Q3 Adani Energy Solutions: PAT Up 80% YoY At Rs 625 Cr.

Adani Energy Solutions Limited (AESL), a part of the Adani portfolio and a transmission and distribution company in India shared its financial and operational performance for the quarter and nine months ended December 31, 2024.

The company highlighted some of its key achievements for Q3. “Adani Energy Solution saw a robust growth of 24% in the total income of Rs 6,000 crore in Q3 is driven by the contributions from the recently commissioned MP Package-II, Kharghar-Vikhroli, Warora-Kurnool, KhavdaBhuj, Mahan-Sipat lines, higher energy sales in Mumbai and Mundra utilities”

It also secured two new transmission projects – Khavda Phase IV Part-D and Rajasthan Phase III Part I (Bhadla – Fatehpur HVDC), thereby adding 3,044 ckm to under construction network. Additionally, it also fully commissioned the MP package – II transmission line during the quarter and is on track to fully commission Sangod, Khavda Phase-II Part-A, KPS–1 line in FY25. Whereas, the company’s capex increased to Rs 7,475 crore as of 9MFY25 as against Rs 3,784 crore in 9MFY24.

Income:

Total income witnessed robust growth of 24% on account of the contribution of the newly operationalized transmission assets (MP Package–II, KVTL, KBTL, WKTL lines), the contribution from the acquired Sipat Mahan line, and an increase in energy sales due to consistent demand growth in distribution business at Mumbai and Mundra and growing contribution from  smart metering business

• Strong transmission system availability of 99.7% at the portfolio level
• AEML, the Mumbai distribution business, witnessed an increase in the energy consumed by 3%. Its distribution losses of 4.66% remain low and the utility added new consumers, reaching 3.17 million on the back of a reliable and affordable power supply

EBITDA:

• EBITDA increased by 6% to Rs 1,831 crore for the quarter resulting from strong revenue growth across all segments, higher EPC income in transmission, treasury income and steadily regulated EBITDA from the Distribution business
• The operational EBITDA of Rs 1,579 crore in Q3 ended 9% higher. The transmission business continues to maintain the industry’s leading operating EBITDA margin of ~92%

According to Kandarp Patel, MD & CEO, “The power demand trends in both utilities are encouraging and we are making progress with the installation of smart meters in all our contracts with daily average installation consistently improving. We are confident that despite a large order book of Rs 54,761 crore in transmission and ~Rs 13,600 crore in smart metering, the company will continue to deliver strong operating and financial performance, thanks to unparallel project and operating excellence coupled with robust capital management program,” .

Smart Meters: 

• The smart meter deployment is progressing well with the current average run rate of 15,000 meters per day expected to reach an average of 20,000 meters per day by the next quarter
• AESL was the lowest bidder in the canceled smart metering tender of 8.2 million meters in Tamil Nadu. The order quantity of 8.2 million meters was not part of its existing pipeline of 22.8 million meters. The company will take part in the rebidding
• The under-implementation pipeline stands at 22.8 million smart meters, comprising nine projects with a revenue potential of over Rs 27,195 crore