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Mumbai: Industrial logistics player Aegis Vopak Terminals Limited (AVTL) has reported a strong 15.3% rise in Profits After Tax (PAT) for the quarter ended March 31 at ₹738.74 crore from ₹640.79 crore reported from the same time last year. This comes at a time when the company has seen high capacity utilization of its coastal infrastructure across its network.
Revenues for the quarter also increased 22.2% to ₹2,434.52 crore from ₹1,991.69 crore from the same period last year as the company capitalized on India’s energy import boom.
Along with this, AVTL has also declared a final dividend of ₹0.20 per ₹10 equity share for the quarter.
The Roadmap to $5 billion
The company is aiming to meet its long-term goal of reaching $5 billion in revenue by 2030 and is looking to transition from a regional logistics player to a global one. To do this, the company is:
- FY27 milestone: The company is looking to touch $1.2 billion in revenue by the next fiscal year, given that it has addressed most of its debt.
- LPG capacity tripling: AVTL is aiming to expand its LPG storage footprint from 70,800 MT to 200,800 MT by constructing a new premier cryogenic LPG hub at the New Mangalore port and expanding its existing Pipavav facility with a 48,000 MT cryogenic layout.
- The clean Ammonia pivot: With increasing preferences for decarbonizing, AVTL is also looking to build India’s first independent ammonia terminal holding 36,000 MT at Pipavav Port, with a commissioning target by Q1 FY27.
Segment Operational Breakdown
Currently, AVTL’s business operates on an effective duopoly across two specialised coastal terminal assets:
- Liquid Terminal (49.7% Q4 Revenue Share): Third-party storage of specialized industrial chemicals, base petroleum products, and complex feedstocks remained the top revenue generator, contributing roughly ₹344.73 crore. The company is looking to expand this across its JNPA (Mumbai), Mangalore, and Kochi facilities to keep up with intense domestic chemical manufacturing activity.
- Gas Terminal Acceleration (50.3% Q4 Revenue Share): Driven by the storage and distribution of LPG, propane, and butane, the division brought in ₹276.35 crore. With demand for gas remaining steady, the company aims to strengthen this vertical through further infrastructure upgrades.
Future Outlook
After using a substantial portion of its ₹2,800 crore IPO proceeds to pay down its debt, AVTL has managed to bring down its net debt to equity ratio to a comfortable 0.6x. Despite the volatility in the logistics space due to the West Asia conflict, the company has successfully strengthened India’s bulk logistics infrastructure with JV Aegis’s Dutch partner Vopak’s global technological progress with Aegis’s deeply embedded domestic port network. With this, the company is all set to further strengthen its balance sheet as it works towards its 2030 goal.
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