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ADNOC Drilling Company (ADNOCDRILL) investor relations material
ADNOC Drilling Company Q4 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Achieved record-breaking financial and operational results in 2025, with a 20% improvement in well delivery time, reduced non-productive time, and a MENA speed record of drilling one mile per day.
Revenue reached $4.9 billion (22% YoY growth), EBITDA $2.2 billion (9% YoY), and net profit $1.45 billion (11% YoY), with free cash flow at a record $1.5 billion.
Regional expansion advanced through acquisitions and joint ventures, including a 70% stake in a JV with SLB for land rigs in Oman and Kuwait, and an agreement to acquire 80% of MB Petroleum Services.
The board recommended a record $1 billion dividend for 2025, a 27% YoY increase, with a Q4 dividend of $250 million to be paid in April 2026 and a progressive policy through at least 2030.
ESG initiatives delivered significant improvements in emissions, energy intensity, and workforce diversity.
Financial highlights
Full-year revenue: $4.9 billion (+22% YoY), EBITDA: $2.2 billion (+9% YoY), net profit: $1.45 billion (+11% YoY), and free cash flow: $1.5 billion (record high).
Q4 2025 revenue: $1.28 billion (+7% YoY); unconventional business contributed $190 million (+62% YoY, +20% sequentially).
Q4 EBITDA: $560 million (+3% YoY adjusted); net profit: $389 million, with adjusted net income up 8% YoY.
Net debt/EBITDA at 0.9x, with net debt at year-end $2.1 billion, below leverage target.
Cash from operations totaled $2.2 billion for FY25, up 35% YoY; EPS rose 11% to $0.091.
Outlook and guidance
2026 revenue expected around $5 billion, with EBITDA guidance of $2.2–$2.3 billion (44–45% margin), net profit $1.45–$1.5 billion, and free cash flow (ex-M&A) $1.2–$1.3 billion.
CapEx (ex-M&A): $0.6–$0.8 billion; leverage target remains below 2x EBITDA.
Q1 2026 guidance: $1.23 billion revenue, $0.53 billion EBITDA, $0.35 billion net income.
Medium-term: 70 IDS rigs by end-2026, six new island rigs by 2028, maintaining ~50% EBITDA margin in domestic conventional business.
No material uncertainties over going concern, supported by undrawn borrowing facilities and strong forecasted cash flows.
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