Riyadh, Saudi Arabia — ADES Holding Company has posted SAR 452 million ($120 million) profit before minority interest in 2023, compared to SAR 398 million in 2022.
The increase in net profit is a result of the revenue growth by 75.6 percent year-on-year (YoY) to SAR 4.33 billion, Argaam reported.
This strong performance was driven by several factors, including the group’s latest acquisition in Saudi Arabia completed in Q4 2022. ADES added four operational rigs to the company’s portfolio and deployed 14 rigs out of the 19 contracts from Aramco mega project—marking a substantial increase compared to the two-rig contribution during 2022, Argaam reported.
ADES also noted the full-year revenue contribution from the three rigs acquired in Qatar, in contrast to their seven-month contribution in the previous fiscal year.
Furthermore, higher utilization rates in Saudi Arabia and Egypt, coupled with elevated effective daily rates, further fueled revenue growth.
Lastly, the onshore segment benefited from the addition of six rigs from newly awarded contracts in Kuwait and Algeria, contributing to the overall robust performance in 2023, according to Argaam.
In Q4 2023, net profit fell 24 percent YoY to SARÂ 169 million from SAR 222.3Â million in Q4 2022.
On a sequential basis, the bottomline doubled from SAR 83.87 million in Q3 2023.
Shareholders’ equity, no minority interest, reached SAR 5.74 billion as of Dec. 31, 2023, up from SAR 2.22 billion a year earlier.