NE BUSINESS BUREAU
NEW DELHI, AUG 3
Adani Ports and Special Economic Zone (APSEZ) on Tuesday reported a 77.04 percent jump in consolidated net profit to Rs 1,341.69 crore for the first quarter of the current financial year.
The country’s largest integrated logistics player had clocked a consolidated net profit of Rs 757.83 crore in the corresponding period a year ago, according to a regulatory filing.
Its total income during the latest June quarter rose to Rs 4,938.43 crore, against Rs 2,749.46 crore in the year-ago period.
The company’s total expenses during the quarter under review increased to Rs 3,464.88 crore, from Rs 1,805.24 crore a year ago.
APSEZ said the company reported the highest year-on-year quarterly growth of 83 per cent against all India cargo growth of 33 percent.
Its consolidated revenue grew 99 percent, from Rs 2,293 crore in the first quarter of 2020-21 to Rs 4,557 crore in the first quarter of the current fiscal on account of an increase in cargo at port by 83 percent, rail volume by 10 percent, and terminal volume by 13 percent in the logistics business, the company said.
Port revenue increased 75 percent to Rs 3,339 crore, while revenue from the logistics business stood at Rs 268 crore, a growth of 34 percent.
Total Ebitda grew 82 percent to Rs 2,620 crore during the June 2021 quarter, against Rs 1,438 crore in the year-ago period.
Ebitda stands for earnings before interest, tax, depreciation and amortisation.
Increased cargo volume, savings in operating cost and operational excellence enabled port’s Ebitda to grow 78 percent to Rs 2,356 crore during the quarter under review, from Rs 1,324 crore in the year-ago period.
“Our strategy of establishing a network of world-class ports to balance cargo across the east and west coasts 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 into APSEZ accelerating its market share gain,” Karan Adani, chief executive officer and whole-time director of APSEZ, said in a statement.
Adani further said that therefore, the company has raised its target cargo volumes to 350-360 MMT (million metric tonnes), which translates into a year-on-year growth of about 45 percent.
“APSEZ also became the first Indian infrastructure company to have raised a dual-tranche of 10.5-year and 20-year unsecured bonds,” he said adding that the company’s goal of becoming the first port firm to be carbon neutral by 2025 is very well on track.
Its board has formed a committee of independent directors to evaluate an acquisition for consolidating Gangavaram Port Ltd (GPL) with APSEZ Group, including merger, post completion of 10.40 per cent stake sale by the Government of Andhra Pradesh (GoAP) in GPL, the company said.
In notes to April-June quarter earnings, APSEZ said the company acquired balance 25 percent stake in Krishnapatnam port for Rs 2,800 crore, making it a 100 percent subsidiary of APSEZ.
It said that as a second international foray, it will develop a container terminal at Colombo Port with a capacity of 3.5 million twenty-foot equivalent unit (TEUs). “Construction is expected to start in December 2021.”
The firm also said the consideration for 58.1 percent stake from DVS Raju and Family, agreed at Rs 120 per share, and process for acquisition of balance 10.4 percent from GoAP are at an advance stage.
In the statement, APSEZ also said that the merger scheme for consolidating rail track assets (by acquiring SRCPL and demerging Mundra rail assets) has been filed.
According to the company, cargo volume increased due to growth in all types of cargo — dry bulk grew 104 percent, container 69 percent, and liquid cargo (including crude) 57 percent.
As part of its social outreach programme, APSEZ said it decided to vaccinate its employees in April 2021.
The company, under the corporate quota, provided free vaccination to all its employees. Its 97 per cent employees are vaccinated, it said.
Adani Enterprises profit at Rs 266 cr
Adani Enterprises on Tuesday reported a consolidated profit of Rs 265.60 crore for the quarter ended on June 30, 2021 on the back of higher revenue from operations.
The company had posted a consolidated loss of Rs 65.67 crore in the year-ago period, Adani Enterprises Ltd (AEL) said in a filing to BSE.
The consolidated revenue from operations during the April-June quarter increased to Rs 12,578.77 crore from Rs 5,265.19 crore in the year-ago period, the filing said.
“AEL has always been the incubation engine of the Adani Group and our creation of several new businesses continues to accelerate,” Adani Group Chairman Gautam Adani said.
“AEL’s existing businesses are stronger than they have ever been and this year we have successfully anchored ourselves in several new businesses critical to a strong Atmanirbhar Bharat. These include airport ecosystems, data centres, and advanced road and water infrastructure.
“I see an exciting journey ahead given every one of these sectors possesses multiple adjacencies to our existing businesses. Our results demonstrate that this purposeful model is working for us and we will continue to strengthen on all fronts to deliver greater shareholder value,” he said.
In a statement, the company said that a significant increase in solar manufacturing and mining services business among others boosted its revenue in the first quarter.
Consolidated EBIDTA increased by 215 percent to Rs 948 crore due to increase in revenue and better margins across all operating segments, it said. With strong order book of 1.2 GW, the company will continue to focus on solar manufacturing segment to have sustainable growth, it said. Adani Enterprises Ltd is the flagship company of Adani Group. Over the years, Adani Enterprises has focused on building emerging infrastructure businesses, contributing to nation-building, and divesting them into separate listed entities.
