India's Adani Ports logs 47% jump in Q1 profit on strong cargo volumes (updated)

JSW Infrastructure

01/08/2024 09:12

(Adds details and background throughout)
       BENGALURU, Aug 1 (Reuters) - India's Adani Ports and
Special Economic Zone  APSE.NS  reported a 47% jump in quarterly
profit on Thursday, as strong commercial activity in the world's
fifth-largest economy lifted cargo volumes.
    Shares of the Adani Group company were up 1.2% after the
results, while the broader benchmark Nifty 50  .NSEI  gained
0.2%. 
    India's largest private port operator by volumes, Adani
Ports said its consolidated net profit rose to 31.13 billion
rupees (nearly $372 million) in its fiscal first quarter ended
June, from 21.15 billion rupees a year earlier.
    Revenue increased by more than 11% to 69.56 billion rupees.
This excludes the 6.03 billion rupees received from the
divestment of the Ennore terminal in Tamil Nadu state.  
    Port operators have benefited from sustained cargo movement
in and out of India, supported by healthy domestic demand and
sturdy commercial activity in Asia's third-largest economy .
    Cargo volumes handled by Adani Ports rose 7.5% in the June
quarter to 109 million metric tons (MMT), despite a loss of 6
million metric tons (MMT) in April and May due to the shutdown
of its Gangavaram port in Andhra Pradesh state.
    Adani Ports had declared a force majeure at its Gangavaram
port in April after agitation by certain section of employees
disrupted cargo handling and other associated cargo operations.
    The company, which is a part of billionaire Gautam Adani's
ports-to-power conglomerate, operates 13 ports and terminals in
India, including the country's largest container handling port
in Mundra in the western state of Gujarat.
    The Mundra port handled 17.6 MMT cargo in May, a record
monthly volume for any Indian port.  
    Last month, smaller rival JSW Infrastructure  JSWN.NS 
posted a lower quarterly profit due to higher expenses. 

($1 = 83.7155 Indian rupees)

 (Reporting by Hritam Mukherjee in Bengaluru; Editing by
Subhranshu Sahu)
 ((Hritam.Mukherjee@thomsonreuters.com; X: @MukherjeeHritam;))