Adani Enterprises (ADANIENT) Q1 24/25 earnings summary

Executive summary

• Achieved record quarterly EBITDA of ₹4,300 crore, up 48% year-over-year, with incubating businesses contributing 62% of total EBITDA, reflecting strong performance in green energy and airports.

• Consolidated profit before tax rose 107% to ₹2,236 crore, and consolidated income increased 13% to ₹26,067 crore year-over-year.

• Board approved demerger of Food FMCG business to Adani Wilmar and a composite scheme to simplify the new energy business structure under Adani New Industries Limited.

• Unaudited standalone and consolidated financial results for the quarter ended 30th June 2024 were approved, with major corporate restructuring schemes involving demergers and amalgamations.

• Incubating businesses now contribute a majority of EBITDA, up from 45% last year, reflecting successful scaling of new ventures.

Financial highlights

• Q1 FY25 consolidated income was ₹26,067 crore, up 13% year-over-year; consolidated net profit after tax was ₹1,772.26 crore, up from ₹676.93 crore in Q1 FY24.

• EBITDA margin improved to 12.18% in Q1 FY25 from 9.92% in Q1 FY24; net profit margin rose to 5.71% from 2.62%.

• Incubating business revenue grew 63% to ₹9,342 crore, EBITDA up 107% to ₹2,667 crore, and PBT up 208% to ₹1,562 crore year-over-year.

• Green hydrogen ecosystem revenue increased 138% to ₹4,519 crore, EBITDA up 3.6x to ₹1,642 crore.

• Airports revenue up 27% to ₹2,177 crore; IRM revenue at ₹11,201 crore, with segment profit before interest and tax at ₹883.97 crore.

Outlook and guidance

• Solar manufacturing order book fully booked for FY25; plans to expand capacity from 4 GW to 10 GW by end of FY26.

• Wind manufacturing order book covers 1.5 years of capacity; plans to ramp up to 3 GW.

• Mining MDO volume target of 35 million MT for FY25, rising to 55 million MT in FY26; Carmichael Mine to reach 12 million MT in FY25 and 15 million MT by FY26.

• Navi Mumbai Airport on track for completion and operationalization by March 2025, with initial capacity of 20 million passengers.

• The demerger and amalgamation schemes are expected to unlock value, enhance focus, and drive growth in both the Food FMCG and new energy businesses.