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Informist, Tuesday, Oct. 29, 2024

 

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--Adani Ent Jul-Sept consol net profit INR 17.42 bln
--Adani Ent Jul-Sept consol net profit INR 17.42 bln vs INR 2.28 bln
--Adani Ent Jul-Sept consol revenue INR 226.08 bln vs INR 195.46 bln
--Adani Ent Oks fund raise of INR 20 bln via non-convertible debentures
--Adani Ent board withdraws merger plan between Adani Ent, Adani Wilmar
--Adani Ent Apr-Sept consol net profit INR 31.96 bln vs INR 9.02 bln
--Adani Ent Apr-Sept consol revenue INR 480.80 bln vs INR 421.91 bln
--Adani Ent-Adani Wilmar merger off; Wilmar has to meet public shrholding
--Adani Enterprises Jul-Sept consol EBITDA INR 43.54 bln, up 46% on year
--Adani Ent Jul-Sept airports business revenue INR 22.76 bln, up 17% on yr
--Adani Ent Jul-Sept mining services revenue INR 8.03 bln, up 64% on yr
--Adani Ent Jul-Sept integrated resource mgmt revenue INR 96.97 bln
--Adani Ent Jul-Sept integrated resource mgmt revenue down 22% on year
--Adani Ent: Adani New Ind ecosystem revenue INR 31.15 bln in Jul-Sept
--Adani Ent: Adani New Ind ecosystem revenue up 61% on year in Jul-Sept

 

By Avishek Rakshit

 

KOLKATA – Revenue growth across all its major business verticals, and the same outpacing the rise in costs, led diversified conglomerate Adani Enterprises Ltd to report a whopping 664.5% jump in its consolidated net profit to INR 17.4 billion for the September quarter.

 

The company's consolidated revenue increased 15.7% on year to INR 226.1 billion, while total expenses increased 8.2% to INR 207.9 billion. Backed by increased profits from its joint ventures, and associates, the company's consolidated net profit zoomed during the quarter under review. This is the third consecutive quarter where Adani Enterprises saw revenue growing on an on-year basis after recording a decline during Oct-Dec of last fiscal. Also, this is the second straight quarter the company recorded sequential growth in profit after four quarters of decline, barring Oct-Dec of 2023-24, when the profit had surged 729% sequentially.

 

The flagship company of the Adani Group had reported a consolidated net profit of INR 2.3 billion, on revenues of INR 195.5 billion in the year-ago period. During Apr-Jun, it had reported a net profit of INR 14.54 billion and revenues of INR 254.7 billion.

 

"Adani Enterprises continues to focus on investing in logistics, energy transition and adjacent sectors that are core to the economic growth of the country," Gautam Adani, chairman of the Adani Group said in a company issued statement. "Our focus on execution of greenfield projects in ANIL across three giga scale integrated manufacturing plants and the accelerated development of Navi Mumbai International Airport are driving these robust results." Adani New Industries Ltd, or ANIL as the company calls it, is the new focus area for the company which is expected to drive growth in the coming years.

 

Adani said the company is poised to repeat this level of growth across data centres, roads, metals and materials, and specialised manufacturing in coming days.

 

Although most of the business verticals reported growth in revenue and profit, the integrated resource management business – the largest revenue generator for the company, accounting for 57% of its annual turnover – reported a 22% on-year decline in revenues to INR 96.97 billion, and 30.5?ll in profit to INR 7.1 billion, according to the company's investor presentation.

 

The airports business reported a 17% on-year revenue growth for Jul-Sept to INR 22.8 billion, and Adani Enterprises' revenue from mining services increased 64% on-year to INR 8.0 billion. Revenue from the ANIL business increased 61% on year to INR 31.2 billion.

 

In the statement, Adani Enterprises said during Apr-Sept, solar panel module sales crossed 2 gigawatts, and exports increased 64% on year and domestic sales rose 139%. The earnings before interest, taxes, depreciation, and amortisation margins from this business continued to improve on account of improved sales realisation and operational efficiency through integrated production of cell and module line. The company's wind turbine manufacturing division also crossed a milestone of producing 300 blades during the quarter under review.

 

During Jul-Sept, the airports division benefitted from the addition of six new routes and airlines with the addition of 13 new flights which contributed towards revenue growth. Thiruvananthapuram International Airport has been accredited to Level 2 of the Airport Customer Experience Accreditation Programme by ACI for continuous improvement in customer experience, the company said.

 

The roads division received a provisional date to commence commercial operations for its first build-operate-transfer project to connect Panagarh with Palsit in West Bengal. A similar approval was also received for a project in Telangana which is being built under the hybrid annuity model.

 

During Apr-Sept, the company reported a sharp 254.5% on-year increase in its consolidated net profit to nearly INR 32 billion, and revenue increased nearly 14.0% to INR 480.8 billion. Adani Enterprises reported its highest ever half-yearly EBITDA during Apr-Sept, which increased 47% to INR 86.5 billion. Continued strong operational performance by ANIL, focussed on solar manufacturing and wind turbine business, and the airports business verticals led the EBITDA growth.

 

The company's board Tuesday decided to withdraw the draft scheme of arrangement between Adani Enterprises, Adani Wilmar Ltd., and their respective shareholders and creditors, citing that the latter needs to fulfil its compliance obligations to achieve the prescribed minimum public shareholding.

 

In August, Adani Enterprises' board had approved the demerger of its food business to Adani Wilmar, along with its strategic investment in Adani Commodities LLP on a going concern basis. The demerged entity was to be merged into Adani Wilmar. Adani Enterprises had then said that the foods business had become self-sustained, performing well and poised for further growth under Adani Wilmar. For Adani Enterprises, this will unlock value for shareholders and allow focused strategy for sustained growth in its incubating business.

 

Its board Tuesday also approved the public issuance of non-convertible debentures not exceeding INR 20 billion, in one or more tranches, subject to all regulatory approvals.

 

On Tuesday, shares of Adani Enterprises closed 1.8% up at INR 2,848.6 on the National Stock Exchange.  End

 

Edited by Tanima Banerjee

 

 

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