Adnoc Logistics & Services Plc · ADX:ADNOCLS
Adnoc Logistics & Services — Investor Presentation (February 2025)
38 slides from Adnoc Logistics & Services's investor presentation, Feb 25, 2025
Slide 1: ADNOC Logistics & Services
ADNOC Classification: Internal ADNOC LOGISTICS & SERVICES INTEGRATED LOGISTICS | SHIPPING | SERVICES
Slide 2: Disclaimer
ADNOC Classification: Internal Disclaimer This presentation has been prepared by ADNOC Logistics & Services Plc (the ‘Company’) based on publicly available information and non-public information to assist you in making a preliminary analysis of the content referenced herein solely for informational
Slide 3: Agenda
ADNOC Classification: Internal Agenda 1 Our Journey……………………………….…...4 Appendix 2 Growth Strategy……..…………………….….5 1 Sustainability…………………………………33 3 Navig8 Acquisition…………..…………..….10 2 Health & Safety (HSE)...…………………....34 3 Integrated Logistics...……………………...35 4 Long Term Contracts Backlog………….14 4
Slide 4: Our Journey
ADNOC Classification: Internal Our Journey 2016 Expanded Integrated Logistics ▪ Launched ILSP ▪ Expanded into Jack-Up Barges (JUBs) and new markets ▪ Acquired largest warehouse in UAE CREATION OF ADNOC L&S Realized merger synergies Delivered accretive Shipping growth plan for Borouge VIA INTEGRATION
Slide 5: ADNOC Group's Growth Strategy
ADNOC Classification: Internal ADNOC Group’s Growth Strategy KEY TARGETS ADNOC’S STRATEGIC TARGETS BENEFITS FOR ADNOC L&S Transport Volumes to more than double ✓ Crude Capacity: 5mmbpd by 2027 ✓ by 2030 Expand fleet of owned ships to support ✓ Refining Capacity: 1mmbpd+ ✓ higher LNG sales ✓ Grow hyd
Slide 6: Attractive and Accretive Growth Strategy
ADNOC Classification: Internal Attractive and Accretive Growth Strategy Focused and well-defined levers for growth GROW WITH ADNOC: SERVICE NEW 1 2 EXPAND SERVICE OFFERING TO 1 2 GROWTH AND EXPAND SERVICE CAPTURE ADITIONAL BUSINESS WITH OFFERING EXISTING CLIENTS ▪ Delivering additional value in exis
Slide 7: Investment case
ADNOC Classification: Internal Investment case A mission-critical energy logistics service provider to ADNOC, the UAE and the world Visible long-term Financial strength & revenue streams poised for growth Underpinned by up to 25 yrs agreements with ADNOC Strong balance sheet, prudent leverage policy
Slide 8: Strategic Growth Investments
ADNOC Classification: Internal Strategic Growth Investments1 2022 2023 2023 2024 2025 YTD • ZMI Acquisition • 4x VLCCs delivered • Navig8 Acquisition • Navig8 Acquisition Closed (Jan) including: • 15x MR + 1x MR • 6x LNG Carriers ordered; • 8x JUBs delivered (6x • 8 – 10x LNG Carriers newbuild 5x co
Slide 9: Growth Investment Outlook & Funding Plan
ADNOC Classification: Internal Growth Investment Outlook & Funding Plan Delivering a transformational growth strategy to benefit all stakeholders US$ 5.0bn Organic Investment Committed1 Approx. US$ 7.0bn CAPEX Evolution and US$ 1.49bn Inorganic Investment Inorganic Investment 1,384 1,862 1,294 US$ 3
Slide 10: Navig8 Transaction Overview
ADNOC Classification: Internal Navig8 Transaction Overview Acquisition of 80% in Navig8 TopCo Holdings Inc. with a path to full ownership in 2027 ▪ Global maritime operator with commercial shipping pools and a fleet of 32x high quality, modern tankers ▪ Service offerings include bunkering, technical
Slide 11: Business Segments Structure Post Navig8 Integration
ADNOC Classification: Internal Business Segments Structure Post Navig8 Integration Segments Integrated Logistics Shipping Services Owned vessels Offshore Contracting 1 Tankers4 Onshore Services TC-in vessels Sub-segments Marine Services Offshore Services 2 Gas Carriers Bunkering (Integ8) Dry-bulk &
Slide 12: Navig8 Overview
ADNOC Classification: Internal Navig8 Overview Establishes ADNOC L&S immediately as a global force in maritime energy transportation Shipping operations Shipping services Technical Commercial Owned vessels TC-in vessels Management & Bunkering pools agency Young and high-quality, modern and eco- Leas
Slide 13: Navig8 Acquisition - Rationale
ADNOC Classification: Internal Navig8 Acquisition - Rationale ADNOC L&S GCC operations: Navig8 delivers ADNOC L&S’ offering on a global scale, supplemented with new valuable service offerings Key complementary services added: Fleet Fuelling Commercial Technical Crew Additional Digital services Qatar
Slide 14: L&S Total Contracted Revenue
ADNOC Classification: Internal ADNOC L&S Total Contracted Revenue Anchored by long-term contracts Segment 2025 2026-29 2030++ % of Revenue Under Long-term Contracts Integrated Logistics 2025 2026-2029 $1.9 bn $4.6 bn $2.3 bn Integrated Logistics : Mainly consists of 2025 • Offshore contracting : Mat
Slide 15: L&S Operations: Contracted vs Non-contracted
ADNOC Classification: Internal ADNOC L&S Operations Contracted vs Non-contracted operations across all three business segments Integrated Logistics Shipping Services Offshore Contracting Tankers Petroleum Port operations ILSP contracts up to 2032, Hail & Ghasha up to 2030 and ZMI JUB contracts up to
Slide 16: Shipping Revenue Analysis
ADNOC Classification: Internal Shipping Revenue Analysis Spot shipping rate exposure represents less than 27% of ADNOC L&S’s Total Revenue 2025 2026 2027 2028 2029 24% 26% 26% 24% 22% 76% 74% 74% 76% 78% Spot shipping exposure revenue Other Revenue Contracted Revenue: Timeline of Confirmed Contract
Slide 17: 2024 Results Highlights
ADNOC Classification: Internal 2024 Results Highlights 17
Slide 18: Executive Summary FY 2024
ADNOC Classification: Internal Executive Summary FY 2024 FY 2024 Key Financial Highlights $3,549 m $1,149 m $756 m Revenue up EBITDA up Net profit up 29% YoY 31% YoY 22% YoY $1,384 m1 $185 m FY2024 FCF up CAPEX 313% YoY FY 2024 Key Business Highlights & Milestones ▪ Continued profitable expansion in
Slide 19: FY 2024 Results Highlights
ADNOC Classification: Public ADNOC Classification: Internal FY 2024 Results Highlights ADNOC L&S continues to deliver outstanding profitable growth ▪ Revenue US$3,549 million up 29% YoY supported by exceptional performance across all 2024 Profitability Summary vs Guidance business segments (YoY grow
Slide 20: Financial Summary & KPIs
ADNOC Classification: Public ADNOC Classification: Internal Financial Summary & KPIs Strong growth metrics supported by value-adding investments and continuous efficiency enhancements FY 23 FY 24 YoY % Q4 23 Q4 24 YoY% Q3 24 QoQ % 2024 Financial Highlights (US$ millions) Income Statements: Revenue 2
Slide 21: Integrated Logistics – Financials
ADNOC Classification: Public ADNOC Classification: Internal Integrated Logistics – Financials Strong revenue and profitability growth driven by expansion in overall activity levels Revenue (US$ Million) EBITDA (US$ Million) US$m FY 23 FY 24 YoY % US$m FY 23 FY 24 YoY % Offshore Contracting 975 1,108
Slide 22: Integrated Logistics: Offshore Contracting
ADNOC Classification: Public ADNOC Classification: Internal Integrated Logistics: Offshore Contracting Strong growth across offshore contracting operational activities Number of Vessels & Utilization (%) Number of Jack-Up Barges2 & Utilization (%) Number of Vessels Utilization Rate Number of JUBs Ut
Slide 23: Integrated Logistics: Offshore Services & Projects
ADNOC Classification: Public ADNOC Classification: Internal Integrated Logistics: Offshore Services & Projects Continue to deliver growth across key activities Offshore Services: Number of Vessels & Utilization Offshore Projects: EPC1 Contract Update Number of Vessels Utilization Rate G-Island Proje
Slide 24: Shipping - Financials
ADNOC Classification: Public ADNOC Classification: Internal Shipping - Financials Robust charter rates in Tankers and Dry Bulk, coupled with expansion of our VLCC fleet Revenue (US$ Million) EBITDA (US$ Million) US$m FY 23 FY 24 YoY % US$m FY 23 FY 24 YoY % Tankers 407 517 +27% Tankers 159 240 +51%
Slide 25: Shipping: Operational Highlights
ADNOC Classification: Public ADNOC Classification: Internal Shipping: Operational Highlights Continue to deliver strong revenue growth Number of Vessels1 Number of Chartered-in Vessels Time Charter Equivalent (US$)4 Number of Owned Utilization Rate Vessels -7% +5% +13% -18% +2% >99% >99% 141 131 4,8
Slide 26: Shipping: Benchmark TCE rates & Outlook
ADNOC Classification: Public ADNOC Classification: Internal Shipping: Benchmark TCE rates & Outlook Tanker TCE Rates (US$/day) Orderbook as % Average % of Fleet 15- % of Fleet 20+ of existing fleet Age 19 Years years 350,000 MR Clean Products VLCC MR (25,000 – 39,999 300,000 17% 13 30% 14% dwt) US$/
Slide 27: Services
ADNOC Classification: Public ADNOC Classification: Internal Services EBITDA and Net Profit growth driven by increased volumes in petroleum ports and onshore terminal operations Financials (US$ Million) Outlook ▪ Consistent performance under long-term contracts, complemented by new US$m FY 23 FY 24 Y
Slide 28: Cash Flow Profile
ADNOC Classification: Public ADNOC Classification: Internal Cash Flow Profile Continued strong free cash flows boost financial strength for future expansion Free Cash Flow Evolution (US$M) Commentary 1,149 CASH FLOW 996 ▪ Strong free cash flow driven by strong growth in core -80 -73 businesses and p
Slide 29: Sustainability Strategy
ADNOC Classification: Public ADNOC Classification: Internal Sustainability Strategy Sustainability abatement opportunities 2024-2050 and case studies Technical assessment & opportunities ADNOC L&S Shipping Fleet Carbon Intensity (AER1) Potential Abatement projects in our shipping segment 2024-2050 1
Slide 30: Segmental 2025 & Medium-Term Outlook
ADNOC Classification: Internal Segmental 2025 & Medium-Term Outlook Revenue Guidance EBITDA Guidance 2025: Low single-digit YoY growth 2025: High single-digit YoY growth Integrated Logistics MT: Low single-digit reduction MT: Low single-digit growth Offshore Contracting 2025: Higher material handlin
Slide 31: Group 2025 and Medium-Term Outlook
ADNOC Classification: Internal Group 2025 and Medium-Term Outlook FY 2025 Growth1 Medium-term CAGR Growth2 Consolidated Revenue Mid to high 40%s YoY growth Low single-digit growth Consolidated EBITDA High teens YoY growth High single-digit growth Consolidated Net Profit Low double-digit YoY growth H
Slide 32: Appendix
ADNOC Classification: Internal APPENDIX
Slide 33: Sustainability
ADNOC Classification: Internal Sustainability We are investing today in sustainable assets, and adopting environmentally efficient 2045 Ambition technologies to support ADNOC Group’s Net Zero by 2045 ambition, the UAE’s Net Zero 2050 strategy, and the IMO Net Zero target. NET ZERO 2023 RECORDS 24% $
Slide 34: Health, Safety & Environment: ADNOC L&S' Leading Principle
ADNOC Classification: Public ADNOC Classification: Internal 100% Health, Safety & Environment: ADNOC L&S’ Leading Principle Continued strong focus on health & safety KPIs Outstanding Health & Safety Track Record Leading With Innovation AI-enabled Integrated Logistics Management Lost Time Incident Fr
Slide 35: Integrated Logistics Model
ADNOC Classification: Internal Integrated Logistics Model Our Integrated Logistics Services Platform (ILSP) reduces the complexity of our customers’ vast range of logistics requirements through one system, reducing project logistics costs, with customers being invoiced in a unique, cost-per-ton form
Slide 36: Symbiotic Relationship with ADNOC as Anchor Customer
ADNOC Classification: Internal Symbiotic Relationship with ADNOC as Anchor Customer Key player in the ADNOC eco-system and service provider of choice to ADNOC Offshore ADNOC as anchor customer ILSP – Provider to Petroleum accounting for >70% of 10 years2 Ports Authority contract – revenue 25 years3
Slide 37: Innovation & Technology
ADNOC Classification: Internal Innovation & Technology ADNOC L&S leverages AI and other advanced technologies to enhance operational efficiency and safety. Initiatives like the "Smart Ship" predictive maintenance solution exemplify the company's innovation efforts. The company is committed to utiliz
Slide 38: Thank You
ADNOC Classification: Internal THANK YOU www.adnocls.ae IR@adnocls.ae ADNOC Logistics & Services
ADNOC Logistics & Services — Investor Presentation (February 2025) on 6ix