Adnoc Drilling net profit up 17% to $1.06 billion in nine months

Adnoc Drilling Company on Tuesday reported record financial results for the first nine months (9M) of 2025, with revenue rising 27 per cent year-on-year to $3.63 billion and net profit up 17 per cent to $1.06 billion. Free cash flow surged 174 per cent to $1.2 billion.

The results delivered record profitability and cash generation, driven by strong operational execution, resilient long-term contracts, and accelerated adoption of AI-powered technologies across the fleet.

Abdulla Ateya Al Messabi, Adnoc Drilling CEO, said, “Our record performance in 2025 showcases the strength and resilience of our business model and disciplined execution.”

“We are scaling unconventionals to a potential of over 300 wells annually, expanding our Integrated Drilling Services (IDS) fleet to 70 rigs and preparing for new offshore island operations by the end of the decade,” he said.

Al Messabi stated, “These milestones can add billions in new revenue streams, de-risked by our in-house expertise and powered by our ambition to become AI-native. With our enhanced dividend policy targeting at least $6.8 billion through 2030, Adnoc Drilling is setting a new global standard for reliable, growing shareholder returns.”

The Board of Directors approved a 3Q 2025 dividend of $250 million (approximately 5.7 fils per share), payable in the second half of November 2025 to shareholders of record as of 6th November 2025. This reflects Adnoc Drilling’s commitment to progressive, reliable income for investors.

The company’s enhanced dividend framework, announced at the Adnoc Investor Majlis, which will be presented for approval at the next Annual General Assembly, targets at least $6.8 billion in distributions from 2025 to 2030, providing long-term visibility and confidence for shareholders.

By segment, the onshore division posted revenue of $1.52 billion, up 13 per cent YoY, coupled with a higher contribution from the unconventional business.

The offshore (Jack-up and Islands) business generated $1.04 billion in revenues, a 3 per cent increase, driven by the reactivation of island rigs, along with the positive impact from jack-ups commencing operations at the end of the second quarter 2025

Oilfield services revenue reported $1.07 billion, up 114 per cent YoY, driven by $385 million contribution from unconventional business, increased integrated drilling services (IDS) activity, and additional discrete services.

Meanwhile Adnoc’s inaugural Investor Majlis in Abu Dhabi drew more than 500 global investors and analysts, marking a new chapter in the Group’s - and its listed companies’ - ambitious growth journey.

The event underscored Adnoc’s growth strategy, commitment to transparency, and the strength and resilience of its six listed companies, prompting leading international banks to issue multiple price target upgrades across the Adnoc portfolio.

Analysts from global banks described Adnoc’s Investor Majlis as a powerful display of transparency, discipline, and long-term value creation, reaffirming Adnoc’s role at the heart of the UAE’s capital market success story.

Held under the leadership of Dr Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology and Adnoc Managing Director and Group CEO, the event provided a detailed look at Adnoc’s six listed entities: Adnoc Drilling, Adnoc Gas, Adnoc Distribution, Adnoc Logistics & Services, Borouge, and Fertiglobe.

It highlighted Adnoc’s focus on financial discipline, strong governance, and sustainable shareholder returns, supported by long-term dividend visibility of Dhs158 billion ($43 billion) through 2030. Following the Investor Majlis, analysts from leading international banks, including Goldman Sachs, Barclays, Citigroup, Morgan Stanley, JP Morgan, and Bank of America, reaffirmed Adnoc’s leadership position, noting the Group’s balanced growth-and-resilience framework, continued expansion across the value chain, and growing adoption of digital and AI solutions.

Multiple analysts have upgraded their target prices by up to 11.4 per cent, citing strong earnings and dividend growth, increased dividend frequency, and consistently robust performance as reasons behind their upgrades. c. 80 per cent of covering analysts have a Buy recommendation on Adnoc stocks. Meanwhile the remarkable success of the recent Adnoc Investor Majlis is echoing across regional and global capital markets, powerfully demonstrating the impact of open, transparent engagement between Adnoc and the investment community.

Held recently in Abu Dhabi, the Adnoc Investor Majlis has sparked a surge of investor confidence in Adnoc Drilling with five leading global financial institutions — Citi, Barclays, Bank of America, Bank of China International and Bernstein — upgrading their target share prices for the company.

WAM