Adani Ports: Revenue Up 24% in Q2, Container Share Slipping

Adani Ports and Special Economic Zone ( NSE: ADANIPORTS) is India’s largest private port operator. Its network includes 16 Indian ports, 4 international ports, 12 multimodal logistics parks, 138 marine vessels and a trucking platform with over 40,000 trucks. Domestic port capacity stands at 671 MTPA. What happened: In Q2FY27, APSEZ reported consolidated revenue of Rs 11,340 crore, up 24% year on year. Net profit rose 18% to Rs 3,682 crore. Domestic ports contributed Rs 7,177 crore, up 13% year on year. International ports grew 71% to Rs 1,839 crore, with an EBITDA margin of 47.7%, up from 24.2%. Logistics revenue was Rs 1,273 crore, up 21%, but EBITDA grew only 8%. Why it matters: Phase II of the Colombo West International Terminal was inaugurated on 30 September 2026, doubling capacity from 1.6 to 3.2 million TEUs after a US$750 million investment. In June 2026, MSC’s terminal arm TiL agreed to acquire a 30% stake in Vizhinjam, valuing it at US$2.85 billion. Vizhinjam capacity is targeted at 5.7 million TEUs by December 2028. What I am watching: APSEZ held a 44.4% container market share in Q2FY27, down from 45.9% in Q2FY26. The Vizhinjam transaction with TiL remains subject to regulatory approvals. Logistics EBITDA grew slower than revenue, a sign of cost pressure in that segment. The stock closed at Rs 1,850 on 30 October 2026, at 31.2 times earnings and a yield of 0.41%. Jefferies rates it Buy, target Rs 2,160. My stance: The scale of the APSEZ network is real and the international port numbers are strong. But container market share is declining and logistics margins are under pressure. At 31.2 times earnings, execution on Vizhinjam and Colombo must now deliver. I do not hold a position in Adani Ports at the time of writing. This is not investment advice.