Singh told ET that city-side development will be implemented at all airports under Adani Airport’s management. The company aims to increase revenue from the non-aero segment, targeting a 75% contribution to overall revenue and operating profit, although no specific timeline was provided for achieving this goal.
Currently, the aero to non-aero revenue ratio stands at 75:25 at six airports, while Mumbai airport maintains a 50:50 ratio.
The airport business, managed by Adani Airport Holdings, a wholly owned subsidiary, currently operates seven airports across India, including those in Mumbai, Lucknow, Ahmedabad, Jaipur, Guwahati, Thiruvananthapuram, and Mangalore.
Adani Group’s Flight Path
The company has initiated Phase I of city-side development across 98 acres at five airports: Mumbai, Ahmedabad, Jaipur, Lucknow, and Guwahati.
Adani Enterprises’ annual report for 2023-24 states, “The company intends to redefine India’s airport infrastructure sector through gateway development, regional footprint growth, focus on consumers and non-passengers, and a deeper investment in digital technology interventions.”
The diversification of revenue streams, coupled with the government’s support for the public-private partnership model and India’s projected growth as the world’s third-largest aviation market, is expected to drive growth at Adani Airport.
The concept of a smart city, similar to GMR Aerocity in New Delhi, which offers food joints, retail brands, hotels, and premium office spaces near airport terminals, is being adopted by Adani Airport.
Additionally, the company is constructing the Navi Mumbai International Airport, which is expected to be completed by the end of this year or early next year. Singh also mentioned that once the airports business matures, it will be independently listed by 2028, following the Adani Group’s typical strategy of demerging incubated businesses within Adani Enterprises.