How Did Adani Energy Solutions Achieve 71% PAT Growth in Q1?
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Synopsis
Adani Energy Solutions Ltd (AESL) has made headlines with a staggering 71% growth in PAT for Q1 FY26. As EBITDA crosses the Rs 2,000 crore mark, the company highlights its strong performance and ambitious growth plans. Explore the details behind this success story and what lies ahead for AESL in the evolving energy landscape.
Key Takeaways
- 71% PAT growth year-on-year.
- EBITDA exceeded Rs 2,000 crore.
- Strong performance in smart metering and transmission segments.
- New projects commissioned totaling Rs 59,304 crore.
- Aiming for 1 crore smart meters by FY26.
Ahmedabad, July 24 (NationPress) Adani Energy Solutions Ltd (AESL) has showcased impressive results for the April-June quarter (Q1 FY26), achieving a remarkable 71 percent growth in profit after tax (PAT) year-on-year. Additionally, EBITDA surpassed the Rs 2,000 crore threshold, marking a 14 percent increase.
Net profit surged to Rs 539 crore in this quarter, driven by double-digit EBITDA growth, along with reduced depreciation and lower net tax liabilities compared to the previous year, according to a statement from the Adani Group company.
The cash profit for Q1 reached Rs 1,043 crore, up by 15 percent year-on-year, as EBITDA peaked at Rs 2,017 crore during the quarter, fueled by strong performance in the transmission and distribution sectors, alongside significant contributions from the smart metering business segment.
The firm reported a robust 28 percent year-on-year growth in total income, amounting to Rs 7,026 crore in Q1 FY26. This growth was supported by stable operational performance, increased SCA (Service Concession Arrangement) income due to higher capital expenditure, and a growing contribution from the smart metering sector, as stated by the company.
“We are delighted to announce another strong quarter. Our effective on-ground execution and concentrated operational maintenance have enabled consistent progress on project capex growth, which remains a key performance metric as we aim to unlock the vast growth potential in our core business sectors,” stated Kandarp Patel, CEO of Adani Energy Solutions.
In the quarter, the company accomplished the commissioning of three new transmission lines and reached an industry-leading daily run-rate for smart meter installations.
“We are not only looking to sustain this momentum but also to enhance our efforts towards the timely completion of our ongoing project pipeline. The business outlook remains positive, as the sector is brimming with opportunities supported by regulatory backing and robust underlying factors such as power demand and an evolving energy mix. AESL is excited to seize new opportunities within the risk-reward matrix and capital allocation strategy of the company,” Patel added.
During this quarter, the company successfully commissioned three transmission projects: Khavda Phase II Part-A, Khavda Pooling Station-1 (KPS-1), and Sangod transmission.
Additionally, the company secured a new transmission project, WRNES Talegaon line. With this addition, the under-construction order book now totals Rs 59,304 crore.
Capital expenditure in Q1 FY26 rose significantly, increasing by 1.7 times to Rs 2,224 crore, compared to Rs 1,313 crore in Q1 FY25.
“We expect a considerable uptick in AESL’s capital expenditure rollout and new bidding activities starting in Q2 as the monsoon season concludes,” Patel remarked.
During this quarter, the company installed an additional 24 lakh smart meters, bringing the total to 55.4 lakh smart meters with a daily run rate of 25,000-27,000 meter installations.
The goal for the company is to install 70 lakh new meters this year, aiming for a minimum cumulative total of 1 crore meters by the end of FY26.
Point of View
It is vital to recognize the impressive trajectory of Adani Energy Solutions Ltd. Their robust growth in PAT and EBITDA not only reflects sound management but also showcases the potential for sustainable energy solutions in India. The company is poised to play a significant role in the energy sector's transformation, aligning with national goals for infrastructure and development.
NationPress
26/07/2025
Frequently Asked Questions
What factors contributed to AESL's 71% PAT growth?
The significant PAT growth can be attributed to strong EBITDA performance, reduced depreciation costs, and lower net tax liabilities year-on-year.
What is the total income for AESL in Q1 FY26?
Adani Energy Solutions reported a total income of Rs 7,026 crore in Q1 FY26, reflecting a 28% increase compared to the previous year.
How many smart meters has AESL installed?
During the quarter, AESL installed an additional 24 lakh smart meters, bringing the total to 55.4 lakh, aiming to reach 1 crore meters by FY26's end.
What new projects have been commissioned by AESL?
AESL successfully commissioned three transmission projects: Khavda Phase II Part-A, Khavda Pooling Station-1, and Sangod transmission, alongside securing the WRNES Talegaon line.
What is AESL's capital expenditure for Q1 FY26?
The capital expenditure for Q1 FY26 rose to Rs 2,224 crore, representing a 1.7 times increase compared to Rs 1,313 crore in Q1 FY25.
