Adani Ports Crosses 100 MMT Milestone – A Powerhouse of Growth in Indian Ports

Newzdaddy Business Updates

Synopsis of the Article

• Adani Ports and Special Economic Zone Limited (APSEZ) reported a strong H1 FY25 performance, with a 42% increase in PAT to Rs 5,520 crore.
• Cargo volume reached 220 MMT, marking a 9% YoY rise, driven by strong container growth and the performance of Mundra Port.
• APSEZ’s revenue increased by 13% YoY to Rs 14,627 crore, while EBITDA grew 21% YoY to Rs 9,217 crore.
• Mundra Port crossed the 100 MMT mark in just 181 days, showcasing its operational strength.
• APSEZ diversified its fleet, adding 26 offshore support vessels, and expanded its logistics capacity in rakes, warehousing, MMLPs, and agri-silos.
• Key acquisitions included Gopalpur Port and an 80% stake in Astro Offshore, enhancing offshore operations.
• Vizhinjam Port received the largest cargo ship ever in South Asia and is set for commercial operations by December 2024.
• APSEZ signed long-term concession agreements for container terminal operations at ports in Tanzania and Kolkata.
• Warehouse capacity increased to 3.1 million sq. ft., with agri silo capacity targeted to reach 4 MMT by FY25-end.
• APSEZ excelled in ESG with a high ranking in the S&P Global Corporate Sustainability Assessment and won multiple awards for infrastructure, safety, and sustainability.

https://drive.google.com/file/d/10AT65HhFMaVJh6Hy1I1pWw3QBg2ZGR50/view

Adani Ports Delivers Impressive H1 FY25 Earnings and Operational Growth

Adani Ports and Special Economic Zone Ltd (APSEZ) – Growth Overview

Adani Ports and Special Economic Zone Ltd (APSEZ), a leader in India’s port logistics, announced stellar results for the half-year ending September 2024. Their net profit rose significantly to Rs 5,520 crore, a 42% increase from last year, showcasing strong earnings momentum. This impressive figure reflects APSEZ’s robust operational strategies, including significant gains in cargo volume and revenue growth.

Cargo and Revenue Achievements

During the half-year period, APSEZ handled 220 million metric tons (MMT) of cargo, marking a 9% rise year-on-year (YoY). This growth was driven by the performance of its container segment, which saw a 19% YoY surge. Mundra Port, a flagship of APSEZ, contributed significantly, hitting a milestone by crossing the 100 MMT mark within 181 days. The overall revenue for APSEZ increased by 13% YoY to Rs 14,627 crore, with EBITDA growing by 21% YoY to Rs 9,217 crore, reinforcing the company’s solid financial health.

Fleet Expansion and Logistics Advancements

In addition to port achievements, APSEZ made strides in diversifying its marine fleet. It added 26 offshore support vessels, strengthening its offshore operations and enhancing connectivity. The logistics segment saw similar growth, particularly in last-mile connectivity, with expansions in rakes, warehouses, and agri-silos. APSEZ’s rakes count now stands at 132, and its warehouse space has expanded to 3.1 million sq. ft., up from 2.4 million at the end of FY24.

Notable Acquisitions and Port Expansion Projects

A key part of APSEZ’s growth strategy lies in its recent acquisitions and ongoing projects. The company completed the acquisition of Gopalpur Port and an 80% stake in Astro Offshore, a global offshore support vessel operator. In a milestone for South Asia, Vizhinjam Port recently received its largest cargo vessel ever and is on track to begin commercial operations by December 2024.

APSEZ also signed two long-term concession agreements: one with the Dar es Salaam Port in Tanzania and another with the Deendayal Port Authority for developing a new berth. These agreements underscore APSEZ’s commitment to expanding its international footprint and its role in global trade.

Sustainability and ESG Initiatives

APSEZ has prioritized sustainability across its operations. It received high recognition in the 2024 S&P Global Corporate Sustainability Assessment, ranking in the 97th percentile in the Transportation and Infrastructure sector. APSEZ achieved top scores in areas like transparency, supply chain management, and environmental policies, affirming its dedication to sustainable practices.

Furthermore, the Adani Mundra Cluster joined the World Economic Forum’s ‘Transitioning Industrial Clusters’ initiative to advance collaborative decarbonization efforts, targeting a carbon-neutral industry by 2050.

Awards and Accolades

APSEZ’s ongoing commitment to operational and environmental excellence earned it various awards this year. Notably, it received the “Excellence in Ports Infrastructure” award at the ABP Live India Infrastructure Conclave 2024. Mundra Port was recognized as the “Non-Major Port of the Year” for containerized and non-containerized cargo handling, reflecting its substantial role in India’s maritime logistics.

APSEZ’s strong first-half performance in FY25 underscores its potential for continued growth, driven by operational excellence, strategic acquisitions, and an unwavering focus on sustainability. With promising developments in cargo volume and expansions in logistics infrastructure, the company is well on track to meet its FY25 cargo and EBITDA guidance. These achievements further position APSEZ as a pivotal player in India’s port and logistics landscape, contributing significantly to economic growth.

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