Adani Group, one of India’s leading conglomerates, has reported an impressive 45% increase in pre-tax profit EBITDA for the financial year 2023-2024. The conglomerate’s pre-tax profit EBITDA reached a staggering Rs 829.17 billion, showcasing the group’s phenomenal growth.
Strategic Measures Drive Growth Despite Challenges : Despite facing challenges such as market volatility and external pressures, the Adani Group has strategically navigated through them. The group focused on measures such as debt containment and reducing the founder share pledge, which contributed to its remarkable growth.
Consistent Growth Over Five Years: The Adani Group’s disciplined investment strategy and consolidation of core competencies have resulted in a robust compound annual growth rate (CAGR) of 54% for profit over the past five years. This consistent growth highlights the group’s strong performance amidst a dynamic business environment.
‘Core Infrastructure’ Businesses Contribute to Strong Cash Flows: A significant portion of the Adani Group’s EBITDA (84%) is derived from its ‘core infrastructure’ businesses. With consistent cash flows from these sectors, the group has ensured a stable financial foundation.
51% YoY Growth in Cash Profit: The group’s disciplined approach to investment has also led to a remarkable 51% year-on-year growth in cash profit or funds flow from operations (FFO), resulting in a total FFO of Rs 568.28 billion. This strong cash profit growth further strengthens the group’s financial position.
Strong Asset Base and Large Consumer User Base with a resilient asset base valued at Rs 4.78 trillion and serving a consumer base of 350 million users, the Adani Group has demonstrated its strength and stability in the market. These assets and consumer base contribute significantly to the group’s success and growth potential.
Impressive Gross Assets and EBITDA: Efficient capital allocation and deployment have enabled the Adani Group to achieve impressive growth in gross assets and EBITDA. The group’s companies, including Adani Enterprises, Adani Ports, Adani Power, Adani Green Energy, and Adani Energy Solutions, have spearheaded various projects in solar power generation, renewable energy capacity, and infrastructure development.
Increasing Consumer Base and Cash Flows the Adani Group’s increasing consumer base across various sectors reinforces its position in the market. Rising cash flows reflect the group’s commitment to delivering value to its customers and contribute to lower net leverage and enhanced credit profiles.
A Solid Foundation for Future Growth: With a robust balance sheet and high liquidity, the Adani Group’s portfolio is well-equipped to capitalize on future growth opportunities. Its disciplined investment strategy and efficient deployment of capital have positioned the group for continued success in the coming years. The record EBITDA growth in FY24 paves the way for accelerated investments and further reinforces the group’s growth trajectory. As the Adani Group continues to expand its presence in solar power generation, renewable energy capacity, and infrastructure development, its exceptional growth and financial performance make it a strong contender in the Indian market.
