Adani Energy Solutions shares: Focus will be on Adani Energy Solutions Ltd. on Thursday morning after the Adani group firm revealed that its net profit for the March quarter dropped 13.3% to Rs 381 crore from Rs 440 crore in the same quarter previous year. The company’s shares have increased 41% in the last six months. In a BSE filing, the Adani company said that profit, excluding one-off, decreased by 7.6% to Rs 387 crore.
Revenue increased 17.4% YoY to Rs 3,560 crore from Rs 3,031 crore during the quarter. With additional revenue contributions from the Warora-Kurnool, Karur, Kharghar-Vikhroli, and MP-II lines as well as consistently controlled Ebitda from the distribution sector, operating Ebitda increased by 3% to Rs 1,619 crore for the quarter.
Adani Energy Solutions stated that it has a strong pipeline of under-construction projects of Rs 17,000 crore that are now in the execution phase within the transmission segment. In the upcoming quarters, the business plans to commission the MP-II package, NKTL (North Karanpura), Khavda Phase-II, Part-A, and the WRSR (Narendra-Pune) lines.
“Upward of Rs 1.10 lakh crore under various stages, the industry’s near term (12-18 months) tendering pipeline is buoyant,” the Gautam Adani-led business stated.
When it comes to the distribution business, Adani Energy Solutions stated that internal accruals have helped the segment maintain a consistent performance with double-digit revenue growth and an increase in the regulatory asset base (RAB).
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It stated that the total Regulatory Asset Base (RAB) for the distribution business has increased to Rs 8,485 crore from Rs 5,532 crore since the acquisition in 2018.
In an effort to expand, AESL has sought for a parallel distribution license in the Gujarati subdistrict of Mundra, Greater Noida (Gautam Buddha Nagar) in Uttar Pradesh, and Navi Mumbai in Maharashtra.
“AEML reported investing over Rs 1,334 crore in capital expenditure during the year and successfully decreased its long-term debt by Rs 855 crore through a bond buyback initiative,” it stated.
In the meanwhile, the company stated that Smart Meters is a new business segment that is developing well and will eventually contribute significantly to AESL’s total growth and profitability.
Contracts totaling 21 million meters were awarded to Adani Energy Solutions by the DISCOMs of Andhra Pradesh, Maharashtra, Bihar, and Uttarakhand in FY24. It stated that there are already 22.8 million smart meters in the under-implementation pipeline, which consists of nine projects with a combined contract value of more than Rs 27,195 crore.
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