Sunday, September 8, 2024

JSW Infrastructure maintains 10-12% volume growth guidance for FY25 – CNBC TV18

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JSW Infrastructure, a private port operator based in Mumbai, has reaffirmed its volume growth guidance of 10-12% for 2024-25 (April-March), even as maintenance shutdowns affected the April-June 2024 quarter.

Joint MD and CEO Arun Maheshwari said the company’s guidance does not yet reflect the full potential volumes from the recent acquisition of Navkar Corporation.

In the first quarter of FY25, the company handled cargo volumes of 27.8 million tonnes (MT), 9% higher than the last year.

The volume growth was driven by the incremental volumes from the acquired assets and increased capacity utilisation at the Paradip iron ore and coal terminal.

The company reported a revenue of ₹1,009 crore during April-June 2024 (Q1FY25), a 15% increase year-over-year. The earnings before interest, taxes, depreciation, and amortisation (EBITDA) margin was at 5.02%, and the profit after tax (PAT) grew nearly 10% to ₹297 crore.

JSW Infrastructure recently said it will acquire a 70.37% shareholding in Navkar Corporation. from its promoters and promoter group.

Maheshwari said the acquisition is a strategic move to enhance last-mile connectivity and delivery, aiming to increase customer loyalty.

Navkar is strategically located in Mumbai and Gujarat and also well-connected.

JSW Infrastructure’s subsidiary has also entered a concession agreement with the VO Chidambaranar Port Authority in Tamil Nadu. This acquisition is viewed as highly beneficial due to the rich hinterland, with an estimated 10 to 12 million tonnes of cargo within a 20 to 50-kilometer radius.

The company expects the port to operate at nearly full capacity in its first year.

Regarding the Murbe port project, JSW Infrastructure is awaiting feedback from the Maharashtra Maritime Board.

If approved, this port would significantly enhance the company’s capabilities, particularly given the expansion of their Dolvi, Vasind, and Tarapur plants.



The company, which has a market capitalisation of ₹65,908 crore, has seen its shares rise 99% over the last year.

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