Adani Ports Q1 Results: Profit Falls 16% On Foreign Exchange Loss

Adani Ports and Special Economic Zone Ltd.’s first-quarter profit fell, missing estimates, as the company’s foreign exchange loss widened.

Net profit of India’s largest private port operator fell 16% year-on-year to Rs 1,072 crore in the quarter ended June, according to its exchange filing. That compares with the Rs 1,256-crore consensus estimate of analysts tracked by Bloomberg.

The depreciating rupee weighed even as despite the Adani Group flagship company, according to the filing, recorded its highest ever quarterly cargo shipments with volume growth of 8% year-on-year.

Its foreign exchange loss widened to Rs 1,201 crore from Rs 389 crore a year ago.

Adani Ports Q1 FY23 Highlights (YoY)

• Revenue fell 1% to Rs 4,638 crore, against an estimate of Rs 4,609 crore.

• Ebitda rose 13% to Rs 3,005.5 crore, excluding forex MTM loss/gain. It compares with the Rs 2,776-crore forecast.

“Q1 FY23 has been the strongest quarter in APSEZ’s history, with a record cargo volume and highest ever quarterly Ebitda. This is an 11% jump on a robust performance in the corresponding quarter last year that witnessed the post-Covid demand surge,” Karan Adani, chief executive officer of Adani Ports and Special Economic Zone, said in the statement. “The company continued this strong performance in July and recorded 100 MMT of cargo throughput in the initial 99 days of FY23, a feat never achieved before.”

The company is confident of achieving full-year guidance of 350-360 MMT cargo volumes and Ebitda of Rs 12,200-12,600 crore, Adani said.

The container terminal at Gangavaram Port will become operational next month, while the 5 MMT LNG terminal at Dhamra will begin operations by December end, the statement said.

Shares of Adani Ports closed 0.40% down after the results were announced compared with a 0.73% gain in the benchmark Nifty 50.

Disclaimer: Adani Enterprises is in the process of acquiring a 49% stake in Quintillion Business Media Ltd., the owner of BQ Prime.