The shares of this Adani Group cracked by 3 percent on Friday as it received a threat to its key port operated in Israel. In this article, we will dive into the details of what the news is about and how it could affect it.
With a market capitalization of Rs 3,04,990 crores, the shares of Adani Ports & Special Economic Zone Ltd are currently trading at Rs 1,412 per share, down by 12 percent from its 52-week high of Rs 1,604.15 per share. Over the past five years, the stock has delivered a return of 308 percent.
Haifa Port has been established as Israel’s largest port and is now a key regional hub, close to the Suez Canal. The port specializes in containers, bulk cargo, vehicles, and cruise ships.
The port is operated in collaboration with the Gadot Group, where APSEZ and Gadot Group hold 70 and 30 percent respectively. The port is located along the proposed IMEC corridor, and the port also has significant rail connectivity, which makes it a critical asset in regional logistics and trade with India and Europe.
In FY24-25, the port’s EBITDA rose 36 percent YoY with a new union agreement signed in April 2025. The port saw a revenue growth of 5.39 percent to Rs 1,711 crore and a net profit decline of 4.41 percent to Rs 349.75 Crore.
The port has an installed capacity of 26 MMT and handled 10.6 MMT of cargo in the last FY. The port has also begun to take steps to improve environmental monitoring activities and began livestock handling in FY25.
Yahya Saree, the Houthi spokesman, announced that Israel’s Haifa port is now a military target, and called upon worldwide shipping companies to cut all ties to it. He warned that attacks will continue until the blockade of Gaza and all military operations are over. They gave a similar warning in May, calling vessels headed to Haifa military targets.
This development is an important escalation of Houthi threats, and extends their maritime campaign beyond the Red Sea and towards Israel’s northern coast, which brings up new questions regarding the security of trade and commerce in the region.
Financial Highlights
The company reported a revenue of Rs 30,475 crores in FY25, up by 14 percent from its FY24 revenue of Rs 26,711 crores. Additionally, it reported a net profit growth of 36.5 percent to Rs 11,061 crores in FY25 from Rs 8,104 crores in FY24.
The stock has delivered an ROE and ROCE of 18.71 percent and 13.80 percent and is currently trading at a P/E of 29.54x as compared to its industry peers of 21.97x.
Adani Ports and SEZ is the largest port developer and operator in India. They operate ports or terminals at or across both Coasts. With a total capacity of 633 MMT, they handle 27 percent of the country’s total cargo throughout their 15 ports and 30 terminals. They have also gone global, operating Haifa Port in Israel, a terminal in Tanzania, and managing Abbot Point in Australia.
In Shorts:- Adani Ports shares fell 3% after Yemen’s Houthi rebels declared Haifa Port a key Adani asset in Israel- a military target. This raises major concerns over port safety, potential cargo disruptions, and insurance costs.
Haifa is a strategic hub near the Suez Canal, and any escalation could impact regional trade flows. If attacks intensify, vessel traffic may reduce, impacting volumes and revenue.
Written by Satyajeet Mukherjee
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