of assets and leveraging synergies from its shipping and logistics subsidiaries, Navig8 and Zakher Marine International.
Abdulkareem Al Masabi, CEO of Adnoc L&S, said: 'Adnoc L&S continues to deliver robust financial results and significant business growth. Our recent acquisition of 80% of Navig8, and the integration of their capabilities into our expansive services portfolio, further strengthens our customer offerings and international footprint, unlocking new shareholder value. Moving forward, we will continue to deliver on our transformational growth strategy while leveraging cutting-edge technologies and AI solutions to further enhance operational efficiencies."
SEGMENTAL FINANCIAL PERFORMANCE FOR Q1 2025
Revenues from the Integrated Logistics segment increased to $628 million (AED2,307 million), up 23% compared to Q1 2024. The increase was largely driven by higher revenues from Engineering, Procurement and Construction (EPC) projects including the Al Omairah Island and Hail & Ghasha projects, and improved utilisation and rates earned from Jack-Up Barges (JUBs). Integrated Logistics' EBITDA rose by 15% to $182 million (AED669 million) compared to Q1 2024.
Revenues from the Shipping segment increased 87% to $469 million (AED1,722 million), compared to Q1 2024, driven primarily by the consolidation of revenue from the Navig8 tanker fleet. Shipping EBITDA increased 26% to $143 million (AED527 million) compared to the same period last year, generating a robust EBITDA margin of 31%.
Revenues from the Services segment increased 9% to $84 million (AED310 million) compared to Q1 2024. EBITDA from the Services segment grew 52% year-on-year to $18 million (AED66 million), mainly driven by higher Borouge Container Terminal volumes and shares of profit from Integr8.
Strategic Update
In the first quarter of 2025, Adnoc L&S continued to accelerate its transformational growth strategy. In January, the Company completed an acquisition of an 80% stake in Navig8 for ~$1 billion (AED3.7 billion), adding a modern fleet of 32 tankers and expanding the Company's services portfolio.
Adnoc L&S continues to secure its future earnings. The Company has added 340 years of newly contracted revenues against its recent order of energy-efficient vessels, including $2.95 billion (AED10.8billion) invested into eight new Liquified Natural Gas Carriers, nine Very Large Ethane Carriers, and four Very Large Ammonia Carriers.
Additional growth is driven by the Integrated Logistics business segment through long-term contracts and improved utilisation for Jack-Up Barges (JUBs) in the UAE and the GCC region, including hire contracts for the deployment of 19 JUBs, and the acquisition and deployment of nine Offshore Support Vessels to support EPC projects. -TradeArabia News Service
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Gulf Insider
18 hours ago
- Gulf Insider
Dubai's Emirates Airline To Enable Crypto Payments
Dubai's international airline Emirates signed a memorandum of understanding (MoU) with to integrate Pay into the airline's payment infrastructure, with implementation expected next year. The signing ceremony took place in the presence of His Highness Sheikh Ahmed bin Saeed Al Maktoum, chairman and chief executive of Emirates Airline & Group, the airline announced on Wednesday. The MoU was signed by Adnan Kazim, Emirates' deputy president and chief commercial officer, and Mohammed Al Hakim, president of UAE operations. 'This strategic move is in line with Dubai's vision to be at the forefront of financial innovation while at the same time providing our customers with greater flexibility and choice in how they transact with Emirates,' Kazim said. Beyond payment integration, the two companies will collaborate on promotional campaigns to raise awareness and drive user adoption once the service goes live. A spokesperson confirmed to Cointelegraph that the integration is set for the last quarter of the year. 'The initial phase will focus on technical readiness, compliance alignment, and customer experience mapping,' the spokesperson said. Furthermore, Emirates and will determine whether the rollout will begin on select routes, regional markets, or through a global launch, with pilot phases likely to precede wider implementation. The spokesperson also confirmed that crypto payments from customers will be converted instantly to fiat (AED) using real-time exchange rates at the point of transaction. 'Emirates will not hold any cryptocurrency on its books; settlements will occur in AED, ensuring compliance and minimal FX exposure,' they said. also said it continues to explore regional and international airline integrations as part of a broader travel and commerce strategy. 'The goal is to build a universal crypto travel layer bringing seamless, secure, and compliant payment experiences to travelers across air, retail and hospitality sectors.' The integration comes amid Dubai's push to lead in crypto, as the city seeks to establish itself as a primary hub for blockchain and digital asset projects. Backed by regulatory clarity and a pro-innovation environment, several industries in the emirate, from real estate to telecommunications, have already opened their doors to cryptocurrency payments. Earlier this year, Tether partnered with UAE-based Reelly Tech to expand the use of its USDt stablecoin in real estate transactions. The deal allows buyers to use USDt to purchase property through 30,000 Reelly Tech agents globally. Last month, the Dubai Financial Services Authority (DFSA), the financial regulator in charge of the Dubai International Financial Centre (DIFC), approved Ripple's RLUSD stablecoin. DIFC companies can now use the RLUSD stablecoin for various virtual asset services. The Dubai Multi Commodities Centre free zone has attracted over 600 crypto companies, with more firms flocking to the Dubai International Financial Centre and One Central district as the country positions itself as a leader in digital finance. Dubai's real estate market reached new highs in May, with sales totaling 66.8 billion dirhams (around $18.2 billion) across 18,700 transactions, a 44% increase in value year-on-year. The surge came amid an accelerating push into real estate tokenization. In May alone, multiple initiatives, including a $3 billion RWA deal involving MultiBank Group, real estate giant MAG and blockchain infrastructure provider Mavryk, were launched by government and industry players. On May 19, the Virtual Asset Regulatory Authority, Dubai's crypto regulator, updated its guidelines to include provisions for real-world asset (RWA) tokenization. Lawyer Irina Heaver told Cointelegraph these rules give issuers and exchanges a clear path to launch and trade tokenized real estate assets.
Trade Arabia
4 days ago
- Trade Arabia
Al-Futtaim, Johnson Controls to launch smart building platform in UAE
Al-Futtaim Technologies, a leading provider of business and digital transformation solutions under Al-Futtaim Contracting, has announced a strategic partnership with Johnson Controls to bring the global smart building platform OpenBlue to the UAE market. This collaboration marks a significant milestone in delivering intelligent infrastructure and energy-efficient solutions to businesses and government entities across the region. The announcement was made during a live showcase event hosted by Al-Futtaim Technologies, offering clients and industry stakeholders an in-depth look at the OpenBlue platform and Johnson Controls' Facility Explorer FX. The event highlighted how these technologies can help organizations transition toward smart, data-driven building management, said the statement. The platform will enable businesses to achieve real-time operational insights, predictive maintenance, and improved occupant experiences – all while advancing sustainability goals. By integrating digital intelligence with energy optimization, the platform addresses rising demand across the GCC for smarter, more efficient, and future-ready infrastructure, it stated. Razi Hamada, General Manager, Al Futtaim Technologies, said: "Our partnership with Johnson Controls marks a major step forward in our mission to deliver smarter, more efficient, and sustainable buildings across the region. With the launch of OpenBlue, we are empowering our clients to embrace digital transformation through real-time intelligence, energy optimization, and seamless occupant experiences." "This collaboration reinforces Al-Futtaim Technologies' commitment to shaping the future of intelligent infrastructure in the UAE," he noted. Evgenia Ostrovskaya, Digital Region Leader EMEALA at Johnson Controls, said: "We are thrilled to collaborate with Al Futtaim Technologies in bringing OpenBlue to the region. Together, we're defining the future of smart buildings with real-time analytics, energy efficiency, and seamless occupant experience." According to her, this launch also builds on Al-Futtaim Technologies' track record in systems integration and its strategic focus on smart building solutions. The company's portfolio includes infrastructure, ELV systems, AV solutions, and managed services, serving sectors such as real estate, education, finance, and government across the UAE, Qatar, and Saudi Arabia, she stated. As smart city development accelerates in the Middle East, this partnership positions Al-Futtaim Technologies and Johnson Controls as key enablers of next-generation digital buildings – driving operational excellence, environmental responsibility, and future-ready infrastructure across the region, she added.-TradeArabia News Service
Gulf Insider
03-07-2025
- Gulf Insider
Unified Visa for Gulf Countries Launching Soon
A unified tourism visa for visitors to the UAE, Saudi Arabia, Kuwait, Qatar, Bahrain and Oman will be launched soon, according to GCC Secretary General Jassem Al Budaiwi. In a statement by the GCC Secretariat, Al Budaiwi expressed gratitude to member nations for efforts to realise the unified tourism visa. After it is introduced, non-GCC visitors to the region will be able to move freely between the six nations using a single visa. The announcement came, following the 39th meeting of heads of GCC Interior Ministries' passport departments. Al Budaiwi said that the measures would help realise the visions of the Gulf leaderships, adding that involved parties were keen on keeping up with the latest technologies, as well as growing and rapid global security demands. Once approved, the unified Gulf tourist visa will allow its holders to visit six GCC countries, focusing on attracting and retaining tourists within the region to enhance economic integration. Further details and a launch date are yet to be announced, but reports have claimed it will be valid for between 30 and 90 days and be valid for tourism or family read: UAE-India Airfares Drop To 'Unusually Low Levels' After July 8, Say Travel Agents
