Adani Ports & Special Economic Zone Ltd · NSE:ADANIPORTS

Adani Ports & Special Economic Zone — Q1 FY22 Earnings Presentation

46 slides from Adani Ports & Special Economic Zone's earnings presentation, Aug 3, 2021

  1. Slide 1: Operational & Financial Highlights

    Operational & Financial Highlights Adani Ports and SEZ Ltd., Q1 FY22

  2. Slide 2: Contents

    Contents A Group Profile B Company Profile C Highlights Q1 FY22 D ESG philosophy & performance E Response to recent developments F Update on Gangavaram and SRCPL Acquisition G Revised Outlook FY22 H Annexures 2

  3. Slide 3: Group Profile

    adani Ports and Logistics Group Profile

  4. Slide 4: Adani Group: A world class infrastructure & utility portfolio

    Adani Group: A world class infrastructure & utility portfolio Adani Transport & Logistics Energy & Utility • Marked shift from B2B to Portfolio Portfolio B2C businesses– • ATGL – Gas distribution 63.4% 100% 75% 57.5% network to serve key ATL AGEL geographies across India APSEZ NQXT2 Port & Logistics

  5. Slide 5: Adani Group: Decades long track record of industry best growth rates across sectors

    Adani Group: Decades long track record of industry best growth rates across sectors Port Cargo Throughput (MMT) Renewable Capacity (GW) Transmission Network (ckm) CGD7 (GAs8 covered) 132% 12% 45% 20% 3x 5x 3x 30% 1.5x 4% 7% 25% Industry Adani APSEZ Industry Adani AGEL Industry ATL Industry AGL 2014

  6. Slide 6: Adani Group: Repeatable, robust & proven transformative model of investment

    Adani Group: Repeatable, robust & proven transformative model of investment Phase Development Operations Post Operations Origination Site Development Construction Operation Capital Mgmt Activity • Analysis & market • Site acquisition • Engineering & design • Life cycle O&M • Redesigning capital stru

  7. Slide 7: Company Profile

    adani Ports and Logistics Company Profile

  8. Slide 8: APSEZ: A transport utility with string of ports and integrated logistics network

    APSEZ : A transport utility with string of ports and integrated logistics network West Coast East Coast Capacity 335 MMT Capacity 227* MMT Dahej 14 MMT Tuna 14 MMT Mundra 264 MMT Dhamra Hazira Vizag 45 MMT Mundra - 30 MMT 6 MMT India’s Largest Commercial Dighi Gangavaram^ Port by 8 MMT 64 MMT Krishn

  9. Slide 9: APSEZ: Our Strategy led to market leadership

    APSEZ : Our Strategy led to market leadership Cargo Diversification Coal Containers (mmt) Crude Others APSEZ’s pillars of strategy Strategic Partnerships Integrated logistics FY02 FY11 FY21 East Coast West Coast parity West East West East West East Ensured resilience and stickiness of cargo 9

  10. Slide 10: Highlights Q1 FY22

    adani Ports and Logistics Highlights Q1 FY22

  11. Slide 11: APSEZ: Strategic highlights – Q1 FY22

    APSEZ : Strategic highlights – Q1 FY22 Operations Capital Management Growth • 83% Growth in cargo volume compared • APSEZ became the first Indian • Acquired balance 25% stake in to 33% growth by all India ports infrastructure company to have raised a Krishnapatnam port for Rs.2,800 cr., resulting in

  12. Slide 12: APSEZ: Operational highlights – Q1 FY22

    APSEZ : Operational highlights – Q1 FY22 (YoY) Cargo volume Cargo Market Share 83% 310 bps • Cargo volume increased due to growth in all Q1 FY21 Q1 FY22 types of cargo - Dry bulk grew by 104%, FY21 Q1 FY22 41.4 75.7 Container by 69%, and liquid cargo 25.5% 28.6% (including crude) by 57%. MMT MMT • A

  13. Slide 13: APSEZ: Cargo volume Q1 FY22 - APSEZ vs. All India

    APSEZ : Cargo volume Q1 FY22 - APSEZ vs. All India (YoY in MMT) APSEZ All India Cargo* 76 265  83%  33% 199 41 31  69% 18  51% 71 47 Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 APSEZ Total Cargo APSEZ Container All India Total Cargo All India Container East Coast - West Coast Share Q1 FY21 Q1 FY22 Q1 FY21 Q

  14. Slide 14: APSEZ: Balanced cargo composition – Q1 FY22

    APSEZ : Balanced cargo composition – Q1 FY22 51% 48% 48% 45% 44% 45% 44% 43% 41% 41% 41% 40% 37% 32% 17% 15% 15% 14% 14% 12% 11% 0.3% 1.0% 0.5% FY16 FY17 FY18 FY19 FY20 FY21 Q1 FY22 Dry Liquid (incl. Crude) Gas Container 14

  15. Slide 15: APSEZ: Financials highlights – Q1 FY22

    APSEZ : Financials highlights – Q1 FY22 (YoY, in INR cr.) Operating Revenue Operating EBITDA 99% 82% 2,293 4,557 1,438 2,620 Port Revenue Port EBITDA Port EBITDA Margin 100 bps 75% 78% 1,904 3,339 1,324 2,356 70% 71% PBT PAT EPS 60% 77% 72% 943 1,513 758 1,342 3.73 6.41 Q1 FY21 Q1 FY22 15 *EBITDA ex

  16. Slide 16: APSEZ: Key segment wise operating revenue & EBITDA - Q1 FY22

    APSEZ : Key segment wise operating revenue & EBITDA* - Q1 FY22 (YoY - Rs. in cr.) Ports Logistics 4,000 100% 300 268 100% 3,339 90% 80% 250 80% 3,000 200 2,356 70% 200 1,904 60% 60% 2,000 50% 150 1,324 40% 40% 30% 100 62 1,000 43 20% 20% 10% 50 - 0% - 0% Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Revenue EBITD

  17. Slide 17: Environment Social & Governance and CSR

    Environment Social & Governance and CSR Focus Areas • Committed to reduce carbon emission and become carbon neutral by 2025. • Efficient use of water and energy from cleaner sources • Reduction of emission levels • Zero tolerance for fatalities at ports

  18. Slide 18: APSEZ: ESG update Q1 FY22

    APSEZ : ESG update Q1 FY22 Q1 FY22 Performance Initiatives till date Energy Intensity* Emission Intensity* Wind Energy # Solar Energy# 1% ↑ 0.3 % ↑ 6 MW 14 MW 184 GJ/Revenue 23 tCO2e/Revenue Waste Management* Terrestrial Plantation Mangrove Water Intensity* 2989 Ha - Afforestation 35 % ↓ 83% 1.7 Mil

  19. Slide 19: APSEZ: Robust ESG assurance framework

    APSEZ : Robust ESG assurance framework Guiding principles United Nations Global Sustainable Development GRI Standards Compact Goals Disclosure Standards TCFD SBTi CDP disclosure Policy Structure Focus Area - UNSDG • Environment Policy • Climate Action E • Energy and Emission Policy • No poverty • Wa

  20. Slide 20: APSEZ: Social initiatives

    APSEZ : Social initiatives (Data for FY21) United Nations Education • More than 3,000 meritorious students from underprivileged sections receive free Sustainable Development Goals 2030 education along with daily meals at Adani Vidya Mandirs 2. Zero Hunger • 3200 students receive education at highly

  21. Slide 21: APSEZ: Governance initiatives

    APSEZ : Governance initiatives Policies Committees Assurance • Environment Policy • Corporate Responsibility Committee • Energy and Emission Policy (Proposed, targeted by Sep ‘21) • Water Stewardship Policy Corporate • Risk Management Committee Responsibility Committee* • Corporate Social Responsibi

  22. Slide 22: APSEZ: Response to recent developments

    APSEZ : Response to recent developments • Select Media houses and social platform carried a news item on freezing of few FPI accounts who are decades old shareholders in Adani Portfolio • In order to protect the interest of minority shareholders, APSEZ approached registrar and FPI Holdings in NSDL a

  23. Slide 23: APSEZ: Response to recent developments

    APSEZ : Response to recent developments • APSEZ believes that it is not in violation of any sanction guidelines issued by OFAC, and has, therefore, applied to OFAC for a general license to operate the Port, as it is expected to create stable jobs, promote private commercial trade, facilitate the arr

  24. Slide 24: APSEZ: Update on acquisition of Gangavaram Port Ltd (GPL)

    APSEZ : Update on acquisition of Gangavaram Port Ltd (GPL) • Our intent is to acquire 100% stake of Gangavaram Port Ltd. • Acquired 31.5% from Warburg Pincus for a consideration of Rs.1,954 Cr. in April 2021 at Rs.120 per share Transaction Status • Agreement has been signed with DVS Raju and Family

  25. Slide 25: APSEZ: Q1 FY22 performance and FY22 projections - Gangavaram Port

    APSEZ : Q1 FY22 performance and FY22 projections - Gangavaram Port (in Rs. cr.) Particulars (INR Cr) FY21 Q1 FY22 FY22E Growth (YoY) Cargo 32 9 39 21% Coking Coal 5 2 7 Non Coking Coal 13 3 14 Minerals 11 3 13 Other Dry Cargo 3 1 5 Operating Revenue 1057 313 1,408 33% Gangavaram port is a Rs / MT 32

  26. Slide 26: APSEZ: Update on acquisition of Surguja Rail Corridor Pvt. Ltd. (SRCPL)

    APSEZ : Update on acquisition of Surguja Rail Corridor Pvt. Ltd. (SRCPL) • As part consolidation of rail track assets, SRCPL is being acquired from Adani Group • Since this is a related party transaction, APSEZ has followed the board approved policy on “Sale or purchase of assets from related partie

  27. Slide 27: APSEZ: Q1 FY22 performance and FY22 projections - SRCPL

    APSEZ : Q1 FY22 performance and FY22 projections - SRCPL (in Rs. cr.) Asset Details: Particulars (INR Cr) FY21 Q1 FY22 FY22E Growth (YoY) • Track length - 70 KM • Capacity to handle 16 rakes per day Cargo (MMT) 15 4 19 26% • 50 Years land lease - Till 2065 Operating Revenue 452 114 543 20% EBITDA 39

  28. Slide 28: APSEZ: Outlook FY22, Revised

    APSEZ : Outlook FY22, Revised ❖ Cargo volume guidance revised to 350 - 360 MMT, a growth of 45% Volume ❖ This includes 10 MMT of incremental volume from existing ports and 39 MMT of Gangavaram port (GPL) which will be consolidated from April ‘21. ❖ Consolidated revenue - Rs.18,000 cr. – Rs.18,800 cr

  29. Slide 29: Annexures

    Annexures • Port wise cargo and financial details Q1 FY22 • ESG Performance Q1 FY22 • Results - SEBI Format • Major Ports Cargo Details • Annexed File – Cargo and Financial Details

  30. Slide 30: Port wise cargo and financial details Q1 FY22

    Port wise cargo and financial details Q1 FY22

  31. Slide 31: APSEZ: Mundra port - volume and financials Q1 FY22

    APSEZ : Mundra port - volume and financials Q1 FY22 (YoY - Rs. in cr.) Volume (MMT) Revenue & EBITDA* EBITDA margin Q1 FY21 Q1 FY22  52% at 68% up by  54% 460 bps 1211 4.2 6.5 9.6  63% 7.4 798 821 25.75 39.53 504 14.2 23.4 Revenue EBITDA Dry Container Liquid Dry Container Liquid Q1 FY21 Q1 FY22 •

  32. Slide 32: APSEZ: Krishnapatnam port - volume and financials Q1 FY22

    APSEZ : Krishnapatnam port - volume and financials Q1 FY22 (Rs. in cr.) Volume (MMT) Revenue & EBITDA* Port EBITDA Q1 FY22 margin at 73% 0.4 1.4 578 6.36 12.70 8.30 424 10.9 Revenue EBITDA Port Dry Container (MMT)* Liquid • With the acquisition of balance 25% stake Krishnapatnam port has become a wh

  33. Slide 33: APSEZ: Dhamra port - volume and financials Q1 FY22

    APSEZ : Dhamra port - volume and financials Q1 FY22 (YoY - Rs. in cr.) Volume (MMT) Revenue & EBITDA* Port EBITDA margin 62%, up Q1 FY21 71 bps  33% Q1 FY22 Port Port 0.8 0.8 Revenue EBITDA  29%  31% 6.36 8.47 390 241 303 185 5.6 7.6 Dry Liquid Dry Liquid Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Port Reve

  34. Slide 34: APSEZ: Hazira port - volume and financials Q1 FY22

    APSEZ : Hazira port - volume and financials Q1 FY22 (YoY - Rs. in cr.) Volume (MMT) Revenue & EBITDA* Q1 FY21  62% Q1 FY22  40% EBITDA margin 388 76% 0.6 0.9  36% 296 1.4 278 218 2.9 3.86 6.26 2.5 1.9 Dry Container Liquid Dry Container Liquid Revenue EBITDA Q1 FY21 Q1 FY22 • Growth in cargo lead

  35. Slide 35: APSEZ: Dahej port - volume and financials Q1 FY22

    APSEZ : Dahej port - volume and financials Q1 FY22 (YoY - Rs. in cr.) Volume (MMT) Revenue & EBITDA* Q1 FY21 Q1 FY22  177% EBITDA  157% margin 66% 102 up 800 bps  193% 67 0.70 1.94 40 23 1.9 0.7 Dry Dry Revenue EBITDA Q1 FY21 Q1 FY22 • Cargo volume rebounded with revival of economic activity post

  36. Slide 36: APSEZ: Kattupalli port - volume and financials Q1 FY22

    APSEZ : Kattupalli port - volume and financials Q1 FY22 (YoY - Rs. in cr.) Volume (MMT) Revenue & EBITDA* Q1 FY21 Q1 FY22  22%  12% 0.0 0.1 0.1 EBITDA 0.2 58 margin 51% 51  29% 36 1.48 1.80 26 1.3 1.5 Dry Containers (MMT)* Liquid Dry Containers (MMT)* Liquid Revenue EBITDA Q1 FY21 Q1 FY22 • Conta

  37. Slide 37: APSEZ: Terminals at major ports and Dighi - volume and financials Q1 FY22

    APSEZ : Terminals at major ports and Dighi - volume and financials Q1 FY22 (YoY - Rs. in cr.) Volume (MMT) Revenue & EBITDA* Q1 FY21  52% Q1 FY22  42% 0.02 121 EBITDA margin 0.5 21% 1.7 86 3.26 4.97  2% 3.3 26 25 2.7 Revenue EBITDA Dry Containers (MMT)* Dry Containers (MMT)* Liquid Q1 FY21 Q1 FY2

  38. Slide 38: APSEZ: Adani Logistics and Harbour services - financials Q1 FY22

    APSEZ : Adani Logistics and Harbour services - financials Q1 FY22 (YoY - Rs. in cr.) Logistics Harbour Services  34% 268  70% EBITDA EBITDA margin 23% 477  64% margin 87% 200 416 280  42% 253 62 43 Revenue EBITDA Revenue EBITDA Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 • Logistics revenue increased on acc

  39. Slide 39: ESG Performance

    adani Ports and Logistics ESG Performance

  40. Slide 40: APSEZ: ESG performance Q1 FY22

    APSEZ : ESG performance Q1 FY22 Energy Intensity Emission Intensity 786,542 900000 200 120000 25 800000 180 23 700000 182 184 160 100000 23 20 97286 • Energy, Emission and Waste 140 600000 501,333 120 80000 15 500000 400000 100 60000 intensity increased during the 80 62435 10 300000 200000 60 40000

  41. Slide 41: APSEZ: ESG performance Q1 FY22

    APSEZ : ESG performance Q1 FY22 Renewable Energy Share Safety 7 0.60 7. 00% 5.93% 0.54 6.00% 5.55% 6 0.50 5 5.00% 0.40 4.00% 4 4 0.30 3.00% 3 0.25 0.20 2 2.00% 3 2 0.10 1 1.00% 0 0.00 0.00% Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 RE Share (%) Fatal (No.) LTI (No.) Injury Rate • Renewable energy share at sim

  42. Slide 42: APSEZ: Consolidated financial performance – SEBI format

    APSEZ : Consolidated financial performance – SEBI format (` in crore) Quarter Ended Year Ended Sr. June 30, March 31, June 30, March 31, Particulars 2021 2021 2020 2021 No Unaudited . Unaudited Unaudited Audited (Refer Note 18) 1 Income a. Revenue from Operations 4,556.81 3,607.90 2,292.69 12,549.60

  43. Slide 43: APSEZ: Major Ports – Total Cargo Handled (MMT)

    APSEZ : Major Ports – Total Cargo Handled (MMT) Ports Q1 FY22 Q1 FY21 Growth % Deendayal (Kandla) 33 25 32% Paradip 30 26 18% JNPT 19 12 53% Visakhapatnam 18 15 15% Mumbai 14 11 23% Chennai 12 7 60% Haldia Dock Complex 10 9 16% New Mangalore 10 9 5% Kamarajar (Ennore) 10 5 86% V.O. Chidambaranar 9 8

  44. Slide 44: APSEZ: Major Ports – Containers Volume

    APSEZ : Major Ports – Containers Volume Ports Container Cargo (000' TEUs) Q1 FY22 Q1 FY21 Growth % J.N.P.T. 1,364 848 61% Chennai 408 213 92% V.O.Chidambaranar 202 153 32% Cochin 159 113 41% Kolkata Dock System 145 103 41% Deendayal 128 96 33% Visakhapatnam 125 114 10% Kamarajar(Ennore) 114 37 208%

  45. Slide 45: APSEZ – Details Annexed in Linked File

    APSEZ – Details Annexed in Linked File 1. Port-wise Cargo Volume Break up Q1 FY22 2. Ports and Logistics Vertical Key Financial Performance Q1 FY22 Please double click on the icon to open -

  46. Slide 46: Disclaimer

    Disclaimer Certain statements made in this presentation may not be based on historical information or facts and may be “forward-looking statements,” including those relating to general business plans and strategy of Adani Ports and Special Economic Zone Limited (“APSEZL”),the future outlook and grow

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