ADNOC Drilling has reported its strongest-ever first-quarter performance, supported by high fleet utilization, growth in integrated drilling services and long-term contract coverage across its operations.
The UAE-based drilling contractor posted first-quarter revenue of $1.23 billion, up 5% year-on-year, while net profit rose 2% to $347 million.
Free cash flow increased 12% to $356 million during the quarter, while return on equity stood at 33%.
ADNOC Drilling said operational performance was supported by high activity levels, disciplined execution and technology-enabled delivery across its fleet.
“Following our strongest year on record in 2025, we have delivered a resilient and disciplined start to 2026.
“This performance reflects the strength of our integrated drilling and energy services model, supported by long-term contracts, high utilization and consistent execution,” said Abdulla Ateya Al Messabi, ADNOC Drilling’s CEO.
The company said it approved a first-quarter dividend of $262.5 million, expected to be paid in early June.
ADNOC Drilling also highlighted continued regional expansion during the quarter, including the consolidation of SLDC and completion of its MB Petroleum Services transaction earlier in May.
The company said its regional rig fleet now totals 170 rigs across the Gulf Cooperation Council region, making it one of the largest drilling fleets globally and the largest in the Middle East and North Africa.
In its segment breakdown, ADNOC Drilling reported onshore revenue of $477 million, offshore revenue of $345 million and oilfield services revenue of $406 million.
The offshore revenue was driven by two new jack-ups starting operations in the second half of 2025, and two rig conversions from onshore to offshore. The company added the two new AI-enabled island rigs arrived from China during the quarter and are expected to gradually enter operation in the second half of 2026.
ADNOC Drilling maintained its full-year 2026 guidance, forecasting around $5 billion in revenue and net profit of $1.45 billion to $1.50 billion.
The company said it aims to deploy about 70 integrated drilling services rigs by the end of 2026 as it continues to expand its oilfield services business.
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