AHMEDABAD:
Adani Ports and Special Economic Zone Limited (“APSEZ”), India’s largest port developer, operator and the logistics arm of Adani Group, today announced its operational and financial performance for the first half and second quarter ended 30th September, 2018.
Operational Highlights: –
For the first time in the history of APSEZ, cargo volume in a half year crossed 100 MMT. On a Year on Year basis, cargo volume grew by 15 % in H1FY19 and by 22% in Q2FY19.
Ports across western and southern coast registered strong growth. On a Year on Year basis, in H1FY19, Mundra – the flagship port of APSEZ grew by 12%. Other ports in the western coast namely Hazira grew by 23%, Dahej by 36% and Tuna grew by 68%. Kattupalli in south continues to register double digit growth and grew by 22%.
Financial Highlights:-
Parameters (Rs in cr) H1 FY19 H1 FY18
Consolidated Revenue 5,019 5,451
Consolidated EBITDA * 3,292 3,430
Consolidated EBITDA margin 66% 63%
Forex mark to market Adjustment 953 47
PBT 1,722 2,470
PAT 1,296 1,751
Consolidated Revenue: – There was no SEZ port led development revenue in H1FY19 compared to Rs. 1165 cr booked in H1FY18. If we exclude SEZ port led development revenue earned in H1FY18, consolidated revenue has grown by 17%. (Rs. 5019 cr inH1 FY19 v/s Rs. 4286 cr in H1FY18)
Core EBITDA: –
Similarly, We have not earned any SEZ port led development EBITDA in H1FY19 compared to Rs. 784 cr earned in H1FY18. If we exclude SEZ port led development EBITDA booked in H1FY18 , core EBITDA excluding forex mark to market loss has grown by 24 % (Rs. 3292 cr in H1FY19 v/s Rs. 2646 cr). On a Year on Year basis, core EBITDA margins have improved by 300 BPS to 66%.
Thus, on Year on Year basis, Core Operating income and EBITDA in H1FY19 has grown by 17% and 24 % respectively. This is on account of higher cargo volume growth and resultant revenue from port operations.
Consolidated PBT and PAT: –
Indian Rupee depreciated by 5% in Q1FY19 and by 6% in Q2FY19. Thus, we have provided mark to market loss of Rs. 953 cr in H1FY19 compared to a mark to market loss of Rs. 47 cr in H1FY18 on our foreign currency loans. This has resulted in reporting lower PBT and PAT. Free Cash flows (after capex) for H1FY19 was Rs. 584 cr.
Karan Adani, Chief Executive Officer and Whole Time Director of APSEZ said, “Amidst fears of trade war and its impact on Indian cargo, we have been able to achieve record cargo throughput of 100 MMT in H1FY19. Our string of ports across the coastline of India, strategy to diversify cargo and ensure that all our ports handle all types of cargo has helped us to achieve this mile stone.
By its sheer nature, Indian economy will continue to grow in spite of the recent rupee depreciation and oil price hike shocks to the economy. We do not foresee any impact on Indian Imports and exports. We are truly on course of achieving 200 MMT cargo volume in FY19. Port EBITDA margins are set to increase from 70% to 71%.
Automation and using technology to handle cargo, sweating of enhanced capacity and better cargo mix will drive this margin expansion. We believe sustainable development as a core value for our business future proofing. We will continue to Protect our environment, use best safety practices and adopt best corporate practices.
