Adani Ports and Special Economic Zone Ltd (APSEZ) has reported an 82.6 per cent increase in its first-quarter profits.
As reported by Reuters, this growth can be attributed to a substantial rise in cargo volumes and enhanced margins resulting from increased tariffs.
For the April-June quarter, the company’s consolidated net profit surged to 21.15 billion rupees ($255.3 million), a significant improvement from the 11.58 billion rupees ($139.8 million) recorded in the corresponding period the previous year.
READ: Adani Ports breaks cargo volume monthly record
This impressive financial performance was supported by a 23.5 per cent upswing in revenue from operations, amounting to 62.48 billion rupees ($754.2 million).
Adani said a key factor in this revenue increase was a noteworthy 12 per cent expansion in cargo volumes.
Adani Ports, renowned for managing India’s largest container handling port, remained consistent in its full-year revenue projection of 240-250 billion rupees ($2.8-3 billion).
This outlook signifies a projected year-on-year growth rate of 15-20 per cent.
READ: Adani Ports moves more than 8.5 million TEU
The company’s success can be attributed to its ports business, reported Reuters, where EBITDA margins expanded by 150 basis points to reach 72 per cent.
This expansion was primarily driven by the implementation of tariff hikes, contributing significantly to the favourable results.
In terms of operational achievements, the latest quarter saw cargo volume exceeding 100 million metric tonnes (MMT). As a result, Adani Ports is well on track to achieve a full-year cargo volume within the range of 370-390 MMT.
Earlier in May, Adani Ports completed the sale of its port in Myanmar for $30 million.
More recently, in June, APSEZ reported that Mundra Port secured its spot as India’s largest container handling port with 6.64 million TEU in fiscal year 2023.
