Abu dhabi: ADNOC Logistics and Services plc (ADNOC L and S) announced record-breaking financial results for the second quarter (Q2) and first half (H1) of 2026, exceeding market predictions and showcasing robust operational capabilities. This performance is largely attributed to the company's successful delivery of energy services from the UAE to global markets.
According to Emirates News Agency, ADNOC L and S achieved Q2 2026 revenue of US$2,584 million (AED 9,490 million), marking a 98 percent increase compared to the previous year. The company's EBITDA surged 176 percent year-on-year to US$1,106 million (AED4,063 million), with net profit soaring 303 percent to US$951 million (AED3,491 million).
For the first half of 2026, ADNOC L and S reported a 46 percent rise in revenue year-on-year to US$3,667 million (AED13,466 million). The EBITDA for this period increased by 98 percent year-on-year to US$1,475 million (AED5,416 million), achieving a margin of 40 percent, which is an 11 percentage point increase from the previous year. Net profit rose 179 percent year-on-year to US$1,173 million (AED4,308 million).
ADNOC L and S has updated its 2026 earnings guidance for the third time, reflecting the impressive earnings that support the ADNOC Group. A diversified business model, extensive global operations, and favorable market conditions have enabled the company to achieve notable profitability and operational cash flow in the first half of 2026.
Captain Abdulkareem Al Masabi, CEO of ADNOC L and S, stated, "Strong fundamentals in the shipping market, our disciplined execution, and our ability to quickly respond to volatile market conditions, supported exceptional earnings and cash generation and a record result for the first half of 2026. Our fleet investments will enable us to accelerate global expansion and transformative growth at ADNOC L and S as we create long-term value for our shareholders."
ADNOC L and S is undertaking a significant fleet expansion, with total vessel acquisitions and newbuild commitments valued at about US$2.3 billion. This is part of a broader US$5.7 billion capital expenditure commitment, aimed at enhancing ADNOC Group's capabilities and expanding future earnings potential.
The company has once again upgraded its full-year 2026 earnings guidance due to continued strong performance, supported by favorable market conditions. The updated outlook is based on prudent assumptions about market rates for the remainder of the year, and maintains cautious guidance for offshore contracting influenced by regional uncertainties.
ADNOC L and S continues to advance its fleet expansion and modernization efforts. In March 2026, 'Arada', a new LNG carrier from Jiangnan Shipyard in China, joined the fleet, followed by its sister vessel, 'Al Taweelah', in April.
In May 2026, during Make it in the Emirates, ADNOC L and S signed a strategic agreement with Emirates Global Aluminium (EGA) to enhance supply chain resilience in the aluminum sector. This agreement aims to foster collaboration in logistics and potentially establish a joint venture in logistics assets and integrated supply chain solutions.
As part of its digital transformation, ADNOC L and S is integrating AI-enabled technologies to improve operational efficiency and safety. Innovations such as the Integrated Logistics Management System (ILMS) and 'SeaOwl', the UAE's first remotely operated landing craft, were highlighted at Make it in the Emirates.
The company has revised its full-year 2026 financial guidance for Revenue, EBITDA, and Net Profit, supported by robust shipping performance. The revised guidance anticipates continued market support and dynamic regional conditions.
ADNOC L and S's Offshore Contracting segment has benefited from improved material handling volumes in the Integrated Logistics Services Platform (ILSP). The company maintains previous assumptions for its Jack-Up Barge fleet and continues to align its dividend policy with its capital allocation strategy.
The board has approved an interim cash dividend of $85.3 million, equivalent to AED313.3 million, for Q2 2026, based on shareholdings as of the record date of August 20, 2026. This aligns with the company's policy of a progressive annual dividend increase of at least 5 percent over the medium term.