Adnoc Drilling has reported a record 2025 full-year net income as growth across its businesses drove revenue higher, putting the company on track to exceed last year’s performance in 2026.
Net profit for the 12 months to the end of December jumped 11 per cent to $1.45 billion, the biggest drilling company by rig count in the Middle East said on Thursday in a filing to the Abu Dhabi Securities Exchange, where its shares are traded.
Revenue for the reporting period for the Abu Dhabi National Oil Company unit surged 22 per cent on an annual basis to $4.9 billion. Earnings before interest, tax, depreciation and amortisation (Ebitda) − a key metric of profitability – at the end of December climbed 9 per cent on an annual basis to $2.2 billion.
“2025 was a defining year for Adnoc Drilling … [as] our resilience as a business, built on strong systems, disciplined operations and the ability to adapt at pace, continues to reinforce our competitive strength,” said chief executive Abdulla Al Messabi.
“Through execution excellence, technology‑led efficiency and a disciplined approach to capital allocation and operations, we continue our transformation into the region’s most advanced energy services company.”
The company remains focused on expanding its operations across Gulf countries as it looks to unlock value and power the UAE’s energy future.
“This is just the beginning of a new era of growth, innovation and impact,” Mr Al Messabi added.
Adnoc Drilling's net income for the fourth quarter of last year reached $389 million, a 3 per cent year-on-year drop but a 6 per cent quarter-on-quarter rise.
Revenue for the October-December period climbed 7 per cent to $1.27 billion.
The company’s board recommended a dividend of $250 million for the fourth quarter, bringing 2025 financial year dividends to $1 billion. The annual dividend floor is set at $1.05 billion for 2026, the company said.
Business performance
Adnoc Drilling attributed record profitability and cash generation in 2025 to company’s “sustained rig utilisation, resilient long-term contracts and accelerated adoption of AI-powered technologies across the fleet”.
The company said its free cash flow and visible revenue has enabled it create shareholder returns, while supporting its parent Adnoc’s production capacity growth through faster well delivery, lower unit costs and advanced technology deployment.
Adnoc Drilling’s Onshore unit delivered 8 per cent year-on-year revenue growth to $2.04 billion, while its Offshore unit hit 6 per cent revenue growth to $1.4 billion, largely driven by conversion of two rigs from onshore to offshore during the year.
The full-year revenue of Adnoc Drilling’s oilfield services unit surged 80 per cent year on year to $1.46 billion on the back of increased activity volume.
Expansion push
Adnoc Drilling secured over $5 billion in new contract awards in 2025, including a five-year $1.63 billion deal for integrated drilling services and a $1.15 billion contract for two jack-up rigs, both from Adnoc Offshore.
It has also won an $800 million contract from Adnoc Onshore for the provision of integrated hydraulic fracturing services for conventional and tight reservoirs.
These contracts extend revenue visibility through 2040, which the company on Thursday said reflects “strong customer confidence in Adnoc Drilling’s scale, execution quality and ability to deliver complex projects safely and efficiently over the long term”.
The UAE and wider gulf countries remain some of the most attractive and strategically important markets for integrated energy services, the company said.
The Abu Dhabi company strengthened its regional presence with several deals including a joint venture agreement with global oilfield services company SLB in May for its land drilling rigs business in Kuwait and Oman, as it continued to push its footprint beyond the UAE.
The company also teamed up with Alpha Dhabi Holding to launch Enersol, a technology-focused venture with the aims to invest $1.5 billion in technology-driven companies in the oilfield services sector.
Adnoc Drilling is the largest integrated drilling services company in the Middle East by fleet size. It owned 142 rigs by the end of 2024, with three island rigs on order for 2026. The company expects to grow the rig count to at least 148 by the end of 2026, and to 151 by 2028.
In October, the company announced a dividend distribution floor of Dh25 billion by 2030, representing a 26 per cent minimum cumulative dividend return – part of the Adnoc group's plan to distribute Dh158 billion in dividends across its six publicly listed companies by the end of this decade.
Adnoc Drilling also said it is rapidly advancing its unconventional energy programme, with strong early results from initial wells in the Ruwais Diyab Concession.
