AD Ports Group, a global enabler of integrated trade, transport, industry, and logistics solutions, said its growth story continued in the first half of 2025 with double-digit top-line growth recorded in both Q2 and H1 2025, driven by the Ports, Economic Cities & Free Zones (EC&FZ), and Maritime & Shipping clusters.
AD Ports Group’s Q2 revenue surged 15% YoY (Year-on-Year) to AED4.83 billion ($1.32 billion) in Q2 2025, driven by the Ports, Economic
Cities & Free Zones, and Maritime & Shipping clusters.
Quarterly Group EBITDA increased 9% YoY to AED1.17 billion, with Group EBITDA margin standing at 24.2% in Q2 2025.
Profit before tax reached AED519 million, up 5% YoY, primarily due to the effect of higher depreciation and amortisation charges and finance costs while total net profit was relatively flat at AED445 million because of higher income tax.
As supply chains continue to recalibrate, the group’s integrated five-cluster ecosystem, anchored by a robust asset base and end-to-end service capabilities, continues to demonstrate both resilience and adaptability in volatile and disruptive times. This has enabled the group to respond swiftly to shifting cargo flows and to capitalise on new trade opportunities across our strategic focus regions: the Middle East, Red Sea, Europe, Africa, Indian Subcontinent, Central Asia, and Southeast Asia, said AD Ports.
The group continues to focus on long-term investments in infrastructure assets through the Ports and Economic Cities & Free Zones clusters, while the Maritime & Shipping, Logistics, and Digital clusters provide critical support in creating a network effect, improving connectivity to the Group’s key markets, and adapting to evolving market dynamics.
While the Red Sea situation continues to pose a risk to global trade, the group has been able to mitigate adverse impacts and, in fact, has capitalised on increased demand for both reliable passage through the Red Sea and alternative trade routes. Recent commercial progress in markets like Egypt and Central Asia shows the Group’s commitment to investing along existing and emerging trade routes. In parallel, ongoing policy shifts such as new US tariffs have added further complexity to global trade flows. The potential impact of US tariffs remains under close watch, though current announcements have not resulted in material effects as disclosed in the strong set of operational performance delivered year-to-date, it said
The Group’s underlying operational performance was strong across the Ports, Economic Cities & Free Zones (EC&FZ), and Maritime & Shipping clusters, which all together constituted over 90% of total Q2 2025 EBITDA. In Ports, quarterly container throughput soared 17% YoY while general cargo volumes increased 13% YoY. CMA Terminal in Khalifa Port, which started commercial operations just at the beginning of 2025, saw impressive container throughput performance with a quarterly utilisation of 80% (62% year-to-date). In EC&FZ, another 600,000 sq m of land were leased in Q2 2025, bringing the total land leases year-to-date to 1.6 sq km, while utilisation in the staff accommodation business, Sdeira Group, made another leap to 80% vs. 63% in Q2 2024, and 75% in Q1 2025. In the Maritime & Shipping cluster, container feeder shipping volumes rose 34% YoY, while the bulk, multipurpose, and Ro-Ro shipping vessel fleet reached 34 as of Q2 2025, up from 28 at the same period a year earlier. Marine services fleet also expanded meaningfully, with 74 vessels as of Q2 2025, up from 65 in Q2 2024.
In Q2 2025, AD Ports Group further reinforced its ESG leadership through ongoing sustainability efforts. The group signed a milestone collaboration agreement with Masdar, Advario, and CMA CGM Group to explore building an e‑methanol bunkering and export facility at Khalifa Port and KEZAD - an initiative key to accelerating the decarbonisation of global maritime transport through sustainable fuel infrastructure. The group’s commitment to sustainable maritime operations was also reinforced with Noatum Maritime’s acquisition of the GCC’s first all-electric hydrofoil pilot boat, and the purchase of two fully electric tugboats. Additionally, the group, together with New York University Abu Dhabi (NYUAD), completed a three-year coral conservation and research project, which explored global coral relocation case studies to develop best practices tailored to the Arabian Gulf's unique environment.
Steady operating profit growth, stable balance sheet, declining capex intensity, and strong generation of cash flow from operations resulted in positive free cash flow to the firm for the quarter and year-to-date, it said.
Other financial highlights:
* EPS for the quarter stood at AED 0.07, flat YoY.
* With marginal increase in net debt and continued strong liquidity position, Net Debt/EBITDA has been relatively stable for the past three quarters at 4.1x, but improved significantly YoY from 4.9x in Q2 2024.
* CapEx in Q2 2025 reached AED928 million, with majority of cash outlays going into Maritime & Shipping, Economic Cities & Free Zones, and Ports assets. Capex intensity continued to decline, reaching 19% of group revenue in Q2 2025, vs. 28% in Q2 2024.
* Given the strong operating profit performance and with a cash conversion of 97% for the quarter, operating cash flow reached AED1.14 billion in Q2 2025, almost doubling from the same period a year earlier. As a result, free cash flow to the firm (FCFF) was positive for the quarter and year-to-date.
Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO, said: “The holistic core of AD Ports Group’s five-cluster business model delivered sustainable growth for its shareholders once again in a challenging macroeconomic and geopolitical environment, as strong results from our Ports, Economic Cities & Free Zones, and Maritime & Shipping clusters drove Q2 gains in overall Group revenue and operating profit.
"As global cargo flows continued to shift against a backdrop of regional conflicts and tariff volatility, the strategic flexibility of AD Ports Group’s synergistic business structure kept our value-enhancing international expansion on course, allowing us to mitigate adverse external factors, while capitalising on opportunities in dynamic regions such as the Red Sea, and along emerging alternative trade corridors we are developing such as in Central Asia.
"While reduced geopolitical and macroeconomic visibility is expected to continue in the second half of the year, so too is the long-term profitable nature of our value-enhancing internationalisation, which, in line with the vision of our wise leadership in the UAE, and despite all temporary obstacles, is positioning AD Ports Group as a leader in sustainable trade, transport, logistics, and economic development,” Captain Al Shamisi said. - TradeArabia News Service
