AD Ports Group Achieves AED 4.6 Billion Revenue In First Quarter Of 2025

AD Ports Group has reported its financial outcomes for the first quarter ending 31st March 2025. The company experienced significant growth, continuing the momentum from 2024's strong performance. Revenue reached AED4.60 billion, an 18% increase compared to the previous year. This growth was primarily driven by the Ports, Economic Cities and Free Zones (EC&FZ), and Maritime and Shipping clusters.

Group EBITDA for Q1 2025 was AED1.14 billion, reflecting a 9% year-on-year rise. This increase was supported by a 17% rise in Ports, a 10% increase in Maritime and Shipping, and a 7% growth in Economic Cities and Free Zones. The EBITDA margin stood at 24.7% during this period.

The net profit for AD Ports Group surged by 16% year-on-year to AED464 million, largely due to robust operational performance. Earnings per share (EPS) rose by 14%, reaching AED0.07 for the quarter. Capital expenditures amounted to AED954 million, with significant investments directed towards Economic Cities and Free Zones, Ports, and Maritime and Shipping assets.

Capital expenditure intensity decreased to 21% of group revenue in Q1 2025 from 33% in Q1 2024. Operating cash flow was AED725 million, down from AED781 million in the same period last year, affected by collection timing and working capital changes. Consequently, free cash flow to the firm was slightly negative at AED -173 million for the quarter.

Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO, stated that "The positive momentum from our record 2024 financial results continued into the first quarter of 2025." He highlighted that their business ecosystem effectively navigated macroeconomic challenges to achieve double-digit growth in revenue and net profit.

Al Shamisi further mentioned that their strategic focus on infrastructure investments amid international expansion has been beneficial. "The Q1 solid growth was driven by our Ports, Economic Cities and Free Zones, and Maritime and Shipping clusters," he added.

Future Outlook

The CEO emphasized their commitment to following a prudent strategy aligned with UAE's leadership vision. "In line with the vision of our wise leadership in the UAE," he said they aim to maintain AD Ports Group's position as leaders in sustainable trade using AI and technology innovations.

The group's approach is described as 'intelligent internationalisation,' focusing on navigating global uncertainties while enhancing profitability. This strategy aims to position Abu Dhabi as a leader in economic development through sustainable practices.

The financial results reflect AD Ports Group's resilience amid geopolitical uncertainties while maintaining strong growth across key sectors like ports and logistics.

With inputs from WAM