AD Ports Group experienced a notable 116% YoY revenue growth in the first nine months of 2023, raising the EBITDA by 30% YoY and net profit by 14% YoY. Significant financial advancements such as a US$2 billion corporate facility and landmark acquisition of 100% of Noatum showed the Group’s ambition for expansion and growth.
Not only did AD Ports Group focus on global economic expansion, but it also underlined its commitment to sustainability, earning international recognition. Globally acclaimed for its net-zero strategy, it received accolades, including the Best Sustainability Initiative Award and a United Nations award for investment in renewable energy.
Chapter 1: Significant Progress and Expansion for AD Ports Group in 2023
As a key player in trade and logistics on a global level, AD Ports Group significantly reinforced its status in 2023. The Group witnessed a stunning 116% growth YoY in revenue over the first three quarters, along with an EBITDA hike of 30% YoY to about US$590 million. Net profit jumped 14% YoY to approximately US$291 million during the same period.
This year proved not only to be profitable but also transformative for the Group, with significant investments made for future expansion. An impressive US$2 billion corporate facility was secured through a syndicate of 13 banks in April. 2023 began with the successful launch of the brand-new Aqaba Cruise Terminal in Jordan and concluded with a confirmed concession agreement with the Red Sea Ports Authority (RSPA) for a multi-functional terminal at Safaga Sea Port.
The global reach of AD Ports Group significantly increased this year as well thanks to strategic alliances and partnerships. Under the Group’s strategy for Africa and dedication to the strategic development in growing markets, a 30-year extendable concession agreement was signed to manage a multi-purpose terminal at the Pointe Noire Port in Congo.
Chairman of AD Ports Group, Falah Mohammad Al Ahbabi, acknowledges these accomplishments as a clear sign that traditional methodologies are no longer sufficient in the fast-paced global market.
In what is being termed a critical shift in the Group’s international growth strategy, the full acquisition of Noatum was made. Noatum is a fully integrated logistics service provider with involvement in all main markets and trade corridors.
Chapter 2: Broadening Horizons and Winning Accolades
The acquisition of Noatum resulted in the successful amalgamation of two powerful industry entities, utilising their collective strengths to form a global powerhouse in the trade and logistics arena.
In line with its commitment to enhancing vital maritime trade routes and replicating its comprehensive business model in regions with sustainable and long-term growth opportunities, the AD Ports Group forged a 50-year concession agreement with Karachi Port Trust for developing a hi-tech container terminal.
A Joint Venture, established as part of this concession agreement, will inject significant investments into infrastructure and superstructure in the subsequent decade, with a major chunk planned for 2026. The goal is to stimulate growth, encourage trade diversification, and boost the UAE-Pakistan bilateral relations.
AD Ports Group made substantial strides in 2023, evolving into one of the leading global forces in the industry and delving into new markets, says Mohamed Juma Al Shamisi, managing director and group CEO of AD Ports Group.
On the environmental front, AD Ports Group earned international recognition for its efforts in addressing climate change in sync wih the UAE’s net-zero strategy, winning the Best Sustainability Initiative Award at the ADSG Awards 2023. Additionally, its subsidiary, KEZAD Group, received the United Nations Investment Promotion Awards 2023, in appreciation of its role in attracting renewable energy and clean technology investments.
The Group’s flagship, Khalifa Port was recognized as the Port of the Year by the Maritime Standard Awards and also won a Guinness World Record for the largest shipping container logo. Moving up to the 3rd position on the 2022 Container Port Performance Index, it received distinction as the World’s and the Middle East’s Best Cruise Terminal by the World Cruise Awards, firmly establishing AD Ports Group on the global maritime map.
In a notable development, AD Ports Group hosted the 61st annual assembly of the Arab Sea Ports Federation along with the IAPH World Ports Conference in 2023, a first for the MENA region. The conference, under the banner “Reinventing Ports,” gathered industry leaders to discuss sustainable growth in the ports industry, underlining the strategic importance of Abu Dhabi.