Q3 results: Adani Power net profit at Rs 2,737.96 crore

Adani Power

Adani Power Limited (APL) on January 25 reported a consolidated net profit of Rs 2,737.96 crore for the quarter ended December 31, 2023. The net profit for the same quarter in the year-ago period was Rs 8.77 crore.

Sequentially, the company's net profit declined from Rs 6,594.17 crore in the quarter that ended September 30.

Its revenue from operations came in at Rs 12,991.4 crore, up 67 percent from Rs 7,764.41 crore in the same quarter last year. Total revenue increased 61 percent to Rs 13,355.3 crore from Rs 8,290 crore.

The growth in revenue was due to higher operating capacity after commissioning of the Godda thermal power plant, and improved power offtake following growth in demand and lower imported fuel prices, the company said in a statement.

EBITDA for Q3FY24 stood 151 percent higher at Rs 5,009.17 crore, as compared to Rs 1995.53 crore in Q3FY23. This was due to higher contribution on account of lower fuel cost and strong merchant prices.

Consolidated power sale volume at 21.5 Billion Units (BU) in Q3 FY24, up by 82% from 11.8 BU in Q3 FY23 due to improved power demand and larger installed capacity.

SB Khyalia, CEO, Adani Power Limited, said, "The company's strategically located power plants and optimal capacity allocation between power purchase agreements (PPAs) and merchant capacities, coupled with its strength in fuel management and logistics and excellence in power plant operations and maintenance, have allowed it to address growing power demand and generate robust profitability. This has resulted in improved liquidity, which has in turn been utilised to reduce debt."

Khyalia said the ongoing brownfield capacity expansion of 1,600 MW at Mahan is on track, while the company is moving ahead to extend its leadership further inorganically.

Equity stake sale in two subsidiaries

In a separate filing, the company also informed the stock exchange that it has entered into a Memorandum of Understanding (MOU) to sell its 100 percent equity stake in its two wholly owned subsidiaries - Aviceda Infra Park Limited (AIPL); and Innovant Buildwell Private Limited (IBPL) - to AdaniConnex Private Limited (ACX). Consequently, AIPL and IBPL will cease to be wholly owned subsidiaries upon completion of the sell.

ACX is a joint venture between Adani Enterprises Ltd and private data center operator EdgeConneX.

Adani Power appoints new CFO

In another announcement on January 25, APL said that its incumbent Chief Financial Officer (CFO) Shailesh Sawa will be transitioning from his position to a new role in Group Regulatory Engagement for Adani portfolio of companies and Dilip Kumar Jha will be the new CFO starting April 1.

The Board of Directors of APL, while accepting the letter from Sawa relinquishing his position (from close of business hours on March 31, 2024), also approved the appointment of Dilip Kumar Jha, who presently serves as the Finance Head of the Integrated Resource Management vertical of Adani Enterprises Limited, as the new CFO-designate.