AD Ports has reported record levels of revenue and profit in Q3 2024 totalling AED4.66 billion ($1.27 billion) and AED445 million ($121.15 million) respectively.
Revenue showed a 10 per cent year-on-year (YoY) increase, with a 60 per cent increase when normalising for vessel trading activities recorded in Q3 2023.
AD Ports posted Q3 EBITDA of AED 1.21 billion ($329 million), a 60 per cent YoY increase (124 per cent when normalised for vessel trading activities), with an EBITDA margin rise from 17.9 per cent in Q3 2023 to 26 per cent.
Total net profit rose 11 per cent YoY to AED445 million ($121 million), though net profit after minorities dropped 21 per cent YoY to AED301 million ($81.9 million) due to a one-off AED40 million ($10.9 million) debt refinancing charge.
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On a Like-for-Like (LFL) basis, adjusting for the effects of mergers and acquisitions (M&A) and vessel trading activities, Q3 2024 revenue increased by 28 per cent compared to the previous year.
The all-time high quarterly revenue was reportedly driven by a strong performance across the board, from all clusters: 24 per cent YoY increase for ports, 96 per cent YoY increase for Maritime & Shipping (normalised for the vessel trading activities in Q3 2024), 16 per cent YoY increase for Economic Cities and Free Zones, 48 per cent YoY increase for Logistics, and a 62 per cent YoY increase for Digital.
The ports cluster’s revenue growth was driven by strong performances in General Cargo (42 per cent YoY increase, led by UAE and KGTML in Pakistan), UAE Container Concession fees (49 per cent YoY increase, with contributions from CMA Terminals Khalifa Port from July), and international container operations (Spain and Pakistan).
Khalifa Port‘s container throughput grew by 22 per cent YoY, reaching 87per cent of the quarter’s total and achieving a record 76 per cent utilisation. Overall container capacity utilisation rose to 68 per cent from 56 per cent in Q3 2023.
Ro-Ro volumes grew 2 per cent YoY, with Khalifa Port’s volumes up 53 per cent YoY due to the Red Sea crisis. Spain saw an 11 per cent YoY decrease due to weak demand in Europe and EV-related tensions with China.
40 per cent of 9 million 2024 revenue was long-term, down from 46 per cent in H1 2024, diluted by strong container shipping performance.
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Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO, said: “As 2024 comes to a close, there is reason for optimism. While geopolitical disruptions continue to affect visibility, seaborne trade volumes are still expected to grow 2.2 per cent this year, and by 2.0 per cent in 2025, according to Clarkson Research.
“The global economic situation has developed slightly better than expected this year, and the regional macro environment remains solid, supporting demand and rates for AD Ports Group.”
Earlier this summer, AD Ports completed the acquisition of a 60 per cent stake in Tbilisi Dry Port in Georgia.
