GMR Airports (GMRINFRA) Q4 24/25 earnings summary

Executive summary

• Total income for FY25 reached INR 108 billion, up 18% year-on-year, with EBITDA up 22.5% to INR 42 billion; Q4 FY25 income was INR 29.8 billion, up 16% year-on-year, and EBITDA was INR 11.2 billion, up 19%.

• Passenger traffic grew 9% year-on-year in FY25 to 120.5 million, with record traffic at Delhi and Hyderabad airports.

• GAL increased its stake in Delhi International Airport (DIAL) to 74% after acquiring Fraport's 10% stake.

• Major merger and rebranding completed, effective September 2024, with new equity and preference shares issued to Groupe ADP.

• Strong ESG focus, with Delhi and Hyderabad airports achieving Level 5 Carbon Accreditation and multiple industry awards.

Financial highlights

• FY25 consolidated revenue from operations was INR 108 billion, up 18% year-on-year; Q4 FY25 revenue was INR 29.8 billion, up 16% year-on-year.

• FY25 EBITDA increased 22.5% year-on-year to INR 42 billion, with margins at 51%; Q4 FY25 EBITDA was INR 11.2 billion, up 19% year-on-year.

• FY25 net loss was INR 8.2 billion, nearly unchanged year-on-year; Q4 FY25 net loss was INR 2.9 billion.

• Interest expenses and depreciation rose in FY25 due to project capitalizations.

• Non-aero revenues at all airports rose 13% year-on-year in Q4 and FY25, with duty-free spend per passenger also increasing.

Outlook and guidance

• Management expects improved revenue and margins in subsequent years, citing new tariff orders and project capitalizations.

• GAL to take over Nagpur Airport in Q1 FY26 and expand duty-free operations at Delhi and Hyderabad in Q2 FY26.

• Accelerated progress on greenfield projects at Crete (48% complete) and Bhogapuram (69% complete).

• GAL expects to be in a position to pay dividends from FY28 as cash flow generation matures.