Adani Ports & Special Economic Zone Ltd. share price target

We attended an analyst visit to Dhamra port arranged by Adani Ports (ADSEZ) and came away extremely impressed by the waterfront/ cargo handling/ rail evacuation infrastructure.Management expects 30% volume growth to sustain driven by inbound cargo and outbound cargo .

Adani Ports & SEZ (APSEZ) began commercial operations in October 2001, post entering into concession agreement with GMB to build, operate and maintain the port for a period of 30 years till 2031 extendable by another 20 years. The port is into providing cargo handling services for bulk, crude and container cargo. The company has also received approval to develop the adjacent port land as a multiproduct SEZ. The company is the first port in India to handle one million TEU...

Background: Adani Ports & SEZ (APSEZ) began commercial operations in October 2001, post entering into concession agreement with GMB to build, operate and maintain the port for a period of 30 years till 2031 extendable by another 20 years. The port is into providing cargo handling services for bulk, crude and container cargo. The company has also received approval to develop the adjacent port land as a multiproduct SEZ. Notification has been issued to ~16,000 acres of land while the company is in talks to acquire more land to add to its SEZ portfolio. Since inception, APSEZ has posted 31% CAGR in last 3 years and handled ~144 MT cargo in FY15,...

Total cargo handled grew by a muted 2% yoy to 37mn tonnes. Mundra port reported a decline of 3% yoy in cargo volumes (-2% yoy for FY16) Total cargo volumes for FY16 stood at 151.5mn tonnes dragged down by coal volumes...

Background: Adani Ports & SEZ (APSEZ) began commercial operations in October 2001, post entering into concession agreement with GMB to build, operate and maintain the port for a period of 30 years till 2031 extendable by another 20 years. The port is into providing cargo handling services for bulk, crude and container cargo. The company has also received approval to develop the adjacent port land as a multiproduct SEZ. Notification has been issued to ~16,000 acres of land while the company is in talks to acquire more land to add to its SEZ portfolio. Since inception, APSEZ has posted 31% CAGR in last 3 years and handled ~144 MT cargo in FY15,...

Total cargohandledgrew by a muted2%yoyto 37.9mn tonnes. Cargo volumes were dragged down by coal volumes (13% yoy), but partly mitigated by crude (+14% yoy) andcontainercargovolumes(+13%yoy)....

Background: Adani Ports & SEZ (APSEZ) began commercial operations in October 2001, post entering into concession agreement with GMB to build, operate and maintain the port for a period of 30 years till 2031 extendable by another 20 years. The port is into providing cargo handling services for bulk, crude and container cargo. The company has also received approval to develop the adjacent port land as a multiproduct SEZ. Notification has been issued to ~16,000 acres of land while the company is in talks to acquire more land to add to its SEZ portfolio. Since inception, APSEZ has posted 31% CAGR in last 3 years and handled ~144 MT cargo in FY15,...

Total cargo handled grew by a muted 4% yoy to 36.5mn tonnes. Mundra port too reportedmutedtrafficgrowthof1.8%yoy. The results were boosted by exceptional SEZ income (standalone/consolidated at Rs...

Standalone (Mundra port) EBITDA came in at Rs6.14 bn +23% YoY as EBITDA Margin surged higher by 349 bps YoY at 66% (ex other operating income). Margin expansion driven by price hike taken at...

Background: Adani Ports & SEZ (APSEZ) began commercial operations in October 2001, post entering into concession agreement with GMB to build, operate and maintain the port for a period of 30 years till 2031 extendable by another 20 years. The port is into providing cargo handling services for bulk, crude and container cargo. The company has also received approval to develop the adjacent port land as a multiproduct SEZ. Notification has been issued to ~16,000 acres of land while the company is in talks to acquire more land to add to its SEZ portfolio. Since inception, APSEZ has posted 31% CAGR in last 3 years and handled ~144 MT cargo in FY15,...