Adani Ports Q1 Net Up 13% at Rs 641 Cr
New Delhi: Adani Ports and Special Economic Zone Limited (APSEZ), India's largest port developer, on Monday reported a 12.85 per cent increase in consolidated net profit at Rs 641 crore for the quarter ended June 2015, on the back of higher income.
The Adani Group company had posted a net profit of Rs 568 crore for the corresponding quarter a year ago.
Net sales during the quarter under review jumped about 40 per cent to Rs 1,723 crore, as against Rs 1,232 crore in the year-ago period.
Total expenses stood at Rs 864 crore during the quarter under review. The expenses were at Rs 619 crore in the year-ago period.
"Consolidated cargo across all ports handled by the company was 40 million tonnes in Q1FY16, an increase of 17 per cent, over the corresponding quarter last year," the company said in a statement.
In case of containers, the Mundra port handled 7,48,000 TEUs in Q1FY16 as against 6,81,000 TEUs last year, resulting in a 10 per cent growth compared with 3 per cent aggregate growth in container volumes at all the major ports.
The company's twin ports of Hazira and Dahej handled cargo of 5.42 million tonnes (MT) in Q1FY16 showing a growth of 22 per cent, it said.
Adani Group chairman Gautam Adani said: "The company's pan India presence continues to expand and we have received the letter of award from the Government of Kerala for the development of the strategically located Vizhinjam port. Our strong financial and operational results are a testimony of our continued focus on execution of our strategy."
Elaborating on the performance, APSEZ chief executive Sudipta Bhattacharya said, "Despite the increasingly large baseline of cargo volume, we continued to demonstrate strong growth as a result of our ability to capture market share through broadening of our network of ports and logistics capabilities."
The group had recently announced the demerger of the group and moved away from its current 'holding company' structure and instead has four independently listed entities for the four major business segments.
Adani Enterprises has demerged its ports, power and transmission businesses in Adani Ports and Special Economic Zone, Adani Power and Adani Transmission, respectively. The company said it entered into a preliminary pact with a party for development and maintenance of LNG infrastructure facilities at Mundra in September 2014.
"The company and the party are still in the process of concluding a definitive agreement for Mundra LNG project... Pending conclusion of definitive agreement, the company during the quarter ended September 30, 2014 had recognised service revenue of Rs 200 crore towards land reclamation based on the activities completed and land being made available to the party for setting up the project facilities. The possible acquisition, if any, on execution of definitive agreement will be accounted later," it said.
"APSEZ raised $650 million in bonds which is the first Investment Grade issuance and the largest offering by an infrastructure company in India," it said in the statement.
On progress on projects it said it has received a letter of award from Kerala government for development and operation/maintenance of the Vizhinjam International Deepwater Multipurpose Seaport Project on PPP mode on DBFOT (design, build, finance, operate and transfer) basis.
This is a key strategic location to the world's container traffic that moves, just 15 to 20 nautical miles from the port.
The Adani Group is one of India's leading business houses with revenue of over $10 billion.
Founded in 1988, Adani has grown to become a global integrated infrastructure player with businesses in key industry verticals - resources, logistics and energy. The integrated model is well adapted to the infrastructure challenges of the emerging economies.
It developing and operating mines in India, Indonesia and Australia as well as importing and trading coal from many other countries.
"Currently, we are the largest coal importers in India. We also have extensive interests in oil and gas exploration. Our extractive capacity has increased three folds to 5 MT in 2015 and we aim to extract 200 MT per annum by 2020, thereby making Adani one of the largest mining groups in the world," it said.
Adani owns and operates seven ports and terminals - Mundra, Dahej, Kandla and Hazira in Gujarat, Dhamra in Orissa, Mormugao in Goa and Visakhapatnam in Andhra Pradesh, India. Mundra Port, which is the largest port in India, benefits from deep draft, first-class infrastructure and SEZ status.
It crossed the 144 MT mark of cargo handling in FY15. Adani is also developing terminal at Ennore in Tamil Nadu, India.