Adani Power Reports 55% Drop in Net Profit

Adani Power reported a significant 55% decline in net profit to ₹3,913 crore for the June quarter of FY2024-25, down from ₹8,759 crore a year earlier, attributed mainly to rising expenses. Despite this, the company's revenue grew by 36% to ₹14,955 crore, fueled by a 38% increase in power sales volume to 24.1 billion units, driven by increased demand and improved operational capacity. CEO S.B. Khyalia emphasized that the firm is focusing on securing execution pipelines for three ultra-supercritical projects of 1,600 MW each in anticipation of a resurgence in the thermal power sector. However, the growth in operating revenue was restrained due to lower tariff realization linked to falling import coal prices. Total income also decreased from ₹18,109 crore to ₹15,474 crore during the same period, underscoring the challenges faced by the company. Overall, while Adani Power's sales volumes improved, escalating costs and lower income reveal a complex financial landscape.