GMR vs Adani: Who Really Controls India’s Airports?

Synopsis: India’s airports are shaped by two very different players. Adani dominates in size, handling more airports, passengers, and cargo across the country. GMR, on the other hand, owns the most profitable hubs like Delhi and Hyderabad, earning more per passenger and holding valuable land for the future. Both lead, just in different ways.

India’s airport sector has quietly transformed into one of the most strategic infrastructure battlegrounds in the country. Passenger traffic is rising, air cargo is becoming mission-critical for trade, and airports are evolving into commercial ecosystems rather than just transit points. At the centre of this transformation are two dominant private players: GMR Airports and Adani Airport Holdings. While both operate large airport portfolios, their scale, business models, revenue drivers, and long-term strategies differ meaningfully. Understanding who truly “controls” India’s airports requires going beyond headline passenger numbers and examining asset quality, monetisation depth, revenue stability, and future expansion visibility.

Scale of Airport Portfolio and Geographic Reach

From a pure asset-count perspective, Adani Airport Holdings operates a larger number of Indian airports, while GMR Airports runs a more geographically diversified portfolio across India and overseas markets.

Adani Airport Holdings currently manages eight operational airports across India: Mumbai (along with the recently inaugurated Navi Mumbai airport), Ahmedabad, Jaipur, Lucknow, Guwahati, Mangaluru, and Thiruvananthapuram. Collectively, these airports account for 23 percent of India’s total passenger traffic, 22 percent of air traffic movements, and an even higher 29 percent of the country’s cargo volumes, underscoring Adani’s strong presence in logistics-heavy hubs like Mumbai and Ahmedabad.

GMR Airports operates a geographically diversified airport portfolio across India, Southeast Asia, and Europe, anchored by its two most mature and cash-generating assets, Delhi and Hyderabad airports, which have benefited from steady passenger and cargo growth over the past decade and continue to offer strong visibility on future traffic and cash flows due to long remaining concession lives and ample expansion capacity. Beyond these core hubs, the company has expanded into airports such as Mopa in Goa, Medan in Indonesia, and Mactan Cebu in the Philippines, which are currently in ramp-up or early growth stages but come with long concession tenures and significant headroom for capacity and commercial expansion, positioning them as incremental revenue drivers over time. 

The portfolio is further complemented by smaller domestic airports and long-duration development projects including Nagpur, Bidar, Bhogapuram, and Crete, which, despite their limited current earnings contribution, offer substantial optionality through large land banks, phased capacity additions, and non-aeronautical monetisation opportunities, collectively allowing GMR Airports to balance stable cash flows from mature assets with long-term growth and value creation.

While Adani’s network is broader within India, GMR’s portfolio spans India, Southeast Asia, and Europe, offering exposure to multiple aviation markets and regulatory regimes.

Passenger Traffic, Cargo Volumes, and Operational Throughput

Passenger throughput remains the most visible indicator of airport dominance, and here both players show strong but contrasting profiles. Adani Airport Holdings handled 46 million passengers in H1FY26, marking a modest 2 percent year-on-year growth, despite a slight decline in air traffic movements from 305,400 to 301,700 ATMs. Cargo volumes, however, rose from 5.5 lakh metric tonnes to 5.7 lakh metric tonnes, reinforcing Adani’s leadership in air freight.

GMR’s passenger base is more concentrated but significantly larger at key hubs. Delhi Airport alone handled 79.3 million passengers in FY25, while Hyderabad Airport processed 29.5 million passengers, taking GMR’s two flagship airports to nearly 109 million passengers annually. Over the past decade, Delhi recorded a 6.8 percent passenger CAGR, while Hyderabad grew at a much faster 10.9 percent CAGR, indicating structurally higher growth momentum.

Cargo trends also favour GMR’s hubs, with Delhi registering a 4.7 percent cargo CAGR and Hyderabad growing cargo volumes at 5.2 percent CAGR over the last ten years. 

Revenue Size, Growth, and Quality of Earnings

The difference between the two platforms becomes sharper when revenue composition and growth quality are examined. GMR Airports reported gross income of Rs. 3,750 crore in Q2FY26, representing a sharp 45 percent year-on-year growth, while H1FY26 gross income stood at Rs. 7,080 crore, up 38 percent year-on-year. Importantly, this growth came despite flat passenger traffic of 57.9 million in H1FY26, indicating that GMR’s earnings expansion is increasingly yield-driven rather than volume-driven.

Adani Airport Holdings reported total income of Rs. 3,167 crore in Q2FY26, up from Rs. 2,276 crore a year earlier. For H1FY26, total income rose 32 percent year-on-year to Rs. 5,882 crore. While this reflects healthy growth, it is more closely linked to rising passenger numbers, improving commercial penetration, and expansion across newly acquired airports.

In absolute rupee terms, GMR Airports reported higher income than Adani Airport Holdings during both Q2FY26 and H1FY26, despite operating a more concentrated portfolio. This underscores the superior revenue density and monetisation at GMR’s flagship assets, particularly Delhi Airport. In contrast, Adani’s growth is driven by a broader airport network and improving commercial penetration, but several assets remain in scaling mode, keeping overall revenue intensity lower on a per-airport basis.

Aeronautical Revenue and Tariff Power

Aeronautical revenue is the most regulated yet stable income stream for airport operators, and tariff outcomes significantly influence long-term cash flows. GMR has benefited disproportionately from tariff revisions at Delhi Airport under Control Period 4. Aeronautical yield per passenger jumped to Rs. 469 in Q2FY26, a massive 69 percent year-on-year increase. For H1FY26, aeronautical yield averaged Rs. 433 per passenger, up 59 percent year-on-year, despite flat traffic.

Delhi Airport alone recorded 166 percent year-on-year growth in aeronautical income in Q2FY26, lifting total income to Rs. 18.5 billion and EBITDA to Rs. 6.7 billion, with margins expanding to 64 percent. Hyderabad Airport delivered steadier growth of 7.6 percent year-on-year, supported by rising traffic and a stable tariff regime.

Adani Airport Holdings also benefited from tariff revisions across four airports, with aero yield per passenger rising to Rs. 485 in H1FY26, up 20 percent year-on-year. Aeronautical revenue increased from Rs. 1,823 crore in H1FY25 to Rs. 2,229 crore in H1FY26.While Adani’s aeronautical yield per passenger is currently higher in absolute terms, GMR’s tariff-led growth at Delhi has created a step-change in earnings stability and margin expansion.

Non-Aeronautical Monetisation and Passenger Spend

Non-aeronautical income is where airports generate incremental margins, and this is an area where both players are aggressively scaling. GMR’s non-aeronautical revenues at Delhi Airport rose 11 percent year-on-year to Rs. 17.3 billion in H1FY26, while Hyderabad Airport saw a much stronger 28 percent growth to Rs. 3.7 billion. In Hyderabad, retail and duty-free accounted for 29 percent of non-aero income, followed by food and beverages at 20 percent, advertising at 13 percent, and car parking at 11 percent. At Delhi, space rentals and cargo together formed over 34 percent of non-aero revenues.

Passenger spending metrics also improved. Duty-free spend per passenger at Delhi increased to around Rs. 1,045, while Hyderabad recorded 24 percent growth in retail, 27 percent growth in food and beverages, and 31 percent growth in advertising revenues.

Adani Airport Holdings reported even sharper growth in non-aero income, with H1FY26 non-aero revenue rising from Rs. 2,069 crore to Rs. 2,823 crore, a 36 percent year-on-year increase. Non-aero income per passenger reached Rs. 614, up 34 percent, driven by duty-free, food and beverage expansion, digital initiatives, and higher retail penetration. Duty-free alone contributed 34 percent of non-aero revenue, while food and beverages recorded the fastest growth, rising from Rs. 162 crore to Rs. 486 crore in H1FY26.

Land Banks, Real Estate, and Long-Term Optionality

One of the most underappreciated differentiators between the two platforms lies in land ownership and real estate monetisation. GMR controls over 2,500 acres of airport land across its portfolio. Hyderabad alone has 1,500 acres, while Delhi holds 230 acres, enabling large-scale commercial development including offices, hotels, MRO facilities, cargo cities, and mixed-use projects. Airports such as Mopa, Bhogapuram, and Nagpur come with multi-decade concession lives and vast land banks, positioning GMR to create long-term, non-regulated revenue streams beyond airport operations.

Adani also has significant real estate potential, particularly around Mumbai and Navi Mumbai airports, but much of its monetisation strategy is still evolving. The upcoming Navi Mumbai International Airport, with an initial capacity of 20 million passengers, is expected to materially boost Adani’s airport earnings over the next few years.

Future Growth Visibility and Strategic Direction

Looking ahead, both platforms have strong expansion pipelines, but their strategies differ. GMR’s growth is anchored in capacity expansion at existing hubs, ramp-up of newer airports like Mopa and Medan, and long-duration greenfield projects such as Bhogapuram, which is planned for 40 million passengers. With concession lives exceeding 40 years at key airports, GMR’s earnings visibility stretches well into the future.

Adani’s near-term growth is more volume-led, driven by the commissioning of Navi Mumbai Airport, a new terminal at Guwahati, and continued improvement in commercial monetisation across its existing network. The company is also leveraging technology and digital initiatives, including AI-driven passenger engagement platforms, to improve yields and service efficiency.

Conclusion: Who Really Controls India’s Airports?

Control in India’s airport sector depends on how it is defined. Adani Airport Holdings dominates in terms of national footprint, cargo share, and total passenger coverage, making it the largest private airport operator by reach. However, GMR Airports controls the country’s most valuable and profitable airport assets, with Delhi and Hyderabad delivering superior yields, margin expansion, and long-term cash flow visibility.

Adani’s strength lies in scale and network effects. GMR’s advantage lies in asset quality, tariff power, and real estate optionality. In reality, India’s airport ecosystem is not controlled by one player alone. It is shaped by two distinct but equally powerful strategies, one focused on breadth and national dominance, and the other on depth, yield, and long-term value creation.

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.

The post GMR vs Adani: Who Really Controls India’s Airports? appeared first on Trade Brains.