Journey of Adani Ports

Adani Ports and Special Economic Zone Limited (APSEZ) is India's leading private port and Special Economic Zone enterprise. It was established under the name Gujarat Adani Port Ltd (GAPL) on May 26, 1998, to develop a private port located at Mundra on the West Coast of India. The company's core operations involve the development, operation, and maintenance of port infrastructure, including port services and related infrastructure development. Adani Ports and Special Economic Zone Limited launched its IPO in November 2007. In 2009-10, Adani Ports and Special Economic Zone Limited incorporated Adani Murmugao Port Terminal Pvt Ltd in Goa. Over time, APSEZ covered an expansive area of 8,000 hectares, covering 26% of the country’s total port volumes, from 13 ports on both the east and west coasts. The Mundra Economic Hub presents investment opportunities as the largest multi-product SEZ, Free Trade and Warehousing Zone (FTWZ), and Domestic Industrial Zone. The company also operates three logistics parks strategically situated in Patli (Haryana), Kila-Raipur (Punjab), and Kishangarh (Rajasthan). Currently, Adani Ports has more than 15 entities constituting subsidiaries, associates and joint ventures facilitating the company’s operations across the globe. In 2021, the company articulated its ambition to become the world's preeminent private port company and India's foremost integrated transport utility by 2030.

Business Segments

Adani Ports and Special Economic Zone Ltd. (APSEZ) is India's premier maritime and logistics powerhouse, operating 13 key ports, providing versatile logistics solutions, managing SEZs, and specialising in port construction and dredging. Let’s delve into each business segment:

• Ports:APSEZ Ltd. is India's largest private port operator and logistics provider, with 13 strategically located ports and terminals representing 24% of the country's port capacity.

• Logistics:Adani stands out as a highly versatile end-to-end logistics service provider within India. With a widespread presence in all key markets, the organization excels in managing a diverse clientele across various sectors, including Retail, Industrial, Container, Bulk, Break-Bulk, Liquids, Auto, and Grain Handling. It manages a network of 11 Multi-Modal Logistics Parks across India.

• Special Economic Zones:Covering a vast expanse of 15,000 hectares, Mundra SEZ is situated on the western coast of India's Gulf of Kachchh within Gujarat, a thriving and enterprise-friendly state. It serves as the key entry point for India's imports and exports.

• Dredging:Adani Ports and Special Economic Zone Ltd (APSEZL) specialises in port and harbour construction, bringing forth Dredging and Reclamation solutions. They began investing in a dredging fleet in 2005 to support their growth plans in the port sector. Today, APSEZL administers 23 dredgers, making it a major player in India's capital dredging arena.

The company has five material unlisted subsidiaries, including:

1. Adani Harbour Services Limited:Adani Harbour Services Limited is a subsidiary of Adani Ports and Special Economic Zone Limited that offers harbour services, including pilotage, towage, and mooring, to vessels calling at the ports operated by Adani Ports.
2. Adani Logistics Limited:Adani Logistics Limited administers three logistics parks located at Patli in Haryana, Kila-Raipur in Punjab, and Kishangarh in Rajasthan.
3. Adani Hazira Port Limited:Adani Hazira Port Limited is a deepwater, all-weather port located on the west coast of India that is equipped to handle all kinds of cargo, including bulk, break bulk, liquid, and container cargo. It is one of the 12 ports and terminals operated by Adani Ports and Special Economic Zone Limited.

Key Personnel

• Gautam Adani, Chairman & Managing Director

Gautam Shantilal Adani, born on 24 June 1962, is a prominent Indian industrialist known for being the founder and chairman of the Adani Group. He got the contract for Mundra Port in 1995 when the inaugural jetty was established. Later, in 1998, he acquired the full reins of the control of the port from Mundra Port and Special Economic Zones. Under his guidance, the Adani Group has evolved into a prominent global player in integrated infrastructure, spanning various sectors, including Resources, Logistics, and Energy.

Corporate Actions

Buyback

• In 2019, Adani Port's board approved a buy-back of a maximum of 3,92,00,000 Equity Shares. This amounts to approximately 1.89% of the total paid-up Equity Share Capital as of June 21, 2019.

Stock Split

• Adani Ports carried out a share split in 2010, reducing the face value of its shares from ₹10 to ₹2. Following this split, the shares have been trading on an adjusted basis since September 23, 2010.

Financial Highlights

• In FY 2023, the organization reported a total income of ₹22,405 crore, 15.8% up from ₹19,343 crore in the previous fiscal year.
• Earnings before Interest, Depreciation and Tax (EBIDTA), excluding foreign exchange gains/losses, amounted to ₹12,833 crore in FY 2023, compared to ₹10,607 crore in the previous year, a 20.9% increase.
• Net profit for FY 2022-23 was ₹5,393 crore, an 8.8% increase from ₹4,953 crore in the previous financial year.
• In 2023, the Earnings per Share (EPS) for the organization stood at ₹24.58, based on a face value of ₹2 each.
• The Debt to Equity ratio of the organization increased by 1%, from 1.08 to 1.09 in 2023.