Mundra Port profit rises 12% in 2007-08
The company that runs India’s biggest private sector port, Mundra Port and Special Economic Zone Ltd, reported a 12.4% increase in net profit for the year to March, boosted by strong demand for importing raw materials and exporting finished goods.
Owned by billionaire Gautam Adani, the firm said its net profit rose to Rs210.42 crore in 2007-08 from Rs187.17 crore a year ago. Revenues in the same period increased to Rs844.92 crore from Rs586.95 crore.
It also recommended a dividend of Rs1.50 a share.
During?the?year, the?firm?sold shares worth Rs1,771 crore to the public through an initial public offering and became the first port to be listed in India.
Mundra Port handled 28.8 million tonnes (mt) of cargo in fiscal 2007-08, up from 19.8mt a year ago. The port’s crude oil cargo jumped to 7.1mt from 3.6mt in the year-ago period, said Devendra Amin, the spokesman for the Ahmedabad-based firm.
The port also handles bulk and container cargo.
The company is currently constructing a Rs2,000 crore, 30mt capacity a year coal terminal to handle coal imported by Tata Power Ltd and Adani Power Ltd for their planned power projects in Mundra.
It is also developing a Rs100 crore car export terminal at the port in partnership with automobile maker Maruti Suzuki India Ltd.
This is part of a plan to increase its cargo handling capacity by adding 12 berths to the existing 13.
When fully developed by 2012, the port will have the capacity to handle more than 100mt of cargo. “Mundra Port is taking a long-term view to create cargo handling facilities, including berths for handling containers ahead of demand,” said an executive at the company, who didn’t want to be named as he is not authorized to speak to the media.
The Adani Group has been operating a new container terminal at Mundra since late 2007. “Several new shipping services have started calling at the new terminal and more are expected in coming months,” the same executive said.
These include weekly direct European services run by Hapag-Lloyd AG and Hamburg Süd, as well as another one by Islamic Republic of Iran Shipping Lines (Irisil).
The Dubai-government owned DP World already runs a container handling facility at Mundra port, which handled 711,549 20-foot equivalent units (TEUs), in the 12 months to March 2008. The Adani container terminal handled about 50,000 TEUs till March.
The two container terminals will have a capacity to handle about 2.5 million TEUs a year.