Motilal Oswal sees Adani Airports’ traffic growth lifting retail and F&B revenue
Motilal Oswal has initiated Buy coverage on Adani Enterprises with a Rs 3,880 target, citing its eight-airport portfolio. Passenger traffic is projected to rise from 96 million in FY26 to 119 million by FY29, supporting higher non-aeronautical income from retail, food and commercial services, including at Navi Mumbai Airport.
What happened
Motilal Oswal initiated Buy coverage on Adani Enterprises with a Rs 3,880 target. Its airport portfolio, including Navi Mumbai Airport, is expected to drive
Key facts
- Rs 3,880 target price
- 25% upside potential
- 8-airport portfolio
- Passenger traffic projected to rise from 96 million in FY26 to 119 million in FY29
- Airport EBITDA CAGR of 24% for FY26-FY29
- Solar cell and module capacity projected to rise from 4 GW to 10 GW by FY27
- Data-centre capacity of 55 MW in FY26, targeting 3 GW by 2030
- Data-centre EBITDA margin target above 70%
- Primary-industry EBITDA CAGR estimated at 47% for FY26-FY29
- Revenue CAGR estimated at 22% for FY26-FY29
- EBITDA CAGR estimated at 29% for FY26-FY29
- FY29 EBITDA projected at nearly Rs 29,900 crore versus about Rs 14,000 crore in FY26
Why this matters
The growing Adani Airports passenger base, including Navi Mumbai Airport, creates partnership and acquisition opportunities in travel retail, quick-service food, lounges and airport commercial services.
What to watch
- Quarterly passenger traffic growth versus the FY26-to-FY29 trajectory of 96 million to 119 million.
- Navi Mumbai Airport commissioning date, route additions and initial load-factor ramp.
- Non-aeronautical revenue per passenger, retail sales per passenger and F&B conversion rates.
- Retail concession occupancy, lease renewals and minimum-guarantee terms.
- Domestic versus international passenger mix, since international traffic typically has higher duty-free and premium retail spend.
- Airline capacity deployment, fare trends and competitive airport expansion in Mumbai and other Adani markets.
- Accelerate retail, F&B, lounge and advertising concession tenders ahead of Navi Mumbai Airport operations.
- Prioritize premium and high-conversion categories such as duty-free, quick-service restaurants, travel essentials, beauty and electronics.
- Use passenger-flow data and digital loyalty programs to raise conversion, dwell time and spend per passenger.
- Bundle airport commercial inventory across the eight-airport network to secure national brand and media contracts.
- Increase landside monetization through hotels, offices, parking, logistics and airport-city development near high-growth terminals.