Adani Ports SEZ Q2 net profit up 31.6% at Rs1,393.69cr

Adani Ports SEZ reported rise of 2.88% in top line sales revenues for the Sep-20 quarter at Rs2,902.52cr.

Nov 03, 2020 04:11 IST India Infoline News Service

Adani Ports and Special Economic Zone
Adani Ports SEZ reported rise of 2.88% in top line sales revenues for the Sep-20 quarter at Rs2,902.52cr. While the sales did dip sharply in the Jun-20 quarter due to port activity getting impacted by the trade restrictions, it bounced back to pre-COVID levels in the September quarter. That is the good news.

Net profits for the Sep-20 quarter were higher by 31.58% at Rs1,393.69cr due to much better cost management. The Net profit margins or NPM expanded to 48.02% in the Sep-20 quarter from 37.54% in the Sep-19 quarter.

Financial highlights for Sep-20 compared yoy and sequentially

Adani Ports SEZ
Rs in Crore Sep-20 Sep-19 YOY Jun-20 QOQ
Revenues 2,902.52 2,821.16 2.88% 2,292.69 26.60%
Net Profits 1,393.69 1,059.20 31.58% 758.02 83.86%
Diluted EPS (Rs) 6.83 5.09 3.73
Net Margins 48.02% 37.54% 33.06%


Key takeaways from the Sep-20 quarterly results

  • Adani SEZ has increased its ports portfolio from 1 to 12 in a span of 20 years. It also owns around 13,000 hectares of land bank that can be used for future development and can be monetized at the appropriate time. Adani SEZ currently has 327MMT in the West Coast and 163MMT on the East Coast in terms of port capacity.
  • Port volumes recorded 36% growth on a sequential basis and 7% on a yoy basis. The volumes of cargo are expected to increase sharply in the second half of the fiscal as the unlocking progressively picks up pace. Adani’s cargo market share has increased by 300 bps from 21% to 24%.
  • To avoid cyclicality, the cargo capacity is equally diversified with 43% containers, 28% coal, 12% crude and the balance spread among other categories. 

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