ADNOC Classification: Public
ADNOC Drilling Significantly Grows First
Half Net Profit by 34% to $379 Million and
Announces Increase of 5% for Interim
Dividend to $341 Million
Industry-leading fleet utilization of 98% and exceptional
progress on cost performance results in H1 22 EBITDA of
$580 million, up 16% year-on-year
Margin enabling fleet expansion program accelerates, with
eight new rigs added in H1 22
Board of Directors announces increased interim dividend of
$341 million, 7.83 fils per share, for the 2022 financial year,
increasing by 5% in line with progressive dividend policy
Abu Dhabi, UAE – August 9, 2022: ADNOC Drilling Company PJSC (ADNOC Drilling or the
Company) (ADX symbol: ADNOCDRILL / ISIN: AEA007301012) today announced its financial
results for the half year and second quarter ending June 30, 2022.
ADNOC Drilling’s net profit for the first half significantly grew by 34% to $379 million, while
revenue increased 13% to $1.27 billion compared to the same period last year. First half
EBITDA was $580 million, up 16% year-on-year, with a market-leading margin of 45.7%, as
the Company made exceptional progress on delivering further cost savings.
Year-on-year revenue growth was led by the Onshore segment, as ADNOC Drilling continues
to enable ADNOC’s program to significantly grow production capacity. The company’s Oilfield
Services (“OFS”) segment also achieved strong year-on-year gains.
Second quarter revenue grew 11% year-on-year to $669 million, driven primarily by the
Onshore and OFS segments. Q2 22 EBITDA increased by 7% from the previous quarter as it
climbed to $300 million for the period. Q2 22 net profit grew 17% from the previous quarter
and by 19% year-on-year, to $204 million.
• Onshore: Revenue for the first half was $702 million, up 24% on 1H 21, largely driven
by new rigs joining the fleet. Second quarter revenue was $383 million, up 33% on Q2
21. Overall operating rig days and underlying revenue in Q2 22 was higher than in the
prior corresponding period.
• Offshore Jackup: Revenue for the first half was $288 million, broadly flat vs. the prior
year. Q2 22 revenue was $144 million, down 8% vs Q2 21 due to the activity mix and
delays in the replacement of rented rigs with owned units.ADNOC Classification: Public
• Offshore Island: Revenue for the first half was $101 million, similar to 1H 21. Q2 22
revenue of $51 million was down 26% year-on-year due to accounting movements in
the prior period.
• Oilfield Services (OFS): The OFS segment performed well in the first half with
revenue of $179 million, up 14% on 1H 21, driven by higher activity from continued
expansion, with healthy margin development. Q2 22 revenue was $91 million, up 5%
year-on-year.
ADNOC Drilling reported a fleet utilization rate of 98%1 for the half year to June 30, 2022.
The Company’s bold rig fleet expansion program gained further momentum in H1 22, with
eight rigs added to the fleet. Five Helmerick & Payne FlexRigs were added in Q1 22 and sale
and purchase agreements were signed for three premium offshore jack-ups in Q2 22. The
total value of these acquistions forms part of the Company’s three-year capital expenditure
guidance of $2.5-3 billion, as well as its strategic roadmap to grow the fleet to 122 rigs by the
end of 2024.
In line with ADNOC Drilling’s sustainable and progressive dividend policy, the Board of
Directors announced an increase in the interim, half-year dividend of 5% to $341 million, 7.83
fils per ordinary share, in respect of the 2022 financial year, payable in the fourth quater. The
growth in dividend reflects ADNOC Drilling’s strong and visible future cash flow, while
providing ample headroom to invest in long-term future growth.
His Excellency Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced
Technology, ADNOC Managing Director and Group CEO, and Chairman of ADNOC
Drilling, commented: “ADNOC Drilling has continued to make strong progress in 2022
delivering on its promises to continue growing the business and maximizing returns for our
shareholders. Excellent half year results and successful strategic execution are testament to
the vital role that the Company is playing in enabling significant production capacity growth for
ADNOC as well as the UAE’s objective to achieve gas self sufficiency. As part of the previously
announced dividend policy, the Board is pleased to confirm the interim dividend per share will
reflect a 5% increase to 7.83 fils, bringing the first payment of fiscal year 2022 to $341 million.”
Abdulrahman Abdullah Al Seiari, Chief Executive Officer of ADNOC Drilling,
commented: “These results were enabled by our clear strategic objectives, the commitment
of our highly-skilled and dedicated workforce and our unwavering commitment to industry-
leading health and safety standards. Our fleet expansion program has gained real momentum
and is central to our dynamic growth strategy. The rigs we have added to our fleet in H1 22
will support us in delivering on our resolute commitments to our shareholders, including
ADNOC, as it works towards its production capacity targets and gas self-sufficiency for the
UAE.”
1Utilization rate based on rig availability - Cumulative of (Rig days less actual maintenance days less rig related non-productive
time less actual rig move days) divided by Cumulative of (Rig days less planned maintenance days less planned rig move
days).
2Capital expenditure – Payments for purchase of property and equipment as per cash flow statement.
3Cash from Operating Activities – Net profit for the period adjusted for non cash items and working capital changes as per cash
flow statement.ADNOC Classification: Public
ADNOC Drilling’s bold fleet expansion program enables the Company to support a growing
number of world-scale projects in the UAE, as evidenced by a number of significant contract
awards in recent weeks. On July 27, ADNOC Drilling was awarded $2 billion in contracts for
offshore drilling units and Integrated Drilling Services (“IDS”) to support the delivery of
ADNOC’s Ghasha offshore gas mega project. On August 5, the company confirmed the
agreement of contracts to the value of an additional $3.4 billion for 8 high-specification
premium jack-up rigs to support ADNOC Offshore drilling operations.
Key Financial Metrics
Q2 Q2 % %
USD Millions HY22 HY21
2022 2021 Change Change
Revenue 669 601 11% 1,270 1,123 13%
EBITDA 300 292 3% 580 500 16%
Net Profit 204 172 19% 379 282 34%
Earnings per share
0.013 0.011 18% 0.024 0.018 33%
(USD/share)
Capital Expenditure2 (207) (148) 40% (285) (283) 1%
Cash from Operating
205 291 -30% 818 479 71%
Activities3
-ENDS-
About ADNOC Drilling
ADNOC Drilling, listed on the Abu Dhabi Securities Exchange (ADX symbol “ADNOCDRILL”;
ISIN AEA007301012), is the largest national drilling company in the Middle East by rig fleet size, as well
as the sole provider of drilling rig hire services and certain associated rig-related services to ADNOC
Group. The company is a critical link in ADNOC’s upstream business, as ADNOC continues to move
towards its oil production capacity targets enables gas self-sufficiency for the UAE. ADNOC Drilling is
also the first national Integrated Drilling Services (IDS) company in the region, offering start-to-finish
wells and services that encompass the entire drilling value chain. To find out more,
visit: www.adnocdrilling.ae
For media inquiries please contact:
Iain Cracknell
Vice President, Corporate Communications
+971 58 527 4692
For investor inquiries please contact:
Nicolas Robert
Vice President, Investor Relations
+971 58 584 1672
1Utilization rate based on rig availability - Cumulative of (Rig days less actual maintenance days less rig related non-productive
time less actual rig move days) divided by Cumulative of (Rig days less planned maintenance days less planned rig move
days).
2Capital expenditure – Payments for purchase of property and equipment as per cash flow statement.
3Cash from Operating Activities – Net profit for the period adjusted for non cash items and working capital changes as per cash
flow statement.

Sentiment: positive