AD Ports Group reported an 88 per cent rise in second-quarter net profit to Dh836 million, as growth across maritime and shipping, economic cities and free zones, and logistics helped deliver the group’s strongest quarterly results on record.
Revenue for the three months ended June 30 climbed 47 per cent to Dh7.08 billion, while adjusted EBITDA rise 49 per cent to Dh1.74 billion, with the EBITDA margin improving to 24.5 per cent from 24.2 per cent a year earlier.
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For the first half, revenue increased 36 per cent to Dh12.83 billion, while total net profit rose 64 per cent to Dh1.49 billion. EBITDA increased 41 per cent to Dh3.25 billion.
Maritime and Shipping, which accounted for 53 per cent of group revenue in the second quarter, posted a 62 per cent increase in revenue to Dh3.82 billion, while EBITDA jumped 79 per cent to Dh1.03 billion.
The performance was supported by higher capacity and pricing across container feeder, Ro-Ro and tanker operations, as well as expansion in agency and commercial representation services. The group also entered four new markets since the start of the year.
Economic Cities and Free Zones revenue more than doubled to Dh1.29 billion, supported by warehouse leasing, staff accommodation, gas provisioning and a Dh650 million warehouse sale in KEZAD Abu Dhabi. Excluding the warehouse transaction, cluster revenue still rose 15 per cent year-on-year.
Logistics revenue increased 30 per cent to Dh1.47 billion, while EBITDA rose 154 per cent to Dh94 million.
UAE supply chain network expands
During the quarter, AD Ports Group continued expanding alternative multimodal trade routes across the UAE, including cargo links through Fujairah and Khor Fakkan, new land and air bridges and additional warehousing capacity.
The group added 400 trucks, increased Etihad Rail service frequency and deployed six chartered aircraft for critical cargo including food and pharmaceuticals. Warehousing and storage capacity exceeded 54,000 square metres.
Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO of AD Ports Group, said the group’s diversified trade routes, international footprint and integrated business model helped support record financial performance during the quarter.
AD Ports Group also continued its international expansion, announcing its largest-ever acquisition, the purchase of Brazil’s Corredor Logistical Infrastructure for an enterprise value of Dh3.1 billion. The transaction is expected to close by the end of the third quarter.
Source: Khaleej Times