Adani Enterprises Q4 Results: Net profit drops 38% to ₹451 crore, revenue up marginally; dividend declared

The port-to-power conglomerate’s flagship company’s revenue from operations rose marginally at O.8 per cent to ₹29,180 crore in the fourth quarter of fiscal 2023-24, compared to ₹28,944 crore reported in the year-ago period.

The company’s board recommended a dividend of ₹1.30 per equity share or 130 per cent for FY24. ‘’The board has recommended dividend of ₹1.30 (@130 per cent) per equity share of face value of Re 1 each fully paid up for the financial year 2023-24, subject to approval by shareholders of the company,” said Adani Enterprises in a regulatory filing to the stock exchanges today.

Also Read: Adani Ports Q4 Results: Net profit jumps 76% YoY to ₹2,040 crore; declares dividend of ₹6

Adani Enterprises Q4 Results: Key Metrics

The Adani Group company, which incubates business from airports to data centres, registered a drop in net profit in the March quarter on the back of one-time past airport dues and commercial mining losses. 

On the operating front, the company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) dropped 11 per cent to ₹3,195 crore in the March quarter, compared to ₹3,607 crore in the year-ago period. The margin came in at 10.9 per cent compared to 12.5 per cent in the year-ago period. 

While incubating businesses like new energy and airports showed strong momentum, the company suffered a loss of ₹201.83 crore in commercial mining, while the pre-tax earnings from the road business plunged 84 per cent to ₹222.03 crore.

The company’s Mumbai International Airport Ltd (MIAL) unit recognised a one-time exceptional expense of ₹627 crore to make up for past payments. Adani New Industries Limited (ANIL), a unit of the company that holds the new energy business — including solar module and wind turbine manufacturing, registered a 6.2x growth in EBITDA to ₹641 crore, while the same at airports business more than doubled to ₹662 crore. The number of passengers at company-run airports rose 19 per cent to 88.6 million.

Also Read: Adani Power Q4 results: Net profit down 48% YoY to ₹2,737 crore, revenue up 30%

For the entire fiscal 2023-24 (FY24), Adani Enterprises’ net profit soared 31 per cent to ₹3,240.78 crore. This is despite revenue from operations falling to ₹96,420.98 crore from ₹1,27,539.50 crore in 2022-23. The consolidated EBITDA for FY24 increased 32 per cent to ₹13,237 crore that of incubating businesses grew by 47 per cent year-on-year.

Giving an operational update, the firm said ingot and wafer units, which are used to manufacture solar modules that trap sunlight to produce electricity, are operational, while it has got orders for the manufacture of 254 sets of wind turbines. The joint venture with EdgeConneX has one operational data centre in Chennai and construction in Noida and Hyderabad facilities is 81-88 per cent complete.

Also Read: Adani Total Gas Q4 Results: Net profit rises 71% to ₹168 crore; EBITDA up 47% YoY

Outlook

Adani Enterprises plans to build nine data centres with a total capacity of one gigawatt by 2030 to provide infrastructure for the booming digital services demand. The flagship company started a copper unit in Mundra in March to foray into the metals business.

“Adani Enterprises has once again validated its position not only as the premier business incubator in India but also as a global leader in infrastructure development,” said Gautam Adani, Chairman of Adani Group. “The resilient growth model of incubation confirms the operational and organisational excellence. This is supported by high ratings and fully funded growth,” he added.

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Published: 02 May 2024, 03:13 PM IST