AD Ports Group Achieves AED 4.83 Billion Revenue In Q2 2025 Amid Strong Operational Performance

AD Ports Group reported a 15% increase in revenue for Q2 2025, reaching AED4.83 billion. This growth was driven by the Ports, Economic Cities & Free Zones, and Maritime & Shipping sectors. The group's EBITDA rose by 9% to AED1.17 billion, with an EBITDA margin of 24.2%. Profit before tax increased by 5% to AED519 million due to higher depreciation and finance costs.

The group's operational performance remained robust across its key sectors, contributing over 90% of the total EBITDA for Q2 2025. Container throughput at ports increased by 17%, while general cargo volumes grew by 13%. The CMA Terminal at Khalifa Port, operational since early 2025, achieved an 80% utilisation rate during the quarter.

In the Economic Cities & Free Zones sector, an additional 600,000 m² of land was leased in Q2, bringing the total leased area to 1.6 km² for the year. Utilisation in Sdeira Group's staff accommodation business rose to 80%, up from previous quarters.

The Maritime & Shipping cluster saw a significant rise in container feeder shipping volumes, increasing by 34% compared to the previous year. The fleet of bulk, multipurpose, and Ro-Ro vessels expanded to 34 ships by Q2 2025, up from 28 a year earlier.

Despite challenges such as higher income tax affecting net profit, which remained steady at AED445 million, earnings per share stayed flat at AED0.07. Capital expenditure reached AED928 million, mainly focused on Maritime & Shipping and other key assets.

Financial Performance

Operating cash flow nearly doubled from the previous year to AED1.14 billion in Q2 2025 due to strong operating profits and a cash conversion rate of 97%. Consequently, Free Cash Flow to the Firm (FCFF) was positive both for the quarter and year-to-date.

Capital expenditure intensity decreased from 28% to 19% of group revenue compared to last year. This reflects strategic investments aimed at enhancing core operations within key clusters.

Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO, stated that their five-cluster business model continues to support sustainable growth amid challenging global conditions. He highlighted their strategic adaptability in navigating external challenges and capitalising on opportunities in dynamic markets like the Red Sea and Central Asia trade corridors.

"The long-term profitable nature of our value-enhancing internationalisation," he said, "which aligns with our wise leadership's vision in the UAE despite all temporary obstacles, is positioning AD Ports Group as a leader in sustainable trade, transport, logistics, and economic development."

With inputs from WAM