ADNOC Drilling net profit up 18% at $446 million in H1-2023

ADNOC Drilling net profit up 18% at $446 million in H1-2023

The ADX-listed company witnessed a substantial 17 per cent year-on-year increase in EBITDA for the first half, reaching $677 million. This growth was attributed to the rise in revenue along with substantial cost savings, resulting in an exceptional EBITDA margin of 47 per cent. The company's strategic efforts to expand its fleet and services offerings also contributed to a 18 per cent year-on-year surge in net profit, reaching $446 million.

“ADNOC Drilling’s excellent financial performance in the first half of 2023 is testament to our strategy of expanding both our drilling fleet and service offering while also improving our margins through strong cost performance,” said Abdulrahman Abdulla Al Seiari, CEO, ADNOC Drilling. “Moreover, we progressed on our goal to expand the fleet, signing agreements to build 16 hybrid powered land rigs, which also form a significant additional element of our decarbonization strategy.”

ADNOC Drilling experienced robust growth in its Offshore Jack-Up and OFS segments. The Onshore segment's half-year revenue of $701 million was in line with the previous year, as new rigs entering the fleet offset lower year-on-year cost escalation claim reimbursements due to a reduction in diesel prices. The Offshore Jack-Up segment's half-year revenue soared by 31 per cent to $376