Abu Dhabi National Oil Company's logistics and services subsidiary Adnoc Logistics and Services (Adoc L&S) reported a 10 per cent annual rise in its second-quarter net profit as revenue grew during the period on the back of the strong performance of its business units.
Net profit attributable to equity holders of the company for the three months to the end of June climbed to about $229 million, the company said in a filing on Tuesday to the Abu Dhabi Securities Exchange, where its shares are traded.
Revenue for the period rose about 40 per cent year on year to $1.25 billion.
The growth “reflects Adnoc L&S’s continued outperformance of market expectations, driven by robust cash flows, strategic partnerships, and operational excellence”, Capt Abdulkareem Al Masabi, chief executive of Adnoc L&S, said.
Adnoc L&S delivers energy products and solutions to more than 100 customers in about 50 countries through its three business units, including integrated logistics, shipping and marine services.
Its subsidiaries include Zakher Marine International Holdings, an Abu Dhabi-based owner and operator of offshore support vessels and Navig8, a global ship owner and commercial pools operator also offering bunkering and ship management solutions.
The company made its debut on the Abu Dhabi bourse in June 2023 after parent company Adnoc raised about Dh2.83 billion from the sale of a 19 per cent stake in the subsidiary.
For the first half of 2025, Adnoc L&S reported about 2 per cent growth in its net profit attributable to equity holders of the company to $409.3 million as revenue grew 40 per cent to $2.4 billion.
Integrated logistics revenue during the six-month period, rose 22 per cent on an annual basis to $1.29 billion, while shipping revenue surged 89 per cent to $981 million. Services revenue climbed 4 per cent to $165 million.
The company upgraded its full-year earnings guidance amid the strong performance of its business units.
Annual group revenue are expected to be in the range of “high 20 per cents” from previous forecast of “mid to high 20 per cents”, the company added.
It also raised its net profit guidance for the year to “low to mid double digit year-on-year growth” from “low double digit annual growth” projected previously. It also increased its group Ebitda guidance for the year.
Adnoc L&S said it remains confident in its medium-term outlook (2026–2029), supported by long-term growth prospects, strategic expansion, and resilient income streams. Its growth investments remain on track, with capital expenditure guidance unchanged.
The company also retains the “financial capacity to fund an additional $3 billion beyond announced projects within 2.5x net debt”, it said.
Adnoc L&S is also focusing on fleet expansion amid plans to boost growth. The company is set to receive its first Very Large Ethane Carrier (VLEC) and the third of six LNG carriers in third quarter of 2025 after the delivery of its second LNG carrier in the second quarter.
“Together with additional newbuild orders, these vessels are projected to significantly strengthen the company’s future earnings base, with over $26 billion of future income already contracted,” it said.
In the second quarter, the company also signed a 15-year, $531 million agreement with Abu Dhabi chemicals maker Borouge to help the company boost petrochemical exports and support UAE's industrialisation strategy.
As part of the partnership, Adnoc L&S will manage the transportation of up to 70 per cent of Borouge’s annual production, to Khalifa Port in Abu Dhabi and Jebel Ali in Dubai, the two companies said previously. A minimum of two vessels will be dedicated for the operations, they said.
Dividend payout for 2025 is projected to be $287 million, subject to approvals, the company said on Tuesday.
