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Adani Group’s power transmission and distribution arm, Adani Transmission Limited will now be renamed to Adani Energy Solutions Limited. The Board of Directors of the company has on Monday approved the change of name for the company subject to the approval of shareholders and the regulators.
The company’s shares fell over 3.5 per cent on Tuesday after the company announced an 86 per cent jump in consolidated net profit for the quarter ended March 31, 2023, at ₹440 crore, up from ₹237 crore in the corresponding quarter a year ago.
Financial results
The company’s revenues from operations for the quarter stood at ₹3,179 crore, (versus ₹2,556 crore a year ago) indicating a 24 per cent rise including the arrears of ₹148 crore approved in MERC order in June 2021 determining and allowing MEGPTCL to claim incremental Aggregate Revenue Requirement (ARR) based on Appellate Tribunal for Electricity order (APTEL).
Also read: Cash-hungry Adani utility shows funding urgency to power India
For FY23, the company’s net profit stood at ₹1,281 crore, up 3.6 per cent from ₹1,236 crore last year. Consolidated revenues for the year were ₹12,537 crore (₹10,436 crore), including ₹389 crore of arrears for the fiscal.
The company’s consolidated total expenses increased by 21 per cent for the fiscal to ₹13,164 crore (₹10,843 crore a year ago).
‘Exponential growth’
Gautam Adani, Chairman, Adani Group, said, “Adani Transmission is well positioned to deliver exponential growth, and we are working towards fulfilling our nation’s massive electricity needs and strengthening our position as a world-class utility. We are accelerating the transition to a sustainable and reliable grid and are committed to our pursuit of energizing and ensuring continuous and reliable power supply across all regions through our assets in India. Our focus remains strong on cashflow generation, operational excellence, and governance.”
The Board of Directors of the company also approved the reappointment of Anil Sardana as the Managing Director of the company for a period of five years effective from May 10, 2023.
Also read: Adani Group surpasses ₹10 lakh crore market cap after clearing Hindenburg allegations
On a segment basis, the company’s transmission revenues increased 11 per cent during the fiscal to ₹3,557 crore (₹3,217 crore) whereas its distribution revenues for the year increased by 23 per cent to ₹8,592 crore (₹6,966 crore)
Commenting on the results, Anil Sardana, MD, Adani Transmission Ltd, said, “Our pipeline of projects and recently operationalised assets will further strengthen our pan-India presence and consolidate our position as the largest private sector transmission and distribution company in India. ATL is consistently benchmarking to be the best-in-class and is pursuing disciplined growth with strategic and operational de-risking, capital conservation, ensuring high credit quality, and business excellence with high governance standards.”
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