AD Ports Group has announced its financial results for the second quarter of 2023, reporting a revenue growth of 66 per cent year-on-year (YoY) to AED2.1 billion ($571 million).
AD Ports revenue increased by 44 per cent YoY on a like-for-like basis (LFL), excluding the effect of M&A activity. The Maritime, Digital, and Ports Clusters saw the highest YoY growth rates of 208 per cent, 26 per cent, and 22 per cent, respectively.
AD Ports Group Q2 2023 EBITDA reportedly increased by 29 per cent YoY to AED686 million ($186 million), mostly due to the Maritime, Digital, and Ports Clusters, as well as acquisitions (+13 per cent YoY).
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The company’s total net profit increased by 3 per cent YoY to AED310 million ($84 million) in Q2 2023 as EBITDA growth was diluted by the increase in depreciation and amortisation charges as well as finance costs associated with deployment of new assets with deferred revenue effect.
The Maritime Cluster recorded a 208 per cent YoY revenue increase to AED1.16 million ($315,000), led mostly by the feedering (container and bulk) and offshore logistics and services business sectors (+161 per cent YoY on LFL basis).
The Ports Cluster reported Q2 2023 revenue growth of 22 per cent YoY (+15 per cent YoY on a LFL basis), with container volumes growing 10 per cent YoY to 1.21 million TEU.
The Cluster also delivered 64 per cent YoY growth in Ro-Ro volumes, 152 per cent YoY growth in the number cruise passengers, and 40 per cent YoY growth in general cargo volumes.
The Logistics Cluster contributed AED127 million ($35 million) to the Group’s revenue in Q2 2023, representing a 3 per cent YoY increase as 8 per cent YoY growth in polymer volumes was partly offset by cessation of COVID-19 vaccine business.
Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO, AD Ports Group, said: “I am delighted with our strong financial performance for Q2 2023.
“With a remarkable 66 per cent YoY revenue growth to AED2.1 billion ($571 million), we are successfully executing our diversification strategy and leveraging synergies from our recent acquisitions, paving the way for continued growth and value creation for our stakeholders, driven by the support of our wise leadership.”
