Adani Energy Solutions (ADANIENSOL) Q3 24/25 earnings summary

Executive summary

• Achieved strong growth in revenue, EBITDA, PAT, and CAPEX deployment across projects in Q3 FY25, maintaining momentum in all operational and financial parameters.

• Board approved unaudited standalone and consolidated results for the quarter and nine months ended 31 December 2024.

• Statutory auditors issued unqualified limited review reports for both standalone and consolidated results.

• No material impact from regulatory or legal proceedings, including short seller allegations and US DOJ/SEC actions against a non-executive director.

• Secured major projects, including the HVDC Bhadla-Fatehpur transmission project (INR 2,500 crore CAPEX) and Khavda Phase 4 Part D (Pune-Boisar project), expanding the transmission CAPEX pipeline to INR 55,000 crore from INR 17,000 crore.

Financial highlights

• Consolidated Q3 FY25 revenue from operations: ₹5,830.26 crore (up from ₹4,562.73 crore YoY).

• PAT for Q3 reached ₹625.30 crore, marking an 80% year-over-year increase.

• Operational EBITDA rose 9% to INR 1,579 crore, and overall EBITDA increased 6% to INR 1,831 crore.

• Distribution sales grew by 3%, with T&D losses reduced to 4.66% and reliability exceeding 99.9%.

• Standalone Q3 FY25 revenue: ₹348.69 crore; net profit after tax: ₹163.76 crore.

Outlook and guidance

• Targeting CAPEX deployment of INR 12,000 crore for FY25 and INR 18,000 crore for FY26, with aggressive smart meter rollout planned.

• Aims to maintain a 20% market share in upcoming INR 60,000 crore transmission project bidding over the next year, with a selective approach to preserve financial ratios and returns.

• Expects power demand growth to recover to about 5% per annum, driven by new metro and data center projects.

• Recent acquisitions of transmission SPVs classified as asset acquisitions, expected to enhance network capacity.

• Management sees no material consequences from ongoing or concluded regulatory investigations.