Adani Energy Solutions Ltd’s Impressive Growth in Q2 FY24

Adani Energy Solutions Limited (AESL), a significant player in India’s energy sector, has announced its consolidated financial results for the second quarter (Q2) and the first half (1H) of fiscal year 2024, showcasing remarkable growth and a focus on energy transmission, distribution, and smart metering services.

Financial Performance Overview

In Q2 FY24, AESL reported substantial growth in both financial and operational aspects, solidifying its position as the largest private transmission and distribution company in India. Here are the key highlights of its financial performance:

• Consolidated revenue increased by 13% year-on-year (YoY) to reach Rs 3,421 crore.
• Consolidated operational EBITDA grew by 10% to reach Rs 1,368 crore.
• Profit Before Tax (PBT) rose significantly by 48% to Rs 370 crore.
• Profit After Tax (PAT) witnessed an impressive growth of 46%, reaching Rs 284 crore.
• Consolidated cash profit for the quarter stood strong at Rs 757 crore.

Operational Achievements

AESL’s operational achievements further underscore its growth trajectory:

• AESL-commissioned transmission lines achieved robust transmission system availability at 99.68%.
• Added 219 circuit kilometres (ckms) to the operational network, bringing the total network to 19,862 km.
• Energy demand (units sold) increased by 9.56% YoY to 2,446 million units, maintaining supply reliability at 99.9%.
• Distribution losses improved from 6.0% to 5.81%.
• E-payment as a percentage of total collection increased to 79.2% in Q2 FY24, driven by digital adoption.

Smart Metering Projects

AESL’s progress in smart metering projects is noteworthy:

• Received the Letter of Award (LOA) for four smart metering projects in Maharashtra, AP, and Bihar, totaling 14.76 million smart meters with a contract value of Rs 174 billion.
• The total smart metering under-construction pipeline stood at 19.4 million smart meters, with a contract value of Rs 232 billion.

Future Outlook and Business Model

These strong results reflect AESL’s commitment to growth, innovation, and service expansion in India’s energy sector. With a robust order pipeline of Rs 150 billion in the transmission business and Rs 230 billion in the smart metering business, AESL’s business model remains resilient and poised for continued success.

AESL aims to deliver best-in-class energy solutions while upholding high governance standards, crucial for long-term value creation for all stakeholders.