Adani Power Reports 30 Percent YoY Revenue Growth for Q1 FY25

Adani Power Ltd, a key player in the Adani portfolio, has announced strong financial results for the first quarter ended June 30, 2024 (Q1 FY25). The company saw an increase in its operational metrics and financial performance, reflecting a period of steady growth and strategic advancement.

For Q1 FY25, Adani Power's effective installed capacity rose to 15,250 MW, up from 14,468 MW in Q1 FY24. This increase in capacity contributed to a 30 percent year-on-year growth in continuing revenue, reaching INR 15,052 crore, compared to INR 11,612 crore in the same period last year. The surge in revenue was primarily driven by a 38 percent increase in consolidated power sale volume, which reached 24.1 billion units (BU) from 17.5 BU in Q1 FY24.

The company's EBITDA also saw considerable growth, rising by 53 percent to INR 6,290 crore in Q1 FY25 from INR 4,121 crore in Q1 FY24. This increase is attributed to higher revenues and lower import fuel prices. Profit Before Tax (PBT) surged by 95 percent to INR 4,483 crore, compared to INR 2,303 crore in the previous year, due to improved EBITDA and reduced finance costs.

S.B. Khyalia, CEO of Adani Power Limited, commented on the results, stating, “As Adani Power continues to grow, we are undertaking advanced development activities to secure execution pipelines for three Ultra-supercritical projects of 1,600 MW each. Our strategic focus includes utilising high-efficiency, low-emission technologies and leveraging our extensive expertise to drive growth, enhance energy security, and support sustainable development.”

Adani Power also reported a decrease in prior period revenue recognition due to regulatory orders. For Q1 FY25, reported revenues include INR 422 crore related to regulatory matters, a significant drop from INR 6,497 crore in Q1 FY24. Despite this, operating revenue growth was tempered by lower tariff realisation resulting from reduced import coal prices.

The company's depreciation charge increased to INR 996 crore in Q1 FY25, up from INR 935 crore in Q1 FY24, following the addition of Unit II of the Godda Ultra-supercritical Thermal Power Plant (USCTPP). However, finance costs decreased to INR 811 crore from INR 883 crore due to reduced borrowings and lower interest rates.

In its Environmental, Social, and Governance (ESG) performance, Adani Power published its first Integrated Annual Report and third Business Responsibility Sustainability Report (BRSR). The company maintained a B rating from the Carbon Disclosure Project (CDP) for 2024, reflecting its commitment to climate change and water security.

Additionally, Adani Power scored 48 out of 100 in the Corporate Sustainability Assessment by S&P Global, outperforming the World Electric Utilities’ average score of 34. The company also achieved an 88 percent rating in CSR HUB ESG Rating as of January 2024, surpassing the global industry average.