The Adani Group, a leading conglomerate with a focus on infrastructure and renewable energy, reported a significant increase in its earnings before interest, taxes, depreciation, and amortization (EBITDA) for the year 2023. The group’s 12-month trailing EBITDA stood at ₹78,823 crore, marking a 34.4% increase, with its core infrastructure businesses contributing ₹66,208 crore, up 35.4% year-on-year.
The group has announced plans to invest around $100 billion in green energy transition over the next several years, underscoring its commitment to sustainable development. This announcement came as the group reported a cash balance of $4.5 billion at the end of 2023.
During the first nine months of FY24, companies within the group raised funds amounting to ₹91,290 crore from both domestic and overseas markets. The group’s EBITDA in Q3 of the current fiscal was ₹19,475 crore, up 63.6% year-on-year, with around 81% contributed by the infrastructure business.
Looking ahead, the group faces debt maturities of close to ₹42,000 crore in FY25 and FY26, and ₹38,662 crore in FY27. The group’s total debt stands at around ₹2.3-lakh crore, with Adani Green Energy and Adani Ports and Special Economic Zone shouldering the majority of the debt. Of its total long-term debt of $25.5 billion, global banks account for 30%, and domestic banks 29%.
Adani Enterprises Spearheads Emerging Businesses
Adani Enterprises, the incubator within the group, houses all emerging businesses such as airports, green hydrogen, roads, data centres, and defence, which make up around 45% of its EBITDA.
The seven airports in its portfolio reported a 23% rise in passenger movements at 65.6 million in FY24 so far, with a forecast to reach 85 million by the year-end. The upcoming airport in Navi Mumbai is set to commence its first phase at the end of 2024, and city-side developments have also begun.
Four out of the group’s 10 road projects are partially completed, and one data centre is operational in Noida.
Energy and Logistics Sectors Show Promise
Green energy is a major thrust area for the group. Under Adani Green Energy, it has a renewable capacity of 9 GW, expected to increase to 45 GW by 2030.
Adani Energy Solutions, which runs the power utility business, is planning to distribute power in Navi Mumbai, Greater Noida, and Mundra. It is also supplying smart meters and has a pipeline worth ₹25,000 crore to supply smart meters in Andhra Pradesh and Uttarakhand.
In the logistics sector, Adani Ports and Special Economic Zone handled 311 million tonnes (mt) of cargo in the first nine months of FY24. The management has raised the annual volume guidance to 400 mt from the earlier 370-390 mt.
Adani Cements Reports Strong Capacity
The total capacity of Adani Cements was over 77 mt at the end of December, indicating a strong position in the cement sector.
