Abu Dhabi, August 11, 2026, 14:10 GST — ADNOC Logistics & Services (ADNOC L&S) shares climbed 3.9% following a fourfold increase in second-quarter profit and an upgraded guidance.
- Shares of ADNOC L&S climbed 3.9% following a quarterly net profit of $917 million.
- Management has raised its 2026 net profit growth forecast to over 110%, an increase from the previous projection of over 60%.
- The company’s profit for the first half is 32% higher than its total for 2025.
- Freight charges are buoying profits, yet regional instability continues to pose a key threat.
ADNOC Logistics & Services ADX:ADNOCLS upgraded its 2026 forecast for the third time, after second-quarter net profit soared fourfold to $917 million. The stock rose 3.9% at the open in Abu Dhabi.
The reset surpasses the movement in headline shares. Management has updated its outlook and now anticipates net profit to increase by over 110% this year, up from its earlier guidance of growth greater than 60%.
This suggests profit in 2026 to exceed $1.81 billion, calculated from the $863 million reported for 2025. The company has already generated $1.14 billion over the first two quarters.
| Net profit | 2026 | 2025 comparison | Change |
|---|---|---|---|
| Q1 | $222 million | $185 million | up 20% |
| Q2 | $917 million | $228.8 million | up 300% |
| H1, calculated | $1.139 billion | $413.8 million | increased by 175% |
| FY 2025 | — | $863 million | H1 2026 exceeds by 32% |
The half-year data reflects the company’s disclosed first quarter and the second quarter published on Tuesday. The 2025 full-year baseline is sourced from ADNOC L&S.
Shipping bears the brunt, as elevated charter rates and unprecedented activity counteract disturbances near the Strait of Hormuz. Long-term agreements also help mitigate certain volume risks.
In May, Captain Abdulkareem Al Masabi, the chief executive, highlighted that buffer. “Our global scale, long term contracted revenue base and integrated portfolio underpinned our resilience.” ADNOC L&S
| 2026 measure | New view | Previous view |
|---|---|---|
| Revenue growth | Mid-20% range | Low single-digit growth |
| Net profit growth | Over 110% | Over 60% |
| Net debt / EBITDA | 2.0–2.5 times | Target unchanged |
| Q2 dividend | 4.23 fils per share | Annual DPS growth commitment of at least 5% upheld |
The company attributed its revised forecast to ongoing robust conditions in shipping markets. Annual results remain subject to regional dynamics, with leverage and dividend policies unchanged.
The reaction in equities was notable. Abu Dhabi’s benchmark index slipped 0.3%, even as ADNOC L&S traded higher. Meanwhile, Brent crude added 1.6%, reaching $89.12 per barrel in the session.
| Tuesday market signal | Move | Read-through |
|---|---|---|
| ADNOC L&S | +3.9% early | Reaction to earnings and outlook |
| Abu Dhabi index | -0.3% | Market-wide decline |
| Brent crude | +1.6% to $89.12 | Premium due to regional risks |
Reuters noted a 2% increase during an earlier session and a 3.9% advance in a subsequent earnings report, both indicating significant outperformance compared with the local benchmark.
Analyst sentiment on Wall Street was positive ahead of the results, with the consensus 12-month price target averaging 7.20 dirhams among 15 analysts.
| Analyst positioning | Count or value |
|---|---|
| Buy | 13 |
| Hold | 2 |
| Sell | 0 |
| Average target | AED 7.20 |
| Target range | AED 6.15–8.39 |
The consensus figures reflected information available prior to Tuesday’s report and could shift. Analysts had issued 13 buy recommendations, two hold ratings, and no sell ratings.
Fleet investments add another layer to the earnings surge. ADNOC L&S has allocated around $2.3 billion for vessel acquisitions and newbuilds this year.
Last week, the company reached a deal to acquire 11 major crude and gas carriers for $1.3 billion. The purchase will expand its VLCC fleet to 14 ships and increase its VLGC fleet to 12.
An additional $900 million contract has been awarded for four LNG carriers scheduled for delivery in 2029. Al Masabi stated the order demonstrates “confidence in the strong fundamentals of the LNG shipping market.” ADNOC L&S
Risks: Robust charter rates may decline if shipping routes stabilize. Tensions in the region could interrupt vessel movements, drive up insurance premiums, and lower offshore utilization. Capital investments increase balance-sheet risk should rates decrease.
The estimate revision is the upcoming test. First-half profit stands at $1.14 billion, equating to 63% of the updated guidance minimum. Investors are looking for proof that strong shipping performance will persist in the second half.
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