APSEZ Announces Q1 FY23 Results; Logs Record Cargo Volumes And EBITDA

Karan Adani, CEO and whole-time director, APSEZ, said Q1 FY23 has been the strongest quarter in APSEZ’s history, with a record cargo volume and highest ever quarterly EBITDA

APSEZ's container terminal at Gangavaram Port will become operational next month, while the 5 MMT LNG terminal at Dhamra will be ready by December end.

Source : APSEZ

Adani Ports and Special Economic Zone Ltd (APSEZ), the largest transport utility in India, on Monday announced its results for the first quarter of FY23.

“Q1 FY23 has been the strongest quarter in APSEZ’s history, with a record cargo volume and highest ever quarterly EBITDA. This is a 11 per cent jump on a robust performance in the corresponding quarter last year that witnessed the post-Covid demand surge,” said Karan Adani, CEO and whole-time director of Adani Ports and Special Economic Zone.

“The company continued this strong performance in July and recorded 100 MMT of cargo through-put in the initial 99 days of FY23, a feat never achieved before.”

This performance was delivered by both the businesses – ports and logistics. The ports business, on the back of 8 per cent YoY growth in volumes, delivered a 18 per cent jump in EBITDA. The logistics business too experienced a robust growth, with EBITDA increasing 56 per cent YoY. The EBITDA margin of the logistics business expanded 370s bps due to economies of scale and increased share of the GPWIS revenue stream.

With APSEZ set to commission two new terminals in the coming months, this growth story will gain more momentum. The container terminal at Gangavaram Port will become operational next month, while the 5 MMT LNG terminal at Dhamra will be ready by December end. This LNG terminal has a take-or-pay contract with couple of O&G majors.

The logistics business will also be boosted by the assets commissioned during the quarter. This includes a MMLP in Taloja, three agri-silo storge terminals with a combined capacity of 0.15 Mn MMT (one each at Panipat, Kanoj and Dhamora) warehousing capacity of 0.6 Mn sq. ft, two new trains under the GPWIS framework and 125 trailer trucks for providing the last mile connectivity at three MMLPs (Patli, Nagpur, and Kishangarh).

“Our strategy of connecting port gate to customer gate through an integrated utility model is starting to yield results,” added Karan Adani. “We are confident of achieving our full year guidance of 350-360 MMT cargo volumes and EBITDA of Rs 12,200-12,600 crore. APSEZ remains committed to its philosophy of ensuring sustainable growth in partnership with our key stakeholders.”

Key Financials – Q1FY23 (YoY)

Operational Highlights

Ports Business

• During Q1 FY23, APSEZ handled 90.89 MMT of cargo (including 9.09 MMT at Gangavaram Port), which is 8 per cent YoY growth.
• The growth in cargo volume was led by dry cargo (+11.2 per cent increase), followed by containers (+3.2 per cent), and liquids including crude (+5.6 per cent). The automobile segment, though a small proportion of overall volumes, saw a 120 per cent jump in volumes.
• Both the Mundra and non-Mundra ports had a similar growth rate, and the non-Mundra ports contributed 53 per cent to the cargo basket.
• Mundra continues to be the largest container handling port with 1.65 Mn TEUs versus 1.48 Mn TEUs managed by JNPT during the quarter. Mundra, crossed 50 MMT of cargo volumes in the initial 111 days of FY23.

Logistics Business

• Adani Logistics registered a 31 per cent YoY growth in rail volume to 111,136 TEUs and a 54 per cent YoY growth in terminal volume to 99,217 TEUs.
• The GPWIS cargo volumes more than doubled to 3.11 MMT on YoY basis.
• Construction initiated on 4.5 Mn sq. ft of warehousing capacity across four locations (Mundra, Moriya, Ranoli, and Palwal), and two Agri container terminals in Bihar (Darbhanga and Samastipur).

 

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