Adani Enterprises Ltd (AEL), the flagship company of the $12 billion Adani Group, has registered a standalone net loss of Rs 30.82 crore for the fourth quarter ended March 31, 2017 of fiscal 2016-17. As against this, the company had posted a standalone net profit of Rs 70.50 crore for the fourth quarter ended March 31, 2016 of fiscal 2015-16.
AEL's standalone Q4 total income grew by 27.38 per cent to Rs 2,884.66 crore in FY17, up from Rs 2,264.59 crore in the corresponding period last year. On an annual basis, AEL's standalone net profit fell by 57.38 per cent to close at Rs 221.64 crore in FY17, down from Rs 520.11 crore the previous fiscal, while its standalone total income in fiscal 2016-17 grew marginally by 1.70 to Rs 9,282.18 crore, up from Rs 9,126.50 crore in previous fiscal.
On a consolidated basis, Adani Enterprises posted a 72.31 per cent rise in its net profit for Q4 of FY17 at Rs 218.80 crore, as against Rs 126.98 crore. Consolidated Q4 total income in FY17 of AEL grew by 47.75 per cent to Rs 12,360.22 crore, from Rs 8,365.14 crore in Q4 of FY16. AEL's annual consolidated net profit in financial year 2016-17 fell by 7.45 per cent to Rs 925.25 crore, down from Rs 999.83 crore in financial year 2015-16. On the other hand, the company's annual consolidated total income grew by 8.32 per cent to close at Rs 38,056.44 crore in FY17, up from Rs 35,130.66 crore a year ago.
According to Rajiv Nayar, Group CFO Adani Group, the financial results came on the back of operational performance across key segments. "Our continued focus on infrastructure, energy and agro sectors is expected to continue to drive our performance and we remain committed to maintaining high operating parameters to create value for our stakeholders," said Nayar.
Commenting on the results, Gautam Adani, Chairman, Adani Group said, "We at Adani Enterprises focus on sectors of national interest paying attention to renewable energy, mining and agro infrastructure business that is critical for the country. The government's initiatives to enhance economic reforms in the country are highly encouraging. We remain focused on executing our strategy and increasing momentum of our businesses across the key sectors for long term, sustainable growth. We remain committed to play an enhanced role in Nation Building across various geographies."
Among its key business segments, AEL's Mine Development and Operations (MDO) business at Parsa Kente coal mines in Chattisgarh supplied 33 per cent higher washed coal of 7.33 million metric tonnes (MMT) to RRVUNL in FY17 as compared to 5.50 MMT in FY16. In the renewable energy segment, the company commissioned a 100-Mw solar power project in Punjab, the largest in India with single-axis tracking technology in fiscal 2016-17. The company also commissioned a 48-Mw Wind power project in Gujarat. "With this, the company now has operationalised renewable projects of 808 Mw with a further pipeline of 1,264 Mw of projects under various stages of implementation across the country," AEL stated.
Going forward, the company's city gas distribution business envisages future growth through a 50:50 joint venture with Indian Oil Corporation which has been awarded city gas project in cities like Allahabad, Chandigarh, Ernakulum, Daman, Panipat, Udham Singh nagar and Dharwad. Of these, operations in Chandigarh and Allahabad have started while the same are at various stages of implementation in other cities. Currently, AEL's city gas distribution business provides piped natural gas to households, industrial and commercial consumers and compressed natural gas for automobiles in four cities including Ahmedabad, Vadodara, Faridabad and Khurja.
"In agro storage business, the company has entered into service agreement with the Food Corporation of India and Madhya Pradesh Warehousing and Logistics Corporation for bulk food grains handling, storage and transportation. The total storage capacity of 850,000 MT food grain is spread across thirteen locations. The implementation at two new projects for FCI is progressing as per the plan. Recently, the company has won an agro storage project of 300,000 MT from Punjab Grains Procurement Corporation Ltd.," AEL further stated.