Adani Ports and Special Economic Zone (ASPEZ) missed the Street’s expectations in terms of profitability and EBITDA for Q3FY23. While revenue showed a mixed performance. The Adani Group-backed company posted a consolidated PAT 1,315.54 crore that is attributable to its owners, declining 16.05% YoY due to higher forex mark-to-market losses. had a net profit 1,567.01 crore in Q3 of FY22.
Sequentially, the decline in PAT was much steeper in Q3FY23. The company registered a decline of 21.58% from a profit of 1,677.48 crore in September 2022 quarter,
consolidated revenue from operations 4,786.17 crore in Q3FY23, which was up by 17.54% 4,071.98 crore in Q3FY22, but down 8.15% from 5,210.80 crore in Q2FY23.
For the nine months period of FY23, Adani Ports revenue grew by 16% 15,055 crore, while EBITA grew by 19% 9,562 crores. PAT climbed by 11% YoY 4,252 crores. while the net profit attributable to the owners stood at 4,151.30 crore in 9MFY23, down 9.72% YoY.
Adani Ports is the largest private sector port company in the country, holding a 24% market share in the 9M of the current financial year.
Karan Adani, CEO and whole-time director said, “With the highest ever revenue and EBITDA in the nine-month period, ASPEZ is at the upper end of its full-year revenue and EBITDA guidance provided for FY23 Well prepared to receive.”
Also, Adani said, the company has completed the transactions of Haifa Port Company, IOTL, ICD Tumb, Ocean Sparkle and Gangavaram Port, and is making good progress towards transforming its business model into a transport utility.
Further, Adani said that continuing with its growth journey, the company is targeting EBITDA 14,500-15,000 cr in FY24.
In addition to the estimated capital expenditure of 4,000-4,500 crore, Adani said, “We are looking at total loan repayment and prepayment of approx. 5,000 crore, which will significantly improve our net debt to EBITDA ratio and bring it closer to 2.5x as on March 24.”
In a regulatory filing, it said, “APSEZ’s net debt EBITDA ratio is within our guided range of 3-3.5x, while our gearing ratio is below one. Performance across various debt covenants has been well above desired levels.”
The share price of Adani Ports is trading on a positive note for the third consecutive day. At the time of writing, the share price was performing at 567.20 on the BSE, up 3.87%. Its market cap is over 1.22 lakh crore. The stock rallied nearly 10% in early deals with an intraday high of 598.70 each.
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