APM Pipavav reports 23% profit decline to ₹520 million for Q2 FY21

November 13, 2020: APM Terminals Pipavav reported 23 percent decline in net profit to ₹520 million for the second quarter ended September 30, 2020, compared to ₹671 million for the corresponding quarter of last year.

Revenues for the second quarter stood at ₹1,827 million as against ₹1,992 million, lower by 8%. Earnings before Interest, Tax, Depreciation and Amortization (EBITDA) fell to ₹1,029 million as compared to ₹1,267 million in Q2FY20.EBITDA margin stood at 56 percent in Q2FY21 as against 64 percent in Q2FY20; while net profit margin was at 28 percent during the July-September quarter as compared to 34 percent in Q2FY20.

For the first half-year ended Sep 30, 2020, the revenues stood at ₹3,416 million, lower by 9 percent compared to the first half of FY20. EBIDTA and Net profit declined by 13 percent and 20 percent respectively to ₹1,984 million and ₹984 million.

The quarter gone by has marked positive signs for the port as the Board of the company approved the investment of ₹700 crore for the expansion plan. The stated investment will be utilized for upgrading the port's existing facility to handle bigger ships and eventually expand the container capacity to 1.6 million TEUs.

The port recently commenced Integrated Container Tracking system under the Logistics Data Bank project (LDB) of the National Industrial Corridor Development Corporation (NICDC). The technology will enhance the visibility and efficiency of the Container logistics movement thereby improving the competitiveness of the Exim trade.