Adani Green Energy Q1 profit jumps 51% to ₹323 cr; revenue up 41%

Adani Green Energy Limited (AGEL), renewable energy arm of Adani Group, has reported 50.93% growth in consolidated net profit to ₹323 crore in the April-June quarter of FY23, compared with ₹214 crore in the same quarter last year. Sequentially, the profit dropped 36.3% from ₹507 crore in the March quarter of FY23.

The total revenue from operations surged 41.3% to ₹2,404 crore from ₹1,701 crore in the corresponding quarter last year. On quarter-on-quarter, the total revenue slipped by 19.5% from 2,988 crore in Q4 FY23.

The Ahmedabad- headquartered company posted a 55% YoY rise in cash profit to ₹1,051 crore in Q1 FY24, while revenue from power supply also grew by 55% to ₹2,059 crore. The EBITDA from power supply improved by 53% YoY ₹1,938 crore.

“The robust growth in revenue, EBITDA and cash profit is primarily driven by capacity addition of 2,516 MW over the last one year. The consistent industry-leading EBITDA margin is driven by AGEL’s best-in-class O&M practices enabling it to achieve higher electricity generation at lower O&M cost,” the Adani Group company says in a BSE filing today.

As per the company, it delivered an industry-leading EBITDA margin of 92.5%, up 70 basis points YoY. Run-rate EBITDA stood at ₹7,645 crore, with net debt to run-rate EBITDA standing at 5.3 times as of June 30, 2023. “The ratio continues to be well within the stipulated covenant of 7.5x for holdco bond. The deployment of long term capital has resulted in operationalization of significant capacities last year in turn resulting in higher EBITDA and hence lower leverage levels in line with AGEL’s prudent capital management approach,” it says in the exchange filing.

With an operational capacity of 8,316 MW, AGEL continues to have the largest operating renewable energy portfolio in the country.

In Q1 FY24, the solar portfolio capacity utilisation factor (CUF) improved by 40 bps YoY to 26.9%, aided by consistent high plant availability and improved solar irradiation.

The sale of energy increased by 70% YoY to 6,023 million units in Q1 FY24, primarily backed by strong capacity addition. For the wind portfolio, the sale of energy rose by 34%, though the wind CUF reduced primarily due to relatively lower wind speed, which was higher last year.

The solar-wind hybrid portfolio of 2,140 MW reported a hybrid CUF of 47.2%, up by 380 bps backed by new plants with technologically advanced solar modules (including bifacial modules and horizontal single axis trackers) and wind turbines, high plant and grid availability and improved solar irradiation.

“Path towards a sustainable future lies in embracing cleaner and greener sources of energy. We are committed to produce low-cost green electrons through a continued focus on operational excellence and technology innovation combined with use of Digital and Artificial Intelligence based solutions. Our team's unwavering dedication has been instrumental in achieving consistent strong financial and operational milestones," says Amit Singh, CEO, AGEL.

Singh says the company aims to grow its renewable power capacity to 45 GW by 2030 through solar, wind and solar-wind hybrid solutions as major contributors. “To enable integration of renewables in the grid, round-the-clock solutions with long-term clean storage structures such as pumped hydro will be a critical part of our solution mix, contributing to a greener future and underscore our dedication to combating climate change challenges.”

Following Q1 results, Adani Green Energy shares ended 0.12% higher at ₹1,093.10 on the BSE. The stock opened higher at ₹1,114.65 and hit an intraday high and low of ₹1,137.85 and ₹1082.40, respectively, during the session.