Adani Enterprise’s Q2 Net Profit Halves to ₹222.82 Crore

Adani Enterprises Ltd, Gautam Adani’s flagship firm, reported a significant decrease in net profit for the second quarter, mainly attributed to widened losses in the mining business and increased operating expenses. The company’s consolidated net profit for the July-September quarter stood at Rs 222.82 crore, marking a 50.5% decline compared to Rs 460.94 crore net profit in the same period last year.

Factors Affecting Net Profit

Operating expenses rose by 8%, and the company also incurred a one-time loss of Rs 88 crore due to the realisable value of assets held for sale in one of its subsidiaries, Mundra Solar PV Ltd. Additionally, losses in commercial mining expanded from about Rs 132.22 crore in July-September 2022 to approximately Rs 340 crore in the same period this year.

Robust Performance in New Energy and Airport Businesses

Despite the decline in net profit, Adani Enterprises Ltd witnessed strong growth in its new energy and airport businesses:

• New energy business, including solar module manufacturing, saw revenues triple to Rs 1,939 crore, with EBITDA rising significantly to Rs 628 crore.
• Airports business experienced a 49% increase in revenues, reaching Rs 1,946 crore, and a 15% rise in EBITDA to Rs 568 crore.

Operational Highlights

• The company expanded its operational solar manufacturing capacity to 4 GW, with module sales rising by 205% to 630 MW.
• Adani Airports Holdings handled 31% more passengers, totaling 21.4 million at its seven operational airports.

Strategic Focus and Future Outlook

Adani Enterprises Limited remains focused on strategic business investments, particularly in the green hydrogen ecosystem, airport management, data centers, roads, and primary industries such as copper and petrochem. The company’s revenue from operations declined to Rs 22,517.33 crore in July-September from Rs 38,175.23 crore a year ago.

Gautam Adani, Chairman of the Adani Group, emphasized the company’s progress in incubating key businesses, contributing significantly to overall EBITDA. He stated, “We are fundamentally reshaping the essence of incubation scale and velocity,” highlighting the diverse sectors Adani Enterprises covers and its market-ready ventures.

The completion of the ingot pilot plant and the production of India’s first wafer signify Adani Enterprises’ continued efforts in technological advancement and industry innovation.