Adani Enterprises Net Profit Falls 51% in Q2 FY24, Adani Power Profit Grows 848% to ₹6,594 Crore

Adani Enterprises, India’s largest diversified conglomerate, today reported a net profit of ₹1,784 crore for the second quarter of the financial year 2023-24 (Q2 FY24), down 51% from ₹3,559 crore in the same quarter a year ago. Revenue for the quarter grew 24% to ₹1.1 lakh crore, from ₹90,567 crore in the previous year.

The company’s performance was impacted by lower profits from its port and logistics segment, which was affected by weak demand and rising costs. The company’s power segment, however, continued to perform well, with profits growing 848% to ₹6,594 crore.

Port and Logistics Segment

The port and logistics segment’s revenue grew 18% to ₹45,378 crore, from ₹38,212 crore in the previous year. The segment’s EBIT margin declined to 11.2% from 12.7% in the previous year.

The decline in the segment’s EBIT margin was primarily due to lower volumes and rising costs. The company said that it expects the segment’s performance to improve in the coming quarters, driven by strong demand and capacity expansion.

Power Segment

The power segment’s revenue grew 84% to ₹50,429 crore, from ₹27,255 crore in the previous year. The segment’s EBIT margin improved to 13.1% from 10.9% in the previous year.

The growth in the power segment was driven by higher tariffs and improved operational efficiency. The company said that it expects the segment’s performance to continue to grow in the coming quarters, driven by rising demand and capacity expansion.

Outlook

Adani Enterprises said it expects to continue to grow in the coming quarters, driven by strong demand for its products and services. The company is also investing in new businesses, such as data centers and renewable energy, to diversify its portfolio.

Key Highlights

• Net profit of ₹1,784 crore for Q2 FY24, down 51% from ₹3,559 crore in the previous year
• Revenue of ₹1.1 lakh crore for Q2 FY24, up 24% from the previous year
• Port and logistics segment revenue grew 18% to ₹45,378 crore
• Power segment revenue grew 84% to ₹50,429 crore
• Company expects to continue to grow in the coming quarters

Adani Power

Adani Power, a subsidiary of Adani Enterprises, today reported a net profit of ₹6,594 crore for the second quarter of the financial year 2023-24 (Q2 FY24), up 848% from ₹742 crore in the same quarter a year ago. Revenue for the quarter grew 84% to ₹50,429 crore, from ₹27,255 crore in the previous year.

The company’s performance was driven by higher tariffs and improved operational efficiency. Adani Power said that it expects the segment’s performance to continue to grow in the coming quarters, driven by rising demand and capacity expansion.

The company’s capacity has increased to 15.7 GW, of which 13.4 GW is operational. The company is targeting to add 10 GW of capacity by 2025.