Adani Energy Solutions Reports Rs 1,191 Cr Loss In Q1

Adani Energy Solutions Ltd (AESL), formerly known as Adani Transmission Ltd, has reported a net loss of Rs 1,191 crore for the quarter ended 30 June 2024. This is a dramatic shift from the Rs 182 crore profit reported for the same period last year. 

The loss is attributed to an exceptional charge related to the Dahanu Power Plant, a 500 MW coal-fired facility located in Maharashtra.

The company has reported an exceptional loss of Rs 1,506.02 crore following the carve-out of the Dahanu Power Plant from its books. The plant was sold to a related party at a transaction price of Rs 815 crore, far below its book value of Rs 2,321.02 crore. This transaction, subject to regulatory approval, has been accounted for as an exceptional item in AESL’s financial statements. 

Despite this, the company’s adjusted Profit After Tax (PAT) showed a positive trend, increasing by 73 per cent year-on-year (YoY) to Rs 315 crore.

On a positive note, AESL saw a 46.79 per cent rise in revenue from operations, reaching Rs 5,378.55 crore compared to Rs 3,663.91 crore in the same quarter of the previous year. The company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) grew by 30 per cent, totaling Rs 1,628 crore. This growth reflects the incremental revenue contributions from several recent projects, including the Warora-Kurnool, Karur, Kharghar-Vikhroli and MP-II transmission lines, as well as the newly acquired Mahan Sipat transmission assets.

AESL’s operational EBITDA margin remains robust at 91 per cent. The company has also expanded its smart metering business, with an under-implementation pipeline of 22.8 million smart meters valued at over Rs 27,195 crore.