Adnoc Drilling, a UAE-based drilling and integrated drilling services company, reported record-breaking financial results for Q2 and H1 2025.

 

The company achieved revenue of $2.37 billion, reflecting a 30 per cent year-on-year increase.

 

EBITDA reached $1.08 billion, and net profit amounted to $692 million, representing a 21 per cent year-on-year increase.

 

Additionally, Adnoc Drilling maintained shareholder returns and continued its regional expansion.

 

Abdulla Al Messabi, CEO of Adnoc Drilling, said: “Our first half 2025 results demonstrate the strength and scalability of Adnoc Drilling. We continue to deliver solid financial performance, reliable shareholder returns, and regional expansion, supported by our commitment to deploying AI and advanced technologies. With this momentum, we are on track to achieve our full-year growth targets. Adnoc Drilling has shown its ability to grow in any phase of the energy cycle. With cash flows, growing earnings, and visibility of future returns, we remain confident in our ability to deliver value to our shareholders.”

 

Second Quarterly Dividend Reinforces Shareholder Appeal

 

The board of directors approved a $217 million (approximately 5 fils per share) second quarterly dividend for 2025, reinforcing its commitment to delivering reliable income to shareholders.

 

This dividend is expected to be paid in the second half of August 2025 to all shareholders of record as of August 8, 2025.

 

With two quarterly dividends announced year-to-date, and a third to be announced later in 2025, Adnoc Drilling offers a blend of income and growth, providing shareholders with visible returns in line with its dividend policy.

 

Strong Segmental Growth in 1H 2025

 

Onshore: Revenue increased by 18 per cent year-on-year to $1.0 billion, mainly due to new rigs commencing operations and a $79 million contribution from the unconventional business.

 

Offshore (Jack-up and Islands): Revenue increased by 1 per cent year-on-year to $671 million, largely due to the reactivation of island rigs, while two new jack-ups are expected to contribute to revenue from the third quarter.

 

Oilfield Services (OFS): Revenue increased by 127 per cent year-on-year to $689 million, driven by $265 million in revenue from the unconventional business, along with increased integrated drilling services (IDS) activity and additional discrete services.

 

Joint Ventures Deliver Strategic Value, Advance Innovation, and Unlock Resources

 

Regional Expansion in Kuwait and Oman: The company’s agreement to acquire a 70 per cent stake in SLB's land drilling rigs business in Kuwait and Oman reinforces its position in drilling and integrated services.

 

Upon completion, Adnoc Drilling will gain access to earnings and growth through two operating land drilling rigs in Kuwait and six in Oman, accelerating its expansion into key GCC areas.

 

The joint venture formation and acquisition are subject to regulatory approvals.

 

Enersol – Advancing Energy Technology for the UAE: Enersol, Adnoc Drilling’s energy technology investment platform, continued its strategic momentum in Q2 2025 by advancing local operations and expanding its technology footprint across the UAE.

 

Key developments included progress on its Abu Dhabi hub and the launch of the Enersol Energy Challenge, an initiative aimed at identifying UAE-based entrepreneurs developing energy technologies.

 

Enersol has a pipeline of additional transactions beyond the four acquisitions already completed.

 

Turnwell – Unlocking the UAE’s Unconventional Resources: Turnwell, Adnoc Drilling’s unconventional drilling specialist, reached operational milestones in Q2 2025 as it expanded its presence across the UAE’s onshore unconventional basins.

 

Turnwell delivered additional wells and implemented new drilling techniques, including autonomous drilling, which reduced cycle times and improved safety metrics.

 

Turnwell has now drilled 58 out of the 144 wells and fractured over 20 wells, demonstrating execution and setting the stage for future expansion.

 

Derisked Long-Term Growth Delivering Market Confidence at Scale

 

In 2025, Adnoc Drilling added approximately $4.8 billion in new contracts, marking its strongest period for adding backlog.

 

These wins span integrated drilling, oilfield, and rig services, delivering earnings visibility through 2040 and beyond.

 

The company is now the most covered stock in the Mena region, with 20 global equity research analysts providing coverage.

 

Most of these analysts maintain a buy rating, underscoring market confidence in the company’s growth and fundamentals.

 

AI and Automation Continue to be Rolled Out across Adnoc Drilling

 

Adnoc Drilling continues to integrate AI, automation, and advanced analytics across its operations to enhance efficiency and reliability.

 

From well planning to execution and maintenance, the company is leveraging digital tools to optimise performance, reduce downtime, and support decision-making.

 

At the most recent Adnoc Drilling board of directors meeting, MEERAi, Adnoc’s new AI tool for quicker decision-making, was deployed.-OGN / TradeArabia News Service