Abu Dhabi’s ADNOC Drilling reported a net profit exceeding $1 billion for 2023, up by 29% year-on-year (YoY).

Total net profit for the year stood at $1.033 billion, up by nearly a third from the prior year, the company said in a statement on the Abu Dhabi Securities Exchange (ADX) on Monday. It had previously anticipated a record net profit of $850 million to $1 billion for 2023.

Revenue for the full year went up by 14% to $3.057 billion.

The company attributed the positive results to the growth in its fleet and oilfield Services.

“Our ambitious fleet expansion strategy, coupled with the accelerated growth of Oilfield Services, has delivered exceptional bottom-line performance, beyond the expectations of the market”, said Abdulrahman Abdulla Al Seiari, CEO of ADNOC Drilling.

Quarterly results, new targets

ADNOC Drilling also delivered a net profit of $329 million during the fourth quarter of 2023, up by 41% from a year earlier, while quarterly revenue reached $841 million, up by 15% year-on-year (YoY).

With the strong results, the company expects to achieve a net profit of $1.05 billion-$1.25 billion and total revenue of $3.6-$3.8 billion for this year.

The Board of Directors has also recommended a final cash dividend of $358 million or 8.22 fils per share, representing a 5% increase from 2022.

Last year, the company added 14 new drilling units, including four lease-to-own land rigs, establishing one of the world’s largest owned and operated fleets consisting of 129 rigs.

By the end of 2024, the company expects its owned rig count to reach a total of 142, including the four new lease-to-own land rigs.

(Writing by Cleofe Maceda; editing by Brinda Darasha)