FY’23 net income of SAR 605mn, +25% higher YoY compared to adjusted net income of SAR 484mn
Al-Khobar, Saudi Arabia headquartered Arabian Drilling, one of the largest national onshore and offshore drilling contractors in the Kingdom, announced its financial results for Q4’23 and Full Year ended 31 December 2023 with an all-time high record revenue of SAR 987mn and SAR 3,477mn, respectively, according to a press communique.
Arabian Drilling closed Q4’23 with a consolidated quarterly revenue of SAR 987mn, representing a +7% sequential increase due to the full contribution of the three new jackups that started in Q3’23 (AD130/140/150), lower Non-Productive Time (‘NPT’) as well as higher rig move revenue recognized in December 2023.
For the 12-month period, Arabian Drilling achieved a consolidated revenue of SAR 3,477mn, representing a +29% increase YoY, driven by higher rig activity, with a +11% YoY increase and higher day rates specifically in the Offshore Segment.
Offshore fleet expansion
“We delivered significant wins in 2023 including the completion of the offshore fleet expansion and the strategic positioning in Unconventional Gas, with 13 unconventional rig contracts awarded to Arabian Drilling to date. As we start taking delivery of the rigs, our focus is on the safe commissioning, deployment and start-up of the 10 rigs by Q3’24,” affirmed Ghassan Mirdad, Chief Executive Officer, Arabian Drilling.
“We delivered a strong financial performance with revenue at the top of our guidance range. The deployment of our three jackups in the summer of 2023, combined with an improved service delivery performance in Q4’23, has accelerated our ability to generate profit and cash. We also delivered for our shareholders with SAR 450mn returned through dividends for FY’23,” asserted Hubert Lafeuille, Chief Financial Officer, Arabian Drilling.
