GMR Airports Ltd (GAL) is accelerating the scale-up of its airport adjacency businesses, with duty-free, cargo and F&B segments delivering record performances even as the company prepares for its next phase of expansion and real estate monetisation.
In its latest earnings call, the company said financials are now clearly reflecting the upsides from the takeover of duty-free operations at Indira Gandhi International Airport and Rajiv Gandhi International Airport. Both airports recorded their highest-ever monthly duty-free sales in December 2025, underlining the strength of passenger spending and improved operational control.
At Hyderabad, a new departures duty-free store was operationalised in January 2026, with full commissioning expected over the next two to three months. The expansion will significantly increase the departures retail area from 350 sq m to 1,200 sq m, boosting non-aero revenue potential. On the F&B front, phased openings are underway at Hyderabad, with all major outlets expected to be operational by the end of Q4 FY26.
Cargo operations have also hit new highs. The Delhi Cargo Terminal handled its highest-ever monthly tonnage in December 2025, reflecting strong trade flows and improved throughput efficiency.
The company said most of its major capital expenditure cycle is now behind it, including near-completion of the Bhogapuram airport project. With heavy capex largely executed, the strategic focus is shifting toward traffic capture, aero revenue growth and, crucially, scaling non-aero streams such as retail and real estate.
On real estate monetisation, GAL indicated that a new strategy centred on self-development of airport land parcels is being finalised and could be unveiled within the next three to six months. Construction of multiple land development projects is already underway across its operational airports.
At Hyderabad, a major milestone was achieved with the completion and inauguration of a 500,000 sq ft build-to-suit MRO facility for Safran, inaugurated by Prime Minister Narendra Modi.
Greenfield expansion remains central to GAL’s growth roadmap. At Bhogapuram, physical progress has reached 95.8% as of December 2025, with operationalisation targeted for Q2 FY27, ahead of the original December 2026 timeline. The Crete airport project has achieved 65% progress.
Meanwhile, Hyderabad airport is nearing its current capacity of 34 million passengers. GAL is evaluating a ₹12,000–13,000 crore expansion plan over four years, potentially including a new terminal, runway and cross taxiways, though the company aims to optimise existing capacity for another one to two years before launching the project.
The company also signalled strong interest in upcoming greenfield opportunities in Chennai and Pune, reiterating its preference for projects where phased development can be aligned with traffic growth.