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Adani Power FY26 Annual Earnings Summary

4 quarters covered · ₹54,747 Cr revenue · ₹12,970 Cr PAT · 37.3% average EBITDA margin.

Total annual revenue: ₹54,747 Cr
Annual PAT: ₹12,970 Cr
Average margin: 37.3%
Promise delivery: 0%

Quarter-by-quarter progression

QuarterRevenuePATMarginSentiment
Q1 FY26₹14,168 Cr₹3,305 Cr40.5%bullish
Q2 FY26₹13,639 Cr₹2,906 Cr39.0%neutral
Q3 FY26₹12,717 Cr₹2,488 Cr36.5%neutral
Q4 FY26₹14,223 Cr₹4,271 Cr33.0%bullish

Management promises made during the year

Capex of INR 13,000 crore for FY26

Current-quarter commentary contains related risk or weakness, so the promise appears not to have been delivered yet.

Q1 FY26
missed
Funding capex through internal accruals

Current-quarter commentary contains related risk or weakness, so the promise appears not to have been delivered yet.

Q1 FY26
missed
Stable EBITDA margins expected in FY26

Current-quarter commentary contains related risk or weakness, so the promise appears not to have been delivered yet.

Q2 FY26
missed
Deroli mine production to start by Sep-Oct 2025

Current-quarter commentary contains related risk or weakness, so the promise appears not to have been delivered yet.

Q2 FY26
missed
Merchant tariff expected to average ~INR 6/unit in H2 FY26

Current-quarter commentary contains related risk or weakness, so the promise appears not to have been delivered yet.

Q3 FY26
missed
Godda plant to connect to Indian grid by December 2025

Current-quarter commentary contains related risk or weakness, so the promise appears not to have been delivered yet.

Q3 FY26
missed

Risks flagged during the year

Q3 FY26 · high

Continued supply to Bangladesh amid political turmoil; though payments are regular, any escalation could impact Godda plant operations.

Q1 FY26 · medium

Merchant realizations fell 14.3% YoY due to early monsoon and weak demand; further weakness could impact earnings.

Q1 FY26 · medium

Coastal and Vidarbha plants required overhauling; any delays in restoring full availability could affect cash flows.

Q1 FY26 · medium

Only 50% of alternate coal compensation bills are being paid; full resolution is pending and could impact receivables.

Q2 FY26 · medium

Merchant realization fell to INR 5.37/unit in Q2 from INR 5.88 last year; if demand recovery is delayed, near-term earnings could be pressured.

Q2 FY26 · medium

Massive capex of INR 2 lakh crore and tight timelines (2032) pose execution and funding risks, though management cites pre-ordered equipment and brownfield advantages.

Q3 FY26 · medium

Regulator questioned the need for full 3,200 MW PPA; DISCOM has been allowed to re-present its case, causing potential delays.

Q3 FY26 · medium

All India power demand was flat YoY due to extended monsoons and cooler temperatures, leading to lower merchant realizations.

Q4 FY26 · medium

Management acknowledged that increasing renewable capacity could suppress merchant power prices, impacting residual open capacity.

Q4 FY26 · medium

Analyst raised concern about Mahan delay; management cited geopolitical issues affecting labor and LTG availability, pushing commissioning to FY28.

Q1 FY26 · low

Total debt rose to INR 44,372 crore from INR 38,775 crore in March 2025, partly due to interim bridge loans for capex.

Q2 FY26 · low

Godda PLF was 72% and receivables are only 1.5 months overdue, but any deterioration in Bangladesh's payment or scheduling could impact cash flows.

What changed through the year

G

Q1 FY26 · Capacity expansion target of 12,520 MW by 2030

Management reiterated target to add 12,520 MW by 2030, with 4,800 MW under execution. Boiler, turbine, and generator supplies locked for entire 11.2 GW new capacity.

G

Q1 FY26 · Stable EBITDA margins expected in FY26

CFO stated that until capacity expansion takes place, similar EBITDA margins as last year can be expected.

G

Q1 FY26 · Deroli mine production to start by Sep-Oct 2025

CEO confirmed production from Deroli mine is on track to start by September or October 2025.

G

Q1 FY26 · No SGD requirement for new plants, reducing project cost

Following government notification, SGD will be dropped from new plants except Mahan and Raipur, lowering capital cost.

G

Q2 FY26 · Merchant tariff expected to average ~INR 6/unit in H2 FY26

Management expects merchant realization to recover to around INR 6 per unit in the second half, from INR 5.37 in Q2.

G

Q2 FY26 · Godda plant to connect to Indian grid by December 2025

The Godda power plant is expected to be connected to the Indian grid by December 2025, allowing sales under certain conditions.

G

Q2 FY26 · First 12 GW of expansion on track; 3 GW commissioning next year

The first 12 GW of the 23.5 GW expansion is on schedule, with ~3 GW expected to commission in FY27, followed by 2.4 GW, 3.2 GW, and 7.2 GW in subsequent years.

G

Q2 FY26 · Total CapEx for 23.5 GW expansion ~INR 2 lakh crore

The estimated capital expenditure for the entire 23.5 GW capacity expansion is approximately INR 2 lakh crore.

G

Q3 FY26 · Capacity expansion of 23.7 GW by FY32

Planned addition of 23.7 GW thermal capacity, with 2.9 GW commissioning next fiscal, 2.4 GW in FY28, 2.4 GW in FY29, 8 GW in FY30, 5.6 GW in FY31, and 2.4 GW in FY32.

G

Q3 FY26 · Reduce open capacity to 3-4% over 6-7 years

Management targets reducing merchant exposure from current 10% to 3-4% over the medium term by signing more long-term PPAs.

G

Q3 FY26 · Korba Phase 2 commissioning by end of next fiscal

First unit of Korba Phase 2 expected around mid-next year, second unit by end of next fiscal.

G

Q4 FY26 · Korba Phase 2 commissioning in Q2 FY27

The 1.32 GW Korba Phase 2 project is expected to commission between June and September 2026.

G

Q4 FY26 · Mahan commissioning by Q4 FY27/Q1 FY28

First unit of Mahan (1.6 GW) likely by end of FY27, second unit six months later.

G

Q4 FY26 · Capex of ₹25,000 cr in FY27 and ₹33,000 cr in FY28

Capital expenditure for capacity expansion estimated at ₹25,000 crore in FY27 and ₹33,000 crore in FY28.

G

Q4 FY26 · EBITDA target of ₹50,000 crore by FY30-31

Management expects EBITDA to reach ₹50,000 crore by 2030-31, driven by capacity expansion and new PPAs.