GMR Airports Soars to Profitability in Q2 FY26 Amidst Strategic Expansions

GMR Airports Limited (GAL) has reported a robust financial performance for the second quarter and first half of fiscal year 2026, marking a significant turnaround with its first positive Profit Before Tax (PBT) in over three years. The company, a leading global airport platform, demonstrated strong operational resilience and strategic execution, despite navigating temporary external challenges.

For Q2 FY26, GMR Airports recorded a consolidated total income of INR 3,754 crore, reflecting a substantial 45% year-on-year growth. This impressive surge was primarily fueled by the implementation of revised tariffs at Delhi Airport, effective mid-April 2025, which significantly boosted aero revenues. The strategic takeover of Delhi duty-free and cargo businesses, alongside Hyderabad duty-free operations, also contributed positively to the financials, with the full impact anticipated in the upcoming Q3. For the first half of FY26, the consolidated revenue from operations stood at INR 6,875.2 crore.

Financial Highlights: A Strong Comeback

The company's EBITDA for Q2 FY26 increased by 59% year-on-year to INR 1,531 crore, achieving a record high for the quarter. This led to a positive Profit After Tax (PAT) of INR 351 million, a remarkable recovery from a loss of INR 4.3 billion in Q2 FY25. For H1 FY26, EBITDA reached INR 2,812 crore, up 42% year-on-year. This strong profitability was achieved despite a notional forex loss of approximately INR 0.6 billion in Q2 FY26 due to Euro/INR rate fluctuations.

Here's a snapshot of GAL's consolidated financial performance:

Operational Resilience and Strategic Growth Drivers

While overall passenger traffic at GMR-operated airports saw a 3.5% year-on-year decline in Q2 FY26, primarily due to temporary disruptions from geopolitical events and runway upgradation at Delhi Airport, management expressed confidence in a swift recovery. The re-opening of the upgraded runway 10/28 and the full operationalization of Terminal 2 at Delhi Airport are expected to drive a significant pick-up in traffic during the seasonally strong Q3 and the upcoming winter schedule.

Hyderabad Airport continued its growth trajectory, with management projecting 33 million passengers for the year, representing a 10-12% growth. The airport also achieved record quarterly EBITDA and was recognized for its operational excellence, including Level 4 ACI Airport Customer Experience Accreditation.

GAL's strategic focus on non-aero and adjacency businesses is yielding strong results. Non-aero revenues across Delhi, Hyderabad, and Goa Airports collectively rose 13% year-on-year in Q2 FY26. The company aims for a minimum 15% year-on-year growth in this segment, leveraging new ventures like the Delhi Cargo City development, which is expected to generate healthy EBITDA margins exceeding 70% from lease rentals.

Here's a breakdown of H1 FY26 revenue from operations by product segment:

Advancing Greenfield Projects and ESG Leadership

Progress on greenfield projects remains robust. Bhogapuram Airport is 87.5% complete, targeting operational readiness by December 2026. Crete Airport in Greece, a debt-free project funded by state grants, has achieved 60.1% progress and is expected to be completed within the next two years. These projects underscore GAL's commitment to expanding its global footprint and enhancing its asset base.

In terms of sustainability, GMR Airports continues to be a leader. Delhi Airport achieved the IGBC Net Zero Waste to Landfill Platinum Certification for all three terminals, a first in India. Hyderabad Airport was honored as