Adani Ports Shares Soar 5%; Stock Extends Gains for Fifth Session Today

Shares of Adani Ports and Special Economic Zone today rose nearly 5% to hit an intraday high of Rs 1,326 on the National Stock Exchange after its managing director Karan Adani said that the company is focusing on scaling up its marine, logistics and agri-logistics businesses.

The Adani group port operator will invest Rs 13,000 crore in Vizhinjam International Seaport in phase 2, which will take the port's cargo handling capacity from current 1.2 million TEUs (twenty-foot equivalent units) to almost 5 million TEUs by 2028, Karan Adani said in an interview with PTI.

"We are proxy to what the country's growth is going to be. I think the country is growing," he said. "...we do not see major, major disruption happening because of the ongoing tariff wars," he added.

The stock also sailed north on Friday after the company’s earnings for the March quarter showed a robust performance in the said period. The stock has extended the gains for the fifth consecutive session today. This rally has brought it 11% over the April 25 closing price.

Adani Ports’ consolidated net profit for the March quarter beat the Street's view on the back of a 23% on-year rise in its top line, which itself was driven by higher cargo volumes, especially a 11% rise in volumes at the Mundra port in Gujarat. The company's bottom line for the quarter under review jumped 48% on year, despite a 28% increase in operating expenses.

For the March quarter, the company’s port volume rose 8% on year and volumes of the Mundra port, which contributes 45% of the total volumes of the company, rose 11%. On other hand, volumes at other ports of the company rose a meagre 1%. Its international volumes, though small in comparison, nearly tripled on year. It had also announced a dividend of Rs 7 per share for FY25.

Apart from a stellar Q4 performance, a positive outlook also boosted the market sentiments. The company expects its revenues to rise to Rs 36,000 crore-Rs 38,000 crore in FY26. To achieve the lower-end of the target, the company should register an 18% growth over FY25 revenue.

The port operator also said that it has plans to spend Rs 11,000-Rs 12,000 crore as capital expenditure in FY26. Of this, it plans to spend Rs 6000 crore in its domestic ports segment and Rs 2,000 crore each in its logistics and international ports segments. The remaining will be invested in the marine business and towards decarbonisation and improving technology.