• Home
  • News
  • AD Ports Group delivers a record net profit in Q3 2022 with 77% growth YoY
  • 2022 November 15 17:26

    AD Ports Group delivers a record net profit in Q3 2022 with 77% growth YoY

    AD Ports Group today announced its financial results for the third quarter of 2022. The Group’s revenue grew 53% YoY to AED 1,466 million in Q3 2022 (+35% YoY growth to AED 3,755 million for 9M 2022), driven by strong growth in its Maritime Cluster and a robust performance of its Economic Cities & Free Zones (EC&FZ) Cluster. Ports Cluster revenue grew 18% YoY on a like-for-like basis when adjusted for the positive effect of a one-off sand supply contract in 2021.

    EBITDA increased 52% YoY to AED 594 million in Q3 2022 (+42% YoY growth to AED 1,650 million for 9M 2022), implying an EBITDA margin of 40.5% in Q3 2022 and 43.9% for 9M 2022. The Group’s EBITDA performance should continue to be supported by higher operating leverage in the Ports and EC&FZ Clusters going forward.

    Net Profit soared 77% YoY to reach AED 334 million in Q3 2022 (+58% YoY growth to AED 941 million for 9M 2022). Earnings per share increased 27% YoY to 0.19 for 9M 2022.

    AD Ports Group continued to press ahead with its ambitious organic revenue generating CapEx programme, with spending of AED 1.6 billion in Q3 2022 and AED 4.2 billion for 9M 2022.

    Operating Cash Flow amounted to AED 1.3 billion for 9M 2022, implying a cash conversion of 76% while Free Cash Flow remained negative at AED -2.6 billion due to the large ongoing revenue generating growth CapEx investments. AD Ports Group maintains a solid financial position and robust balance sheet, with significant capital resources available for both organic and inorganic growth.

    Operationally, Ports Cluster container volumes grew 31% YoY in Q3 2022 (+28% YoY for 9M 2022), driven by increased capacity after the expansion of ADT and CSP Abu Dhabi Terminals in 2021.
     
    One of the key highlights of the period was the announcement of the acquisition of an 80% equity stake in Dubai-based Global Feeder Shipping (GFS), a global container shipping company, for AED 2.9 billion (USD 800 million), implying a 100% Enterprise Value of AED 3.7 billion (USD 1.0 billion). GFS is the third largest feeder shipping business globally, with operated capacity of 72,500 TEUs, a total of 26 vessels, and 9,000 owned and 31,000 operated containers across its feeder and NVOCC businesses. It operates a comprehensive service network of 20 services across the GCC, Red Sea, Indian Subcontinent and Southeast Asia.

    Upon completion, the acquisition, which is the company’s largest by AD Ports Group to date, is set to position AD Ports Group as the largest pure feeder operator in the region and the third largest globally by container capacity, which will be close to 100,000 TEUs. GFS provides a complementary asset base and portfolio of services that will boost AD Ports Group’s regional and global footprint.

    The company expects the GFS acquisition to be c.60% EPS accretive on a full-year basis in 2023.

    In September, AD Ports Group also completed the acquisition of a 70% stake in International Associated Cargo Carrier (IACC) in Egypt, which fully owns Transmar and TCI, for an enterprise value of AED 514 million (USD 140 million).

    The transformative impact of the company’s acquisitions strategy can be seen most clearly in the enhanced performance of the Group’s Maritime Cluster, which saw a 241% YoY increase in revenue to AED 1.3 billion in the first nine months of the year. This was in part driven by increased activity in new business segments and service offerings, including feedering, chartering, transshipment, and offshore services, and accelerated by the contribution of the recent acquisitions, including Divetech, ASCL, SAFEEN Surveys and Subsea Services, and Transmar, which accounted for 27% of the total 9M 2022 Maritime Cluster revenue.




2023 February 6

20:51 Russian Railways CEO confirms plans on launching new traffic to Lavna port in December 2023
18:30 Portsmouth International Port to accept an offer from Scottish and Southern Energy Network to secure extra power supply
18:03 Freeport of Ventspils Ro-Ro cargo volumes up 4% to 2.35 million tonnes in 2022
17:28 The National Fund of Greece confirms eight investment schemes in the tender for the development of Volos Port
16:47 K Shipbuilding receives $175m order from Al Seer Marine for the construction of four tankers
16:24 Fuel oil shipments from Russia to India totalled at least 0.5 million tonnes in January 2023 - Reuters
16:14 RF Government expands programme to compensate expenses for transportation of goods to North-West ports
15:45 Earthquake damages Turkiye's energy infrastructure, major port
15:23 Astrakhan shipyard of USC to commence building dry bulk / container carriers of Project 00108 for North-South corridor in 2023
15:19 BSM managed Service Operation Vessel “Windea Leibniz” finished an extensive upgrade at Ulstein Shipyard in Norway
14:55 DP World container volumes up 1.4% to 79.0 million TEUs in 2022
14:35 IHC Dredging delivers Beagle 4 to Gebr. van der Lee
13:51 Rosmorport announces tender for dredging on Volga-Caspian Shipping Canal
12:49 INPEX Corporation completes ammonia bunker barge study - Ship & Bunker
12:37 Ba Ria-Vung Tau province ready to support foreign car carrier on fire
11:42 Equinor and SSE Renewables carry out early scoping work on potential 4th phase of Dogger Bank Wind Farm
11:39 OceanPal Inc. announces appointment of Robert Perri as CEO
11:24 Accelleron signs Turbo MarineCare agreement with Associated Maritime Company (Hong Kong)
11:23 Turkish shipyard to build two ferries for CMAL
10:08 NYK Line posts 9M and 2023 FY results
09:55 First serial production of hydrofoils to be established in Moscow Region
09:29 EU and G7 adopted further price caps for seaborne Russian petroleum products

2023 February 5

15:41 Stena Drilling sign a new contract with UK's Ithaca Energy for Stena Spey
13:19 New partnership aims to take Norwegian offshore wind to the next level
11:07 Hundreds evacuated after fire ignites on cruise ship in Sydney, Australia
09:38 Shell LNG bunker barge launched in Spain

2023 February 4

15:21 Milaha and Hareket sign a strategic alliance to provide integrated heavy lift and oversized transportation services
14:29 DOF awarded EPRD contract by Equinor
13:14 The Port of Sagunto doubles its natural gas traffic by 2022
11:03 GTT obtains funding from Bpifrance for the MerVent 2025 project, winner of the "Corimer 2022" call for expression of interest

2023 February 3

18:22 IAA PortNews’ summary of past week news
18:07 Port of Tallinn and Utilitas Wind to cooperate on the development of offshore wind farms
17:50 Gazpromneft Marine Bunker to supply 10,000 t of LNG for bunkering of Rosmorport’s ferries operating on Ust-Luga – Kaliningrad line
17:43 New container line connects the Port of Gothenburg with Iceland
17:23 OX2 and the Bank of Aland plan a Mega Green Port project in Aland
17:08 Sovcomflot’s new oil tanker Okeansky Prospect underwent first loading at port Kozmino
16:31 CMA CGM revises its NC Levant service connecting North Europe with East Med/Levant area
16:12 SCZONE and Hungarian HEPA will sign an expected joint agreement by the end of the month
15:46 DNV white paper outlines suggestions to achieve a sustainable maritime ecosystem in India
15:03 NYK Line receives 1st LNG-powered car carrier from China Merchants - Offshore Energy
14:32 PIL strengthens SEA linkages with new Thailand Philippines Straits Service
14:25 Atomflot and Baltiysky Zavod sign contract for construction of fifth and sixth nuclear-powered icebreakers of Project 22220
14:02 Niestern Sander signs contract for conversion project multipurpose offshore vessel
13:42 Maersk North America and Ashdod Port Company sign agreement to collaborate on logistics and supply chain innovation
13:24 Drydocks World and Aker Solutions form joint venture to upgrade production at UK’s Rosebank oil and gas field
12:54 Fincantieri holds float out ceremony for the third luxury cruise ship for Regent Seven Seas Cruises
12:36 Flood of Russian fuel oil into Singapore boosts bunker margins - Ship & Bunker
12:16 Vyborg Shipyard and Atlantrybflot sign acceptance/delivery certificate for lead factory freezer trawler of Project KMT02.02
12:13 Eight shipyard workers injured in blast on Vietnamese bulk carrier
11:38 RF Government postpones acquisition of two Kometa 120M hydrofoils again
11:32 China boosts imports of fuel oil blended from Russian barrels - Reuters
10:53 DP World wins bid for development of a mega-container terminal at India’s Deendayal Port
10:31 Fujairah VLSFO sees biggest daily gain since July - Ship & Bunker
10:19 Railway ferry Baltiysk to return to Ust-Luga-Baltiysk line on 13 February 2023
09:57 ZIM upgrades its Asia-US East Coast ZXB service
09:21 Rosatom supports 6th Modern Solutions for Hydraulic Works Conference as its Partner

2023 February 2

18:07 ZIM introduces a new premium line from South America West Coast to US East Coast
17:41 Italian ship makes record journey into Antarctic
17:25 WinGD demonstrated its latest X-DF-2.0 technology, on-engine iCER, to several LNG carrier owners
17:17 STX Dalian shipyard rebooted as Hengli Heavy Industry - Seatrade