Why Did Moody’s Upgrade Ratings for Multiple Adani Group Entities to ‘Stable’ Outlook?
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Synopsis
In a significant boost for the Adani Group, Moody's has upgraded multiple entities to a stable outlook, reflecting improved financial health and robust capex. This marks a pivotal moment for the conglomerate, which has recently been gaining favorable ratings from global agencies like Fitch and S&P.
Key Takeaways
- Moody's upgraded multiple Adani Group entities to 'Stable' outlook.
- Significant capital expenditure of Rs 67,870 crore reported.
- EBITDA reached a record high of Rs 47,375 crore.
- Asset growth on track to meet Rs 1.5 lakh crore target.
- Strong financial discipline maintained amid capital expansion.
Mumbai, Dec 8 (NationPress) The rating agency Moody's announced an upgrade for two subsidiaries of Adani Green Energy Limited (AGEL) — AGEL-RG1 and AGEL-RG2 — elevating their rating from Ba1/Negative to Ba1/Stable on Monday.
Additionally, an entity of Adani Energy Solution Limited (AESL) known as AESL– USPP RG1 received a rating boost to Baa3/Stable from Baa3/Negative.
In the same vein, Adani International Container Terminal Pvt Ltd (AICTPL), part of the logistics sector of the Adani Group, also saw an upgrade to Baa3/Stable from Baa3/Negative.
Previously, international rating agencies such as Fitch, S&P, and CareEdge Global had also elevated ratings for several Adani Group companies.
This year, Fitch improved ratings for Mumbai International Airport Ltd, North Queensland Export Terminal, Adani International Container Terminal Pvt Ltd, Adani Ports & Special Economic Zone Ltd (APSEZ), Adani Energy Solutions Ltd, and Adani Electricity Mumbai Limited.
S&P upgraded ratings for entities within AGEL and AESL, and also provided an upgrade for APSEZ.
Moreover, CareEdge Global rated Adani Electricity Mumbai Limited and Mumbai International Airport Ltd at BBB+/Stable.
The Adani Portfolio reported impressive financial results in the first half of the fiscal year (H1 FY26), achieving a significant capital expenditure of Rs 67,870 crore ($7.6 billion), with EBITDA soaring to a record Rs 47,375 crore ($5.3 billion).
This surge in capital expenditure led to an increase in gross assets, now totaling Rs 6,77,029 crore ($76 billion) — well on track to meet the targeted Rs 1.5 lakh crore in capital expenditure.
The TTM (trailing twelve months) EBITDA has climbed to Rs 92,943 crore ($10.4 billion), representing an increase of 11.2 percent year-on-year. The company noted that assets rated AAA constitute 52 percent of EBITDA.
Adani Group's Group CFO Jugeshinder Singh stated, "Our core infrastructure segments are experiencing robust double-digit growth while executing one of the largest capital expenditure programs, aligned with India’s Viksit Bharat capital expenditure super cycle. Our adjacent businesses are also gaining momentum."
He further remarked, "In H1 FY26, we reached a record capital expenditure in the first half, despite seasonal variances. Notably, our debt metrics are below the guided range even after doubling our capital expenditure to Rs 1.5 lakh crore, demonstrating strong financial discipline."
Point of View
The recent upgrades of Adani Group entities by Moody's highlight a positive shift in the financial landscape. The improvements in ratings from various agencies suggest growing confidence in the group's financial discipline and strategic investments. As the nation focuses on economic growth, the performance of such conglomerates will play a crucial role in shaping India's financial future.
NationPress
09/12/2025
Frequently Asked Questions
What entities did Moody's upgrade?
Moody's upgraded ratings for Adani Green Energy's AGEL-RG1 and AGEL-RG2, and Adani Energy Solutions' AESL– USPP RG1, as well as Adani International Container Terminal Pvt Ltd.
What is the significance of these upgrades?
These upgrades reflect improved financial stability and growth potential for the Adani Group, enhancing investor confidence and indicating a positive trend for the Indian economy.
How did Adani Group perform financially in H1 FY26?
The Adani Group reported a capital expenditure of Rs 67,870 crore and an EBITDA of Rs 47,375 crore, marking a strong financial performance.
What percentage of EBITDA comes from AAA-rated assets?
Assets rated AAA contribute 52 percent of the EBITDA for the Adani Group.
Who is the CFO of Adani Group?
Jugeshinder Singh is the Group CFO of Adani Group.
