Adani Energy Solutions Q2 results: Net profit doubles to Rs 674.96 crore

Q2 profit helped by better ops, deferred tax reversal

Adani Energy Solutions Ltd (AESL) reported a multi-fold rise in its net profit to Rs 674.96 crore (attributable to the owners of the company) for the quarter ended September 2024 (Q2), driven by higher revenue generation and deferred tax reversals.

For the quarter under review, AESL reported a consolidated net profit of Rs 674.96 crore, more than double the Rs 275.88 crore posted a year ago. Revenue from operations also rose 68 per cent to Rs 6,183.7 crore in the same period.

AESL said higher earnings before interest, taxation, depreciation and amortisation (Ebitda) and deferred tax reversal (MAT entitlement of previous years) of Rs 314 crore aided its profit growth in Q2.

The company noted that its total income witnessed robust growth due to contributions from newly operationalised transmission assets, partial completion of lines at under-construction projects, and an increase in energy sales driven by strong demand growth in its distribution businesses in Mumbai and Mundra, as well as growing contributions from its smart metering business.

Ebitda increased by 31 per cent year-on-year to Rs 1,891 crore for the quarter, supported by strong revenue growth, EPC income in transmission, treasury income, and steady regulated Ebitda in Adani Energy’s Mumbai operations.

Capex for the first half of the current financial year stood at Rs 4,400 crore, compared to Rs 2,622 crore a year ago.

AESL also said it has secured approval from the Central Electricity Regulatory Commission (CERC) for transferring the inter-state energy trading licence from Adani Enterprises. This licence will enable AESL to provide customised power solutions to commercial and industrial (C&I) customers.

In its outlook, AESL said the near-term tendering pipeline for the industry is solid and stands at upwards of Rs 59,000 crore. For smart metering, the company said the under-implementation pipeline stands at 22.8 million smart meters, comprising nine projects with a contract value of over Rs 27,195 crore.