Adani Ports and Special Economic Zone Ltd (APSEZ), the largest private port operator in India, reported a strong performance for the first quarter of FY26, which ended on June 2025. The company reported staggering figures in both revenue and profitability, highlighting the sustained strength of its core business of ports and development of logistics and marine services businesses.
Financial Performance
- Operational Revenues: Adani Ports posted consolidated revenues of ₹9,126.14 crore in Q1 FY26, a 21% YoY growth over Q1 FY25 at ₹7,559.59 crore. This exceeded expectations of most analysts and was an indication of a rise in cargo and growth in ancillary businesses.
- Net Profit: Net profit during the quarter was ₹3,314.59 crore, a 6.5% growth over ₹3,112.83 crore in the same period last year. This performance also surpassed market expectations and reflects the operational efficiency of the company despite margin stress.
- EBITDA and Margins: EBITDA increased 13% YoY to ₹5,495 crore, however, the EBITDA margin declined to 60.2% compared to last year's 64.1%, driven by cost inflation and business mix changes.
Operational Highlights
- Volumes of Cargo: The organisation transported 121 million metric tonnes (MMT) of cargo, up by 11% from last year's 109 MMT. Increased demand for container and bulk commodities drove this surge, with June volumes alone increasing 12% year-over-year.
- Business Diversification: Major growth was seen in the logistics and marine divisions. Logistics revenue more than doubled YoY to ₹1,169 crore, led by the build-up of trucking and international freight businesses. The marine division nearly tripled revenue at ₹541 crore, supported by higher vessel traffic and services breadth.
- Market Share: APSEZ's local market share rose to 27.8%, an increase of 60 basis points over the last year, reflecting its increasing dominance in the Indian ports business.
Strategic and Managerial Upgrades
- Leadership Transition: Interestingly, Gautam Adani shifted to a non-executive role, stopping being a core managerial staff and now becoming Non-Executive Chairman. The transition indicates a further emphasis on professionalizing management and governance at APSEZ.
- Guidance Retained: The firm reiterated its FY26 guidance, with revenue guidance between ₹36,000–38,000 crore, EBITDA of ₹21,000–22,000 crore, and capex run rate of ₹11,000–12,000 crore per annum.
Conclusion
Adani Ports' Q1 FY26 performance underscores compelling momentum in its port, logistics, and marine businesses. While margins were compressed in certain areas, the company's high revenue and market share growth, underpinned by operating expansions and diversification of business, chart a strong tone for the rest of the fiscal year. The change in leadership and strategic reaffirmations underscore APSEZ's focus on long-term growth and value creation.
