DBT Bureau
Pune, 28 Jan 2025
JSW Infrastructure Limited, a part of the JSW Group and India’s second-largest private commercial port operator, today announced its results for the third quarter and period ending 31st December 2024.
Key Highlights for Q3 FY25
· The revenue reached Rs 1,265 Crore, reflecting a 24% year-on-year growth.
· EBITDA stood at Rs 670 Crore, marking a 20% year-on-year increase.
· PAT reached Rs 336 Crore, showing a 32% year-on-year growth.
· Strong Balance Sheet, well positioned to pursue growth
o The Net Debt to EBITDA (TTM*) ratio stands at 0.4x.
o Cash and Cash equivalents of Rs 4,845 Crore
Consolidated Financial Performance Q3 FY25
During the quarter, the Company handled cargo volumes of 29.4 million tonnes which is higher by 5% over the last year. The volume increase was driven by the increased capacity utilisation in the coal terminal at Paradip, the contribution from PNP port and Liquid Storage Terminal, UAE. The growth was partially offset by lower cargo volumes in the Iron Ore terminal at Paradip.
The increase in the third-party volume was stronger with 31% year-on-year growth and the share of Third Party in the overall volumes stood at 49% vs 39% a year ago.
The higher volume and integration of the recently acquired Navkar Corporation translated to 24% year-on-year growth in the total revenue which stood at Rs 1,265 Crore. EBITDA increased to Rs 670 Crore (+20% YoY) with a robust margin of 52.9%. Consequently, PAT stood at Rs 336 Crore, reflecting a growth of 32%.
Key Business update
· Overall Capacity enhancement to 174 mtpa from 170 mtpa
o Mangalore Coal Terminal: The cargo handling capacity increased to 8.1 mtpa, from 6.7 mtpa.
o PNP port: The capacity increased to 8mtpa from 5mtpa on the back of dredging activities while the Environmental Clearance (EC) is in place for 19mtpa.
· Interim operations commenced at JNPA (Liquid Terminal): At JNPA, the company obtained approval from the relevant authorities to commence interim operations. It handled nearly 90,000 tonnes of liquid edible oil during November and December 2024. Similar efforts are underway to secure approvals for interim operations at the Tuticorin Dry Bulk Terminal.
· Low Risk on ESG: The global ESG risk rating agency, Morningstar Sustainalytics, has rated JSW Infrastructure Limited as “Low Risk” on ESG. This rating from a globally regarded agency confirms our belief, ability, and commitment to manage ESG risks as part of our overall business strategy.
Growth Strategy
As previously announced, the company has embarked on a growth plan to increase its cargo handling capacity to 400 million tonnes per annum (mtpa) by FY 2030 or earlier, up from the current capacity of 174 mtpa. To achieve this, it has outlined a comprehensive capital expenditure (capex) plan of Rs 30,000 crores.
Additionally, the Company has increased its total capex guidance to Rs 39,000 crores, with an additional Rs 9,000 crores earmarked for expanding its logistics segment. This expansion aims to build on the Navkar acquisition to develop a robust pan-India logistics network for last-mile connectivity.
The Company is targeting a top line of Rs 8,000 crores for its logistics segment, with a 25% EBITDA margin, resulting in industry-leading Return on Capital Employed (ROCE). With a strong balance sheet, the Company is well-positioned to pursue both organic and inorganic growth without compromising its leverage ratios.
