Adnoc Logistics & Services Plc (Adnoc L&S), a global leader in energy maritime logistics, has announced a final dividend of $136.5 million (Dh501.3 million) for 2024, bringing its total full-year dividend payout to $273 million (Dh1.001 billion). The five percent year-on-year increase aligns with the company’s progressive dividend policy. Shareholders on record as of April 3, 2025, will receive the final dividend of 6.78 fils per share.
Strong Financial Growth and Market Performance
Adnoc L&S recorded a robust financial performance in 2024, with revenue surging 29% year-on-year to over $3.5 billion (Dh13 billion). Net profit increased by 22% to $756 million (Dh2.7 billion), while earnings before interest, taxes, depreciation, and amortization (EBITDA) grew by 31%. Since its initial public offering (IPO) in 2023, the company’s share price has soared by 178%, significantly outperforming the Abu Dhabi Securities Exchange (ADX).
Looking ahead, the company expects year-on-year revenue growth in the mid-to-high 40% range from 2024 to 2025. Over the medium term (2026-2029), Adnoc L&S forecasts a compound annual growth rate (CAGR) for revenue in the low single digits, while EBITDA growth is projected to be in the high single-digit range. Net income is also expected to grow in the low double-digit range in 2025, with a high single-digit CAGR over the medium term.
Strategic Expansion and Investments
To support its ambitious growth strategy, Adnoc L&S plans to invest over $3 billion in value-accretive organic projects by 2029. This investment is in addition to previously announced projects and will follow the company’s stringent return criteria.
Adnoc L&S is targeting a net debt-to-EBITDA ratio of 2.0-2.5x over the medium term. The company will fund its expansion through hybrid capital instruments, debt, and free cash flows after dividend distributions.
Leadership Statements and Vision for Growth
Dr. Sultan Al Jaber, Chairman of Adnoc L&S, described 2024 as a transformative year marked by global expansion, record financial performance, and strategic acquisitions. “We strengthened our fleet and completed a pivotal $1 billion (Dh3.7 billion) acquisition of an 80% stake in Navig8, significantly enhancing our operational capabilities,” he said. He added that Adnoc L&S remains committed to sustainability, efficiency, and supporting the UAE’s economic ambitions.
CEO Captain Abdulkareem Al Masabi echoed this sentiment, emphasizing the company’s focus on organic growth, strategic acquisitions, and workforce development. “We invested nearly Dh1 billion in workforce training and local partnerships in 2024. Our commitment to developing Emirati talent and supporting the UAE economy remains unwavering,” he said.
Fleet Expansion and Sustainability Initiatives
In 2024, Adnoc L&S continued its large-scale fleet expansion, acquiring 21 environmentally efficient vessels with low-emission dual-fuel engines. The company also took delivery of the first of six new LNG carriers, with the second expected in May 2025.
Sustainability remains a key focus for Adnoc L&S, which achieved an 11% reduction in carbon intensity in 2024 compared to the previous year. Since 2019, fleet emissions have been reduced by 56%, aligning with Adnoc’s broader decarbonization goals.
Technological Advancements and Offshore Logistics Leadership
The company expanded its integrated logistics segment by securing contracts for 19 jack-up barge deployments and acquiring 20 offshore assets. These developments strengthen Adnoc L&S’ position as a leader in offshore logistics, supporting Adnoc’s overall energy growth strategy.
Adnoc L&S is also advancing digital transformation within the maritime logistics sector. Investments in AI-driven solutions, such as AIQ’s SMARTi safety monitoring and the Integrated Logistics Management System (ILMS), aim to enhance safety, optimize operations, and reduce delays.
With continued expansion, strategic acquisitions, and a focus on sustainability and technological innovation, Adnoc L&S is well-positioned for long-term growth and value creation for shareholders.
