Adani Enterprises, the flagship of the Adani Group, reported a 37.6 per cent fall in consolidated net profit in the fourth quarter, with revenue showing tepid growth of 1 per cent at ₹29,180 crore. The bottomline was hit by an expense of ₹627.4 crore pertaining to the Mumbai International Airport.
The company reported a net profit of ₹450.6 crore in the quarter, while EBITDA fell 8.3 per cent at ₹3,646 crore as an expense for the period March-September 2022.
According to the notes in its accounts, Mumbai Airport has recognised annual fees of ₹627.37 crore. The airport operator had sought relief from paying the fees during Covid.
For the full-year FY24, the company reported a net profit of ₹3,240.8 core, up 31 per cent on year, though revenue dropped 24 per cent to ₹96,421 crore.
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The EBITDA of its airports business more than doubled in the quarter to ₹662 crore. The revenue break-up showed that revenue from its airports operations rose 73 per cent on year to ₹2,156.4 crore, though it was flat sequentially. In FY24, airport revenue rose about a third to ₹7,905 crore.
Adani New Industries, which consists of all the new-age businesses that are being incubated, reported total income ₹2,775 crore, which represented a 2.1 times growth. During the quarter, India’s first large-sized monocrystalline ingot and wafer unit of 2-GW capacity became operational.
Passenger movement at its airports rose 9 per cent to 23.2 million in Q4, while air traffic movement rose 5 per cent, though cargo handled fell 9 per cent. For the full year, passenger movement rose 19 per cent to 88.6 million, and air traffic movement was up 10 per cent.
During the quarter, the company inaugurated the first phase of a new terminal at Lucknow airport.
The company ended the year with a gross debt of ₹50,124 crore, up 31 per cent from a year ago. Of this, external debt was over ₹38,000 crore and the remaining founder’s debt. Most of the debt was due to the airports business, which is heavily capital-intensive.
With controversy and turmoil stirred up by Hindenburg Research behind it, the company and its constituents have been borrowing heavily to invest and expand.