Adani Green Energy Limited — Q3 FY24
Adani Green Energy reported strong operational and financial performance for 9M FY24, with revenue from power supply up 57% to INR 5,794 crore and EBITDA up 52% to INR 5,412 cro...
bullish
high
✓ Verified against BSE filing
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.
58%Questions answered4Evaded / deflected12Questions auditedContradictedNumbers vs filing
Evasive
High priority
Merchant portfolio contribution to 45 GW target and group capital potential.
Asked by Niraj Shah, GeeCee Holdings
Management gave a vague range and said it's hard to give an exact number.
no exact number givenvague rangedeferred to future
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Question
So on our target of 45 gigawatt, where do you see the merchant portfolio contributing? How much do you see that? And the related question is: What is the group capital potential for the next five years where we can capitalize?
Phuntsok Wangyal, CFO
Today, I think it's between 3%-5%, and I think we feel that, we will have a bigger capacity, you know, in, lower teens by end of, this decade. Now, I think it's very hard to give an exact number.
Answered
Medium priority
Tax implication and accounting treatment of total JV deal.
Asked by Niraj Shah, GeeCee Holdings
CFO gave a clear 'no tax implication' answer.
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Question
And sir, can I ask, on the, total JV deal, what is the tax implication on, that or if it-
Phuntsok Wangyal, CFO
No, I think, there will not be any tax implication, actually, on that.
Partial answer
High priority
Reason for not participating in new bids and preference for solar/wind/hybrid.
Asked by Nikhil Abhyankar, ICICI Securities
CEO explained the strategy but did not give a timeline or clear preference.
no specific timelineno specific preference
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Question
Sir, we haven't seen you participating in new bids, also getting undersubscribed a lot of bids. So can you just throw some light on when can we see you start participating? And in terms of preference, what will be your preference, solar, wind, hybrid or even FDRE?
Amit Singh, CEO
I think it is very clear that you know, we have to match our existing locking portfolio with you know, our execution pace and capacity. ... we will selectively participate, where we feel we can get the best returns.
Answered
High priority
Problems in improving execution capacity.
Asked by Nikhil Abhyankar, ICICI Securities
CEO listed three specific challenges with details.
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Question
You mentioned that you're facing some problems in improving your execution capacity. So what kind of problems are you facing? Is it like supply chain? Is it like land acquisition or what?
Amit Singh, CEO
No, I would not say problems. ... The first is really having a very clear transmission network available to evacuate power. ... Second is really about managing supply chain. ... And the third is people.
Evasive
Medium priority
Plans and timeline for pumped storage projects.
Asked by Nikhil Abhyankar, ICICI Securities
Management said 'very close' and 'very soon' but no concrete date.
no specific timelinedeferred to future
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Question
Then now going to pumped storage. So what are our plans, and when should we start the execution on this project? When should we expect the execution to start?
Raj Kumar Jain, Head of Business Development
We are very close to doing one project. And I think that's something which we will be able to come out very soon and give you the details.
Partial answer
High priority
Capacity addition in the next three months.
Asked by Nikhil Abhyankar, ICICI Securities
CEO gave a range (2-2.5 GW) but not a precise number.
range given, not specific
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Question
What should be, what will be the capacity addition in the next three months?
Amit Singh, CEO
I think, in the next quarter, I think we feel that we will be north of 2-2.5 is what we are targeting.
Answered
Medium priority
Whether transmission is a major problem for capacity addition.
Asked by Speaker 9, AllianceBernstein
Management directly stated that transmission is not a problem for them.
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Question
The question is mainly on, your capacity addition for the next three months. Essentially, just wanted to understand, since you spoke about transmission, is transmission one of the major problems that is affecting the capacity addition capability?
Raj Kumar Jain, Head of Business Development
I have already solved it. ... I have solved the land issue, land point. I have solved the transmission planning for the next year. ... So I think from a risk perspective, we have already covered ourselves.
Answered
High priority
Expected EBITDA and debt level of 1 GW transferred to JV.
Asked by Nikhil Abhyankar, ICICI Securities
Management gave specific numbers for debt and EBITDA.
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Question
You're transferring around 1 gigawatt to the JV. So what is the expected EBITDA from this JV and what is the debt level on these assets?
Raj Kumar Jain, Head of Business Development
So our debt, which will be transferred as a part of that platform, should be nearly INR 1,500 crore. ... this should have an EBITDA between INR 190-200 crore.
Answered
High priority
Impact of lower module prices on project returns.
Asked by Speaker 10, Avendus Spark
Management gave a specific IRR impact per cent reduction.
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Question
So my first question is on the existing module prices, which has come down significantly, and how is it going to have a positive impact on our returns on projects, since we would have already locked in on tariffs, while now probably the cost would be lower.
Raj Kumar Jain, Head of Business Development
So the number is broadly 1.2%-1.3% additional equity IRR for every cent of reduction.
Answered
High priority
Impact of ALMM implementation from April 2024.
Asked by Speaker 10, Avendus Spark
Management clearly stated that ALMM does not apply to most of their portfolio.
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Question
So, how would the implementation of ALMM from April 2024 change all this? Because then we will have to procure for new projects only from Indian manufacturers.
Raj Kumar Jain, Head of Business Development
Most of my or virtually 97% or 98% of my balanced long-term portfolio, all my PPAs does not have ALMM applicability. So, whatever I buy for them, I can buy from China.
Evasive
Medium priority
Equipment ecosystem for pumped storage projects.
Asked by Speaker 10, Avendus Spark
Management did not directly answer whether India has the equipment supply base.
no direct answer on supply basevague
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Question
So, do we have the equipment supply base in India to supply these equipment?
Raj Kumar Jain, Head of Business Development
When we say that we are developing a pumped storage part of our business as a next frontier for a higher return portfolio, then obviously that is one area which we have looked at very seriously and worked with our suppliers to ensure that we are invested in that area.
Evasive
Medium priority
Reason for not achieving 2.5 GW in next three months.
Asked by Speaker 9, AllianceBernstein
CEO gave a generic answer and declined to provide specifics.
no specific reasondeclined to give color
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Question
Just want to understand, what would be the main reason that you would attribute to not being able to keep the 2.5 GW in the next three months versus, like you said, at least 2 GW in the coming quarter?
Amit Singh, CEO
I think there's a lot of moving parts, Kumar, in renewable project, right? ... Won't be able to give too much color on that, but we're very confident that we will be towards the, you know, higher end of that number.
Quantitative claims vs filed numbers
| Claim | Management said | Filing | Verdict |
|---|---|---|---|
| EBITDA of JV between INR 190-200 crore. | ₹195 cr | ₹5,412 cr | Understated vs filing |
Filed figures sourced from Screener.in. Claims within a small tolerance of the filing are marked “matches filing”.