AD Ports Group reported record second-quarter results for 2026, with strong growth in its Maritime & Shipping business and higher freight rates helping offset significant disruption to UAE port volumes stemming from conflict in and around the Strait of Hormuz.
The Abu Dhabi-based ports, shipping and logistics group reported Q2 revenue of AED 7.08 billion ($1.93 billion), up 47% year-on-year, while EBITDA increased 49% to AED 1.74 billion. Total net profit climbed 88% to AED 836 million.
The results came despite sharp declines in cargo volumes at the group's UAE ports. UAE container throughput fell 65% year-on-year to 573,000 TEU, while bulk and general cargo volumes declined 67% to 3.1 million tonnes as Strait of Hormuz disruptions affected normal trading patterns. Ports Cluster revenue consequently fell 17% to AED 609 million, while EBITDA declined 23% to AED 234 million.
AD Ports responded by expanding alternative supply chains through UAE East Coast facilities outside the Strait. Cargo and feeder services were rerouted through Fujairah Terminals and Khor Fakkan Port, supported by new road, rail and air connections and additional warehousing.
The group deployed 27 container vessels and five bulk carriers on alternative corridors connecting India, Pakistan, Oman, the Red Sea and Upper Arabian Gulf. It also added 400 trucks and increased services with Etihad Rail.
Maritime & Shipping emerged as the group's primary earnings engine, accounting for 53% of quarterly revenue. Cluster revenue jumped 62% to AED 3.82 billion, while EBITDA rose 79% to AED 1.03 billion.
Container feeder volumes declined 11% year-on-year to 740,000 TEU, but the decline was more than offset by higher freight rates. Average rates on Gulf/Indian Subcontinent services surged 96% year-on-year, while Red Sea rates increased 37%. The group's bulk, multipurpose and Ro-Ro fleet reached 72 vessels at quarter-end, double the 36 vessels operated a year earlier.
Expansion continued during the quarter. AD Ports completed a $300 million acquisition of an additional 30% stake in Global Feeder Shipping, increasing its ownership to 81%, while Safeen Drydocks secured two vessel construction contracts totaling AED 1.3 billion.
The group also announced its largest acquisition to date, agreeing to acquire Brazilian agri-bulk terminal operator Corredor Logística e Infraestrutura for an enterprise value of AED 3.1 billion ($835 million), establishing a strategic foothold in Brazil. A separate AED 300 million acquisition of Germany-based MBS Logistics is expected to close in Q4.
Net debt ended June at AED 22.73 billion, although net leverage improved to 3.7x from 4.1x a year earlier.