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ADANIENT Diversified 25 Jul 2024

Adani Enterprises Limited — Q1 FY25

Adani Enterprises reported its highest-ever quarterly EBITDA of INR 4,300 crore, up 38% YoY, driven by a stellar performance from incubating businesses (62% of EBITDA vs 45% a y...

bullish high
Compare with...
Revenue ₹25,472 Cr +13%
EBITDA ₹4,300 Cr +38%
EBITDA Margin 15%
Duration
Read Time 1 min read

✓ Verified against BSE filing

Questions answered83%
Questions audited12
Evaded / deflected1
Numbers vs filingContradicted
Claim Ledger

Did management answer the analysts?

Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.

Answered High priority

Breakup of EBITDA into wind and solar manufacturing

Asked by Mohit Kumar, ICICI Securities

Management provided exact EBITDA split by segment.

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Question
Is it possible to break up the EBITDA into the two PG and solar manufacturing?
Vinay Prakash, CEO
So the EBITDA, total EBITDA for the overall number is INR 1,642 crore, out of which INR 99 crore was contributed by the wind turbine manufacturing business, and the remaining INR 1,543 crore has been contributed to the solar manufacturing.
Answered High priority

Order book for solar capacity and ability to sell more than 4 GW annually

Asked by Mohit Kumar, ICICI Securities

Management clarified the sales figure and confirmed full order book for the year.

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Question
Is it possible to give the color of the order book of the solar capacity? Also the fact that you've done 137 MW sales in this quarter, is it possible to sell more than the capacity, actual capacity 4 GW?
Vinay Prakash, CEO
No. So the thing is that 1,379 MW includes about 360 MW of sales, which was booked in March, but sold in the current quarter. The actual sales in per se for the current quarter is 1,000 odd MW. On your second question, in terms of order book, our solar manufacturing, solar book, we are booked for the current financial year on a full basis.
Answered High priority

Ramp-up of wafer capacity and timeline to 10 GW

Asked by Mohit Kumar, ICICI Securities

Management provided current status and clear timeline for full capacity.

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Question
Any color on the ramping up of the wafer capacity? How is it shaping up? And do you see it will take some more time to stabilize?
Vinay Prakash, CEO
From wafer capacity perspective, ingot and wafer, we are stabilizing the operations. We have started operating 2 GW, and we are stabilizing those operations. And by next quarter, we should have full production in the ingot and wafer plant. And over the next 2 years, you should see full 10 GW capacity, right from polysilicon, ingot, wafer, cell, and module.
Answered Medium priority

IRM volumes and expected trend for the year

Asked by Brett Knoblauch, Cantor Fitzgerald

Management gave current volume and normalized annual range.

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Question
Maybe if we could start on IRM, can you just talk about what's going on there with volumes and kind of where you expect the business to trend for the remainder of the year?
Vinay Prakash, CEO
So, Brett, the volumes, we have done about 15 million tons in the current quarter, and that same trend should continue. With the, we had a very good year and a half... we are going back to what our normalized growth is, which is in the range of 60-70 million metric tons.
Answered Medium priority

Data center exposure to AI/high-power computing

Asked by Brett Knoblauch, Cantor Fitzgerald

Management confirmed focus on hyperscalers for AI computing.

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Question
I was wondering if your data center business has any exposure to call it high power computing that is needed for AI, or if there's any plans for you to add that exposure?
Vinay Prakash, CEO
So, we are looking at basically hyperscalers, which means the large players who have the data center for their own consumption in a big way. So that's what we are targeting. Our order book is basically comprised of such players. ...those are large-scale players, hyperscale players, who use this data center especially for, computing and AI only.
Answered High priority

Mumbai airport completion timeline

Asked by Brett Knoblauch, Cantor Fitzgerald

Management gave a specific target date.

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Question
Maybe just an update on the build-out of the Mumbai airport. It's supposed to be completed over, you know, I guess, the next 12 months?
Vinay Prakash, CEO
Yes. So, not even next 12 months, now I would say next nine months, because we are targeting to complete the and operationalize Mumbai by March 2025.
Partial answer High priority

Explanation for margin increase and sustainable margins

Asked by Prateek Kumar, Jefferies

Management explained driver but did not quantify sustainable margin level.

no specific margin percentage given
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Question
So there have been kind of margins in that perspective or still are excluding the FY19. Can you help explain the increase in margins and what is the sustainable margins you're looking at?
Vinay Prakash, CEO
So I think because of the huge uptake which we are constantly having in our export orders, where we have grown our export orders, we sold about 387 GW in Q1 FY 2024. It has now gone to 808 MW. And the margins that we get from our export orders, the contribution has increased because of that, which we see that for the next one year, we already have orders in hand, so it should continue in that level.
Evasive Medium priority

Tariff order status for Mumbai Airport

Asked by Nikhil Abhyankar, ICICI Securities

Management acknowledged but did not provide any update or details.

deferred to laterno specific status given
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Question
Can you help us with the tariff order status for Mumbai Airport?
Vinay Prakash, CEO
So see, Mumbai Airport, the tariff order was already done, so we, I'll just come back to you on the next. When it is a cycle, I'll have to get the data across. We'll come back to you separately on that.
Partial answer Medium priority

Non-aero revenues for Q1 and last year

Asked by Nikhil Abhyankar, ICICI Securities

Management declined to give Q1 numbers but provided a split for Mumbai.

no specific revenue numbers given
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Question
Will you be able to give us the non-aero revenues for Q1 and what was last year's?
Vinay Prakash, CEO
So, we are not yet giving the, on the aero and non-aero split as yet because of the, ramping up of our various operations... So over the next 6 to 9 months, we will start publishing the aero and non-aero re, separately. So from a Mumbai, International Airport perspective, the aero to non-aero split is about 45-55.
Answered High priority

Realization per watt sustainability and export vs domestic difference

Asked by Nikhil Abhyankar, ICICI Securities

Management gave a clear range for realization.

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Question
We expect this realization of almost $0.36 to a Watt to sustain throughout the year and going forward?
Vinay Prakash, CEO
So see, I would say we can safely assume upwards of 30. That's for sure. I would not vouch and just put that as 36 to continue, but yes, above 30 is what we are still looking at for the next one year for sure.
Answered High priority

Funding plan for CapEx and QIP timing

Asked by Dhananjay Mishra, Sunidhi Securities

Management detailed funding sources and QIP purpose.

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Question
In terms of CapEx, as you said, so how are you going to fund and, what is the plan from fundraising in terms of equity or debt as of now?
Vinay Prakash, CEO
So, Dhananjay, as we had mentioned, airport, roads, and data center are fully funded. Copper is also fully funded. So PVC also, we have completed the program and the sanctions are all in place. ...we have also announced a QIP program for Adani Enterprises also. And whatever the substantial portion of equity requirement that is there for the Adani New Industries will be fulfilled through this QIP program.
Answered High priority

Net debt position as of June quarter

Asked by Prateek Kumar, Jefferies

Management provided exact debt and net debt figures.

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Question
Are you ready for the net debt, March ending net debt was around INR 31,000 crore approximately. So how is that, like, I mean, season growth rate, of course, but how is the net debt position now as of 1, 2?
Vinay Prakash, CEO
Our external debt was about INR 38,000 crore in March, and which, is now to INR 42,700 crore in June. ...the net debt position is about, we have a cash balance of about INR 6,000 crore in our balance sheet, so the net debt position is at 32, 36,000 for the June quarter.
Quantitative claims vs filed numbers
ClaimManagement saidFilingVerdict
Total EBITDA INR 1,642 crore, wind INR 99 crore, solar INR 1,543 crore ₹1,642 cr ₹4,300 cr Understated vs filing
PVC EBITDA guidance upwards of INR 4,000 crore at full capacity ₹4,000 cr ₹4,300 cr Understated vs filing

Filed figures sourced from Screener.in. Claims within a small tolerance of the filing are marked “matches filing”.