Adnoc L&S to distribute $273 million dividend as company delivers unprecedented growth in 2024
In 2024, Adnoc L&S's revenue increased 29 per cent year-on-year to over $3.5 billion (Dh13 billion), while net profit rose 22 per cent to $756 million (Dh2.7 billion). Ebitda grew 31 per cent year-on-year. Since its 2023 IPO, the company's share price has increased by 178 per cent, significantly outperforming the ADX.
The company anticipates year-on-year revenue growth from 2024 to 2025 in the mid to high 40 per cent range. Over the medium term (2026-2029), it expects to deliver a revenue CAGR in the low single-digit range.
Adnoc L&S expects year-on-year Ebitda growth from 2024 to 2025 in the high teens. In the medium term (2026-2029), the company targets an Ebitda CAGR in the high single-digit range.
The company anticipates year-on-year net income from 2024 to 2025 in the low double-digit range. Over the medium term (2026-2029), it expects a net income CAGR in the high single digit range.
Adnoc L&S anticipates an additional $3 billion+ of value-accretive organic investment spend by 2029, beyond the projects already announced and incorporated in guidance, applying the same investment return criteria.
The company is targeting a 2.0-2.5x net debt / Ebitda ratio over the medium term, with the recently committed hybrid capital instrument, debt, and free cash flows after dividends, the primary funding sources for committed and anticipated growth investment.
Dr Sultan Al Jaber, Chairman of Adnoc L&S, said: '2024 was a transformative year for Adnoc L&S, marked by accelerated global expansion, record financial performance, and bold strategic moves. We continued to strengthen our fleet and completed a pivotal $1.0 billion (Dh3.7 billion) acquisition of 80 per cent of Navig8, significantly enhancing our global reach and operational capabilities. Our strong performance in 2024 allowed us to deliver outstanding shareholder value, including a five per cent increase in our full-year dividend, while advancing sustainability, innovation, and industry leadership. As we look ahead, Adnoc L&S is positioned for continued growth, driven by organic expansion, strategic acquisitions, and cutting-edge technology investments. With a growing fleet of next-generation vessels and a steadfast commitment to efficiency and sustainability, we remain focused on delivering Adnoc's energy to the world while contributing to the UAE's economic ambitions. The momentum we have built sets the stage for an even more exciting future.'
Captain Abdulkareem Al Masabi, CEO of Adnoc L&S, said: 'Adnoc L&S is well-positioned for continued success. We are unwavering in our commitment to growth, both organic and through strategic acquisitions, and this will continue to deliver value to customers, shareholders, and the UAE. We are equally committed to developing Emirati talent and supporting the UAE economy, having invested nearly Dh1 billion in workforce development and local partnerships in 2024. Adnoc L&S remains a key contributor to Adnoc's In-Country Value (ICV) program, fostering the next generation of maritime industry leaders.'
In 2024, Adnoc L&S continued executing one of the industry's largest fleet expansion programs, securing 21 new environmentally efficient vessels equipped with low-emission dual-fuel engines. The Company also took delivery of its first of six newbuild LNG carriers, with the second expected in May 2025. In 2024, the Company achieved an 11 per cent reduction in carbon intensity compared with the previous year, with a 56 per cent reduction in fleet emissions since 2019, aligning with Adnoc's broader decarbonization objectives.
The integrated logistics business segment saw significant expansion, securing hire contracts for 19 jack-up barge deployments and acquiring 20 offshore assets. These developments reinforce Adnoc L&S' leadership in offshore logistics, supporting Adnoc's broader energy growth strategy.
Adnoc L&S achieved an 11 per cent reduction in carbon intensity in 2024 compared to the previous year, with a 56 per cent reduction in fleet emissions since 2019. Adnoc L&S is advancing the industry's digital transformation, investing in AI-powered solutions, such as AIQ's SMARTi safety monitoring and the Integrated Logistics Management System (ILMS), to enhance safety, optimise operations, and reduce delays.
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