The logo of the Adani group.
| Photo Credit: Reuters
Adani Enterprises Ltd, the flagship company of billionaire Gautam Adani’s ports-to-energy group, on May 4 reported more than doubling of net profit in the March quarter on the back of healthy growth in airports and road businesses.
Net profit in January-March at ₹722.48 crore, or ₹6.34 per share, was 137% higher than ₹304.32 crore, or ₹2.77 a share, in the same period last year, according to a stock exchange filing by the company.
AEL, which is incubating business from clean energy to airports and data centres, saw revenue soaring to ₹31,716.40 crore in the fourth quarter of the 2022-23 fiscal from ₹25,141.56 crore a year back.
In a statement, it said passenger movement at the seven airports it operates rose 74% to 21.4 million while cargo movement was up 14%.
Road construction business as well as mining and primary industry business also contributed to the earnings increase.
“Once again, Adani Enterprises has lived up to its standing as not only India’s most successful business incubator but also one of the world’s most successful infrastructure foundries,” said Gautam Adani, Chairman, Adani Group.
“The past year’s results represent indisputable evidence of the strength and resilience of the Adani Group’s operational and financial performance. These exceptional results also highlight our consistent track record of gestating and building critical infrastructure businesses.”
Mega-scale infrastructure project execution capabilities and O&M management skills, which are comparable to the best in the world, are strengths that continue to derive from the Adani portfolio’s diversity to create reliable long-term value for all investors.
“Our focus remains on governance, compliance, performance, and cash flow generation,” he added.
For the full 2022-23 fiscal year (April 2022 to March 2023), profit jumped 218% to ₹2,473 crore while total income rose by 96 per cent to ₹1,38,175 crore. EBITDA more than doubled to ₹10,025 crore on the back of growth in incubating businesses – airports and roads apart from growth in integrated resource management (IRM) business in line with revenue.
Passenger movement at airports doubled to 74.8 million in FY23. New energy business saw a 15% rise in volume and a 7% growth was witnessed in mining services.
Giving an update on the construction of data centres, the company said the one at Noida just outside of Delhi is 37% complete while the Hyderabad one is 30% complete. Phase II of the Chennai data centre is almost half ready (Phase-1 17 MW is already operational).
There was also a pick up in solar module making as well as wind turbine manufacturing.
Mining services production increased by 17% to 10 million tonnes. AEL said it signed agreements for 3 commercial mines during January-March.
Gross debt at ₹38,320 crore as of March 2023 was lower than ₹41,024 crore borrowings a year back.
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