Our focus remains on extracting synergies and properly integrating the recently acquired rigs, tendering activity and maintaining excellent customer service and asset utilization
Mohamed Farouk, chief executive
What it does
ADES International Holdings PLC (LON:ADES) currently operates a fleet of jack-up offshore drilling rigs, onshore drilling rigs, jack-up barges, and a mobile offshore production unit (MOPU), which includes a floating storage and offloading unit.
Some 60% of revenues come from offshore drilling and 40% onshore.
ADES also has a joint venture with deepwater specialist Vantage in the Med.
How it's doing
ADES achieved revenue growth of 13.4% to US$249.3mln for the first six months of 2020. Half-year underlying earnings (EBITDA) improved by 3.6% to US$93.3mln, though a normalised version of the figure – to exclude one-offs charges – shows an 11% gain to US$99.9mln.
"The group's first-half results highlight the relative resilience of ADES's markets and the strength of our business model in very challenging market conditions,” said chief executive Mohamed Farouk.
“This in part reflects the group's successful transformation over the last three years from a local, offshore-focused driller in Egypt, to a regional champion with a significant asset base across both the on- and offshore segments.
“Over the same period ADES has significantly grown revenue and delivered a threefold increase in EBITDA, strengthening its financial position,” he added.
What the boss says - CEO Mohamed Farouk
“The group's activities have not been significantly impacted by the COVID-19 pandemic to date and operations are running within the normal course of business,” the company said in its results statement.
“However, we continue to monitor the situation closely, with robust health and safety protocols and business continuity plans in place to mitigate potential risks posed by the pandemic.”