Reliance Defence
Gujarat Pipavav Port posted a very good performance for its third quarter ended 30th Sept 2013. The company reported an over 5 times surge in net profit at Rs.44 crore, up from Rs.8 crore in previous third quarter. The company which provides facilities for handling container and bulk carriers, showed a 34% (YoY) jump in total income at Rs.126 crore. There was a 30% rise in volume on additional services and upsizing in the container cargo segment. In the bulk and general cargo segment, it reported an equally robust rise at 31%, which was mainly on account of increase in volumes of mineral and coal shipments. EBITDA was up 82% at Rs.61 crore and EBITDA margins showed a very healthy jump from 35.7% to 48.6%.
The port, which commenced commercial operations in April 2002, has a deep water draught upto 14.5 metre and deploys 3 tugs for pilotage and towage services. It has a coal yard, 4 berths for bulk and container cargo aggregating to 1,075 metres and an LPG berth with a service deck of 65 metres. An all-weather port, protected by two islands acting as natural breakwater, Gujarat Pipavav port is strategically located near the entrance of Gulf of Khmabhat; being closer to north and north-west India (two regions together generating about 66% of total container throughput in India) vis-à-vis JNPT port at Mumbai. The port has established good rail and road connectivity. Through rail, cargo is transported in double stack container rakes, on a 269 km broad gauge railway line, run by Pipavav Railway Corporation Ltd., in which the company holds 38.8% equity interest. The company has issued its IPO at Rs.46/share and for the first time has given investors stuck in the stock since then an exit opportunity.