Adani Ports and Special Economic Zone Ltd (APSEZ) on Tuesday posted its fiscal fourth quarter earnings with profit for the period at Rs 1,158.88 crore, up 5.1 per cent in comparison to Rs 1,102.61 crore in the same quarter last year. It posted revenue from operations at Rs 5796.85 crore, up 40 per cent as against Rs 4,140.76 crore in the fourth quarter of FY22. The company EBITDA was at Rs 3,270.7 crore, up 59 per cent on-year. The Board has also recommended a dividend of Rs 5 (250 per cent) per equity share of Rs 2 each fully paid up for the financial year 2023.
APSEZ’s performance during FY23
On a full year basis, Adani Ports posted revenue from operations at Rs 20,851.91 crore, up 22 per cent on-year and the profit was at Rs 5,310.18 crore for FY23. “The company has overachieved against its highest-ever revenue and EBITDA guidance provided at the beginning of the year. Our strategy of geographical diversification, cargo mix diversification, and business model transition to a transport utility is enabling robust growth,” said Karan Adani, CEO and Whole Time Director, Adani Ports and Special Economic Zone.
Over the last five years, APSEZ revenue and EBITDA have grown at a CAGR of 16-18 per cent while the company’s domestic market share jumped 800 bps to ~24 per cent in the financial year ended March 2023. The company did a record investment of Rs 27,000 crore in FY23. This included six major acquisitions (Haifa Port Company, Gangavaram Port, Karaikal Port, IOTL, Ocean Sparkle, and ICD Tumb) totaling around Rs 18,000 crore and organic capex of around Rs 9,000 crore. “These investments were primarily financed through internal accruals and the cash and cash equivalents held with the company. As a result, gross debt to fixed asset ratio has declined sharply from 80 per cent in FY19 to around 60 per cent in FY23,” Karan Adani said.
The ports business handled 339.2 MMT of cargo during FY23, up 9 per cent on-year and the growth in cargo volume was led by coal (+19 per cent), containers (+7 per cent) and liquids excluding crude (+7 per cent). Meanwhile, the automobile segment saw a jump of 11 per cent in volumes. Adani Logistics, meanwhile, registered a 24 per cent on-year growth in rail volume to 500,446 TEUs and a 19 per cent YoY growth in terminal volume to 358,863 TEUs.
FY2024 guidance
Going forward, APSEZ is striving towards increasing the cargo volumes at 370-390 MMT resulting in a revenue of Rs 24,000- Rs 25,000 crore and EBITDA of Rs 14,500- Rs 15,000 crore. Further, total capex during the year is expected to be Rs 4,000- Rs 4,500 crore.