Adani Green Turns into Black in Q4; Posts Net Profit at Rs 56 Cr

Adani Green Energy Ltd (AGEL), an arm of Ahmedabad-based multinational conglomerate Adani Group, has reported a swing to consolidated net profit after taxes (PAT) of Rs 56 crore in the fourth quarter ended March 31, 2020, driven by the decline in total expenses of the company.

“The consolidated net loss of the company stood at Rs 94 crore during the same period a year ago,” said Adani Green Energy in a statement.

However, its consolidated total expenses declined by 18.6 percent to Rs 650 crore during Q4 FY 2020, as compared to Rs 799 crore during the same period last year.

Commenting on the performance, Jayant Parimal, CEO, Adani Green Energy Ltd, said “With our completed mergers and joint ventures, the most recent one being with Total, we have showcased strong performance. COVID-19 disruption has not materially affected the renewable plant operations, billing or collections from counterparties. Renewable energy plants enjoy a must-run status will continue to operate and generate at an optimum level, in our assessment. All under-construction activity which was mandatorily suspended during the lockdown, is poised to restart, as per GoI guidelines.”

“With the long-lasting impact that COVID-19 is due to have on all sectors, sustainability-driven business is imperative. Green Energy and Renewable Energy motivated investments will continue in this coming fiscal year,” said Gautam Adani, Chairman, Adani Green Energy Limited.

During the quarter under review, AGEL, via its subsidiary Adani Green Energy Twenty Three Ltd, and Total entered into a Joint Venture Agreement (JVA) to accept 50 percent approx Rs 3,700 crore investment in form of equity and other instruments from Total for 2,148 MW of operational solar projects of the Group.

However, the group has incurred a one-time exceptional loss of Rs 19 crore, during Q4 FY 2020, due to the sale of the Midland project in the USA.

On the FY21 outlook, the company is expecting supply chain disruption to fade in a quarter and will endeavour to complete all under-construction projects on time.