Adani Ports to boost logistics revenue 5x by FY2029 as diversification, cargo growth and warehousing fuel strong financial momentum.
India’s largest private port operator, Adani Ports and Special Economic Zone (APSEZ), has unveiled an ambitious plan to multiply its logistics revenue fivefold to ₹140 billion ($1.59 billion) by fiscal year 2029, a massive leap from ₹28.81 billion in FY25. The aggressive push comes as the company rapidly expands beyond its core port operations into logistics, warehousing, and port-feeder services to safeguard growth amid global economic uncertainty.
The strategic shift reflects a broader industry trend: Indian port operators are increasingly building multi-revenue business models to reduce reliance on international cargo flows, which remain exposed to geopolitical disruptions and trade volatility.
Logistics Segment Surges, Drives Revenue Share Upward
APSEZ’s latest second-quarter results showcase the momentum behind this expansion. Revenue from its logistics vertical soared 79% year-on-year, now contributing 11.5% to the company’s total revenue, up from 8% a year earlier. The boost is supported by growing demand for domestic logistics solutions as India’s commercial activity accelerates.
Overall, the company reported ₹91.67 billion in revenue from operations, up 30% year-on-year, powered by robust cargo flows.
Cargo Volumes Hit 124 million tonnes
Cargo handling reached 124 million metric tonnes, rising 12% compared to the previous year. This growth outpaces the prior quarter’s 11% and underscores strong domestic industrial and consumption trends.
Profits also climbed 27% to ₹31.09 billion ($354 million), aided by operational efficiencies and increased throughput.
Competitive Edge Over Smaller Rivals
While competitors like JSW Infrastructure also posted higher cargo volumes, profits were weighed down by lower iron ore export demand. Adani Ports’ strategy of diversifying into allied services is proving effective in insulating business performance against fluctuating export markets.
The Road Ahead
With warehousing, logistics corridors, and integrated supply chain services forming the next growth frontier, APSEZ is positioning itself to withstand global headwinds while riding India’s consumption-driven economic wave. If the current trajectory continues, Adani Ports is well on track to redefine logistics leadership in the region.
Source: ET
