APSEZ kicks off FY25 with strong 47% PAT growth in Q1
Adani Ports and Special Economic Zone Ltd (APSEZ) on Thursday announced its results for the quarter ending June 30, 2024.
“FY25 has begun on a strong note for us with stellar performance on both financial and growth fronts. On the financial front, we posted all-time high earnings. But for the temporary disruption in Gangavaram Port, which is now fully restored, our Q1 cargo volume would have been at 114.7 MMT, a 13% increase.
“On the growth front, we won two new port concessions and a port O&M contract. We are proud that four of our ports featured in World Bank’s Container Port Performance Index 2023,” said Mr Ashwani Gupta, Wholetime Director & CEO, APSEZ.
Operational highlights
* During the quarter, APSEZ clocked 109 MMT of cargo volume (up 8% YoY). The growth was primarily driven by Containers (up 18% YoY) and Liquids & Gas (up 11% YoY). We had a temporary disruption leading to a loss of 5.7 MMT at the Gangavaram Port, which is now fully restored.
* Mundra Port handled the highest every quarterly volume by any Indian port (51 MMT).
* Mundra, Kattupalli, Hazira and Krishnapatnam featured in the World Bank’s Container Port Performance Index 2023. The index benchmarks ports globally across multiple parameters including productivity, efficiency and reliability.
* Highest ever quarterly rail cargo (0.16Mn TEUs, up 19% YoY) and GPWIS volume (5.56 MMT, up 28% YoY).
* Container volume handled at MMLPs increased by 27% YoY to 103,784 TEUs.
Financial highlights
* Revenue grew by 21% YoY to Rs 7,560 crore in Q1 FY25.
*EBITDA (excluding forex) jumped 29% to Rs 4,848 crore. Domestic ports contributed Rs 3,990 crore to EBITDA and Logistics contribution was at Rs 144 crore.
* Domestic ports’ EBITDA expanded by 32 bps to 72% due to better asset sweating.
* Net debt to TTM EBITDA at quarter-end stood at 2.1x.
* CARE and ICRA upgraded APSEZ’s credit rating to ‘AAA’. S&P upgraded credit outlook to “Positive” from “Stable”, driven by improving scale and diversification.
Business highlights
* Signed a 30-year concession agreement with the Tanzania Ports Authority to operate and manage Container Terminal 2 at the Dar es Salaam Port, Tanzania. CT2, with four berths, has an annual cargo handling capacity of 1 million TEUs and managed 0.82 million TEUs of containers in 2023.
* Received a LoI for development, operation and maintenance of Berth No. 13 at Deendayal Port. The company has been awarded this LoI for a 30-year concession period through a competitive bidding process.
* Received LoI for five-year O&M of container facility at Netaji Subhas Dock at Syama Prasad Mookerjee Port, Kolkata. Netaji Subhas Dock is the largest container terminal on the eastern coast of India and handled 0.63 million TEUs in FY2023-24. APSEZ’s presence at the port will drive synergies with upcoming transhipment hubs at Vizhinjam and Colombo.
* First mothership arrived at the Vizhinjam Port, India’s first transhipment port equipped with South Asia’s most advanced container handling technology.
* Rakes count increased to 131 (from 127 at FY24 end).
* Warehousing capacity increased to 2.9 million sq. ft. with the addition of warehouse at Palwal (2.4 million sq. ft. as of FY24 end).
* Agrisilo capacity was at 1.2 MMT and is expected to increase to 4 MMT on completion of the projects underway.
* Marine services business deployed a tug each in Mexico and Sri Lanka.
ESG highlights
* Sustainalytics assigned a score of 11.3 to APSEZ, placing the company in “Low” risk category. APSEZ secured 95 percentile score and retained its position as the top-ranked company in the low carbon transition rating within the port sector.
* APSEZ was felicitated by CDP for its efforts in tackling climate change and implementing a robust engagement program within its supply chain. The award was presented at the ‘Climate Action in India: Role of Businesses & Supply Chain’ ceremony, co-hosted by the Federation of Indian Chambers of Commerce & Industry (FICCI). CDP has assigned APSEZ the leadership band “A-“ in climate change and supplier engagement, informed a release.
Source: Exim News Service: Ahmedabad, Aug. 1