Adani Power (ADANIPOWER) Q1 24/25 earnings summary

Executive summary

• Q1 FY25 consolidated revenue grew 30% year-over-year to ₹15,052 crore, driven by a 38% increase in power sale volumes to 24.1 BU and improved demand and capacity utilization.

• EBITDA rose 53% year-over-year to ₹6,290 crore, and profit before tax surged 95% to ₹4,483 crore, reflecting higher sales, lower import fuel prices, and reduced finance costs.

• Achieved strong year-on-year growth in PLF to 78% and power dispatch of 26 billion units, driven by higher demand and improved operational efficiency.

• Expansion plans underway, including Mahan Energen Phase 2 (1,600 MW) and advanced preparations for three new 1,600 MW ultra-supercritical projects at Raipur, Raigarh, and Mirzapur.

• Targeting total capacity of 30,670 MW by 2029-30 through brownfield, greenfield, and inorganic growth.

Financial highlights

• Continuing operating revenue for Q1 FY25 grew 29% year-over-year to INR 14,717 crore; total revenue up 30% to INR 15,052 crore.

• Continuing EBITDA rose 53% year-over-year to INR 6,290 crore, driven by higher volumes and lower fuel costs.

• Profit before tax (excluding one-time items) nearly doubled to INR 4,483 crore; reported PBT was INR 4,906 crore, down from INR 8,800 crore last year due to prior period regulatory income.

• Profit after tax for Q1 FY25 was INR 3,912 crore, compared to INR 8,759 crore in Q1 FY24, reflecting normalization after last year’s one-time gains.

• Finance cost reduced to INR 811 crore from INR 883 crore year-over-year; depreciation increased due to new capacity commissioning.

Outlook and guidance

• Confident of continued strong performance, supported by favorable government projections for thermal power demand and ongoing capacity expansion.

• Aggregate power generation capacity in India projected to double by FY32, with significant coal-based capacity additions expected.

• Expecting significant new long-term PPA opportunities as states seek to ensure 24x7 supply; three states have already called for 6,400 MW of thermal bids.

• Maintaining a strategy of 80% capacity tied to long-term PPAs and 20% merchant exposure to balance risk and optimize returns.

• Strategic focus includes derisking growth plans, enhancing operational agility, and expanding capacity in key regions.