Adani Portfolio Sets a New Benchmark with Unmatched Financial Performance

Newzdaddy Business Updates

Synopsis of the Article:

• Record-Breaking EBITDA: Adani Portfolio reported its highest-ever trailing twelve-month (TTM) EBITDA of INR 86,789 crore, marking a 10.1% year-on-year growth.
• Core Infrastructure Dominance: The core infrastructure businesses (utility, transport, and incubating infra under Adani Enterprises) contributed 84% of total EBITDA.
• Strong Liquidity Position: The company has enough liquidity to cover debt servicing for at least the next 12 months.
• Financial Strength as of September 30, 2024:
  • Fund Flow from Operations (FFO) or Cash After Tax: INR 58,908 crore
  • Total Asset Base: INR 5.53 lakh crore
  • Net Debt to EBITDA Ratio: 2.46x
• Company-wise Financial Performance:
  • Adani Enterprises: INR 16,824 crore EBITDA (23.2% YoY growth)
  • Adani Ports & SEZ: INR 19,327 crore EBITDA (16.8% YoY growth)
  • Adani Green Energy: INR 9,964 crore EBITDA (10.1% YoY growth)
  • Adani Energy Solutions: INR 7,255 crore EBITDA (15.9% YoY growth)
  • Adani Cement: INR 8,129 crore EBITDA (13.2% YoY growth)
• Rapid Growth in Infrastructure Businesses: Adani Enterprises’ incubating infra businesses (airports, roads, etc.) saw an EBITDA growth of 45.6% YoY in Q3FY25.
• Adani Group’s Capex Strategy: The group is entering a high capital expenditure phase, similar to FY20-FY22.
• Credit Profile Improvement: 75% of run-rate EBITDA now comes from assets rated ‘AA-’ and above.
• Cash Reserves: As of September 30, 2024, the group had INR 53,024 crore in cash reserves, covering 20.5% of total debt.
• Infrastructure Expansion and Debt Management: The company continues to expand while keeping debt under control, with increasing cash flows aiding consistent investments.

With record-breaking financial results, the Adani Group, India’s largest infrastructure company, has once again shown its strength. With a 10.1% year-over-year increase, the firm reported its highest-ever Trailing Twelve-Month (TTM) EBITDA of INR 86,789 crore.

Adani’s key infrastructure businesses—utilities, transportation, and infrastructure incubation under Adani Enterprises Ltd.—are the driving force behind this enormous financial success. These industries’ combined 84% contribution to overall EBITDA demonstrated their steady and reliable cash flow creation.

Adani’s solid liquidity position is one of its main performance highlights. The business has enough cash on hand to meet its debt service obligations for a minimum of a year.

The financial situation of Adani Group as of September 30, 2024, was as follows:

Fund Flow from Operations (FFO) or Cash After Tax: INR 58,908 crore
Total Asset Base: 5.53 lakh crore Indian rupees
The ratio of net debt to EBITDA: 2.46x

With these figures, Adani is not only expanding but also prudently managing its finances to guarantee stability over the long run.

Adani’s varied business portfolio has grown steadily, which has contributed to its impressive financial performance.

The performance of each sector is as follows:

Adani Enterprises: EBITDA of INR 16,824 crore, growth of 23.2% year over year
Adani Ports & SEZ: 16.8% year-over-year growth, INR 19,327 crore EBITDA
Adani Green Energy: 10.1% year-over-year growth, INR 9,964 crore EBITDA
Adani Energy Solutions: 15.9% year-over-year growth, INR 7,255 crore EBITDA
Adani Cement: 13.2% year-over-year growth, INR 8,129 crore EBITDA

With an EBITDA rise of 45.6% YoY in Q3FY25, the company’s infrastructure incubation businesses—which include road projects and airports—are expanding at an excellent rate.

Adani is about to undergo a significant capital expenditure (Capex) phase that is comparable to the FY20–FY22 timeframe. The business is in a good position to undertake large investments without placing undue strain on its balance sheet because of its robust cash flow generation.

Additionally, Adani’s credit profile is improving; assets with domestic credit ratings of “AA-” and higher now account for 75% of run-rate EBITDA.

Adani has consistently worked to keep its finances in balance. As of 30 September 2024:

With cash reserves of INR 53,024 crore, 20.5% of the total debt was covered.
Since the end of FY24, the company’s overall asset base has grown by INR 75,277 crore.

Adani can keep growing while maintaining acceptable debt levels thanks to these strong financials.

With its targeted investments, strong financial momentum, and well-managed balance sheet, Adani Portfolio is poised to emerge as a major player in the global infrastructure market. The company’s goal is still to increase the size of its infrastructure while maintaining long-term financial viability.

Adani’s growth narrative will continue to be driven by its solid foundation and prudent financial management as it pursues its ambitious expansion goals.

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