Adani Owned APSEZ Q1 Net Profit Zooms 77% to Rs 1342 Crore, Revenue Almost Doubles On Cargo Growth

Adani Ports and Special Economic Zone Limited (APSEZ) reported a 77% jump in its first-quarter to Rs 1342 crore. It also registered a growth of 83% compared to 33% growth recorded by All India cargo.

(File Photos/ Getty Images)

Mumbai: Gautam Adani led Adani Ports and Special Economic Zone Limited (APSEZ), the most significant transport utility in India, reported a 77% jump in its first-quarter net profits to Rs 1342 crore. The jump in profits was reported on almost doubling its revenues to Rs 4,557 crore as the company continued gaining market share, transforming into a full-fledged pan-India ports and logistics platform.

APSEZ handled 76 million metric tonnes (MMT) of cargo in Q1 FY22 compared to 41 MMT in Q1 FY21, registering a growth of 83% compared to 33% growth recorded by All India cargo.

"Our strategy of establishing a network of world-class ports to balance cargo across the east and west coast has been tracking precisely as per plan, thereby continuing to de-risk our growth as well as lay the foundation of a broader logistics platform. This has resulted in APSEZ accelerating its market share gain," said Mr. Karan Adani, Chief Executive Officer and Whole Time Director of APSEZ.

Adani Ports achieves highest ever quarterly volume growth of 83% & EBITDA of 82%. Fundamentals continue to get stronger.https://t.co/FZgTsryB73#AdaniPorts #Adani

— Adani Ports and SEZ Ltd (@Adaniports) August 3, 2021

The company last month issued $750 million of dual-tranche 10.5-year and 20-year unsecured bonds in global capital markets, making APSEZ the only infrastructure company in India to place a 20-year paper successfully. With this issuance, APSEZ has given a longer yield curve to investors and elongated its debt maturity to over seven years.

"We have therefore raised our target cargo volumes to 350-360 MMT, which translates to unprecedented YoY growth of about 45%. APSEZ also became the first Indian infrastructure company to have raised a dual-tranche of 10.5-year and 20-year unsecured bond, further reducing our cost of capital to one of the lowest in the industry. I am also pleased to state that our goal of becoming the first port company to be carbon neutral by 2025 is very well on track," said Mr. Adani.

During Q1 FY22, total EBITDA grew by 82% from Rs.1,438 Cr in Q1 FY21 to Rs.2,620 Cr on the back of 99% growth in revenue and 6% savings in port operating cost.

Under the beautiful night sky, our Mundra Port shines bright!

With an annual capacity to handle 264 MMT of cargo, #MundraPort is an economic gateway to the cargo hubs in the northern and western hinterlands of India.#PortsOfProsperity #PortsPhotography #AdaniPorts #Adani pic.twitter.com/zkTrPsTvfg

— Adani Ports and SEZ Ltd (@Adaniports) July 29, 2021

The company's operations continued to benefit from its networked economies of scale and the digitization initiatives that the company has been investing in over the past several years said APSEZ in a statement.

APSEZ shares on BSE closed up 1.9% at Rs 705 in a firm Mumbai market on Tuesday, valuing the company at Rs 143984 crore.