Adani Green Energy Ltd (AGEL), part of Gautam Adani’s Adani Group, has reported a significant 85.2% year-on-year (YoY) rise in its Q3 FY25 net profit, reaching ₹474 crore compared to ₹256 crore in the same quarter last year. The company’s revenue from operations also increased slightly by 2.3% to ₹2,365 crore, up from ₹2,311 crore in Q3 FY24.
Key Financial Highlights
- Net Profit: ₹474 crore (+85.2% YoY)
- Revenue from Operations: ₹2,365 crore (+2.3% YoY)
- EBITDA: ₹1,601 crore (-4% YoY)
- EBITDA Margin: Declined to 67.7% from 72.1% in Q3 FY24
For the nine-month period, EBITDA rose by 18% YoY to ₹6,366 crore.
Operational Performance
- Renewable Energy Capacity: Grew 37% YoY to 11.6 GW, contributing:
- 15% of India’s utility-scale solar installations in 2024
- 12% of India’s wind installations in 2024
- Energy Sales: Increased 23% YoY to 20,108 million units.
- Revenue (9-month period): Up 18% YoY to ₹6,829 crore.
- Cash Profit: Rose 23% YoY to ₹3,630 crore.
Strategic Developments
- The company’s greenfield capacity additions of 3.1 GW and strong plant performance have driven its financial success.
- Focus on developing the world’s largest renewable energy plant in Khavda, Gujarat, alongside large-scale projects in Rajasthan.
- Investment in Battery Energy Storage Systems (BESS) to support renewable growth and grid integration.
Market Performance
- AGEL’s share price closed almost 1% lower on the BSE at ₹1,021.45. Over the last year, the stock has corrected by 39%.
- Despite this, AGEL maintains an industry-leading EBITDA margin of 92% in the renewable energy sector.
Analyst Outlook: Jefferies’ Take
- Rating: “Buy”
- Revised Target Price: Reduced by 35% to ₹1,300 due to:
- Lower-than-expected capacity additions in FY25.
- Reduced capacity estimates for FY25–27 (down by 4–6 GW).
- EBITDA forecasts lowered by 4% for FY25 and 23% for FY26.
Despite these adjustments, Jefferies affirmed positive long-term growth prospects for AGEL, citing its leadership in India’s renewable energy space.
