Targeted delivery of small‐molecule drugs via covalent attachments to monoclonal antibodies has proved successful in clinic. For this purpose, full‐length antibodies are mainly used as drug‐carrying vehicles. Despite their flexible conjugation sites and versatile biological activities, intact immunoglobulins with conjugated drugs, which feature relatively large molecular weights, tend to have restricted tissue distribution and penetration and low fractions of payloads. Linking small‐molecule therapeutics to other formats of antibody may lead to conjugates with optimal properties. Here, we designed and synthesized ADP‐ribosyl cyclase‐enabled fragment antigen‐binding (Fab) drug conjugates (ARC‐FDCs) by utilizing CD38 catalytic activity. Through rapidly forming a stable covalent bond with a nicotinamide adenine dinucleotide (NAD+)‐based drug linker at its active site, CD38 genetically fused with Fab mediates robust site‐specific drug conjugations via enzymatic reactions. Generated ARC‐FDCs with defined drug‐to‐Fab ratios display potent and antigen‐dependent cytotoxicity against breast cancer cells. This work demonstrates a new strategy for developing site‐specific FDCs. It may be applicable to different antibody scaffolds for therapeutic conjugations, leading to novel targeted agents.