Adani Airports, the aviation arm of Adani Enterprises, is eyeing robust growth as it gears up for the launch of the Navi Mumbai airport project by the end of the fiscal year 2024-25 (FY25).

According to Deputy Chief Financial Officer Saurabh Shah, the company expects an exponential surge in its operations with the completion of this greenfield project, stating, “This year we grew by about 20 percent in terms of the passenger movement that we had. And that similar trend should continue with additions coming from Navi Mumbai once we start that, which will be by the end of the coming year — in the end of FY25. So then, there will be an exponential jump in FY26 because of the new greenfield project that will be completed.”

Game changer

The completion of the Navi Mumbai airport project is touted to be a game-changer for Adani Airports, as it anticipates a 20 per cent growth trajectory for the current fiscal year, according to the company. Beyond FY25, the company foresees an exponential jump in operations fueled by the new greenfield project. With a robust financial performance and strategic expansions underway, Adani Airports is poised to further solidify its position in India’s aviation landscape.

An aviation industry report by CAPA India predicts a surge in Indian air travel. By March next year, Indian carriers are expected to have orders for a whopping 2,000 aircraft, reflecting long-term growth in both domestic and international travel, it said.

CRISIL, in its recent report, said that passenger traffic should ascend 18–20 percent this fiscal year (on-year), comfortably surpassing the pre-pandemic level, with business and leisure travel soaring. This trajectory is expected to sustain next fiscal year, too, given economic growth.

Q4 performance

The company witnessed a 111 per cent increase in profit before tax (PBT) in the fourth quarter of FY24, amounting to ₹29 crore, marking a significant turnaround from the previous fiscal’s loss of ₹275 crore in the same quarter. Revenues for the segment saw a year-on-year growth of 33 percent, totaling ₹2,156.39 crore for Q4 FY24 and ₹7,905.11 crore for the entire fiscal.

Adani Airports has also reduced its yearly losses to ₹64 crore in FY24 from ₹538 crore in the preceding fiscal, demonstrating a positive trajectory in its financial performance. The Airports segment’s contribution to the overall earnings before interest, taxes, depreciation, and amortisation (EBIDTA) surged to 45 per cent in FY24, amounting to ₹2,437 crore.

With seven operational airports, including Mumbai, Ahmedabad, Thiruvananthapuram, Jaipur, Lucknow, Guwahati, and Mangaluru, Adani Airports currently serves 23 per cent of India’s total air passenger base. Among these, Mumbai airport leads in passenger traffic, handling 13.9 million passengers in Q4 FY24, followed by Ahmedabad airport with 3.1 million passengers.

“The emerging core infra businesses comprising the ANIL Ecosystem, Airports, and Roads are making significant strides in their operational performance. The contribution of these businesses to the overall EBIDTA has consistently increased to 45 per cent for FY24,” the company stated.

In line with its expansion strategy, Adani Airports inaugurated Phase I of the integrated terminal 3 at Lucknow Airport during the quarter, capable of serving eight million passengers annually. Additionally, the company added 10 new routes, seven new airlines, and 18 new flights, underscoring its commitment to enhancing connectivity and passenger experience across its airport network.

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