Adani Green swings to Rs 182 crore profit in FY21

It sold 5,482 million units of electricity in the fiscal, up 25% annually, after adding 925 mega-watt (MW) operational capacity in the fiscal.

Adani Green Energy (AGEL), the renewable energy arm of the Adani Group, posted a profit of Rs 182 crore in FY21 on a consolidated basis, against a loss of Rs 68 crore recorded by the firm in FY20.

The profits increased mainly due to higher power sales from the company’s rising renewable energy base. The company’s revenue went up 33.9% year-on-year (y-o-y) to Rs 3,520 crore. It sold 5,482 million units of electricity in the fiscal, up 25% annually, after adding 925 mega-watt (MW) operational capacity in the fiscal.

AGEL’s renewable portfolio at the end of the fiscal stood at 14,840 MW, out of which 3,520 MW are operational and the remaining under construction. Earnings before interest, taxes, depreciation and amortisation (Ebitda), excluding foreign exchange fluctuations, other income and extraordinary items, was up 41% y-o-y to Rs 2,632 crore in FY21. In the fiscal, AGEL was declared the lowest bidder for 13,550 MW new renewable projects.

The average tariff of electricity sold by plants under AGEL portfolio in FY21 was Rs 3.27/unit. Though it is higher than the record low rates of Rs 2/unit discovered in recent solar auctions, the tariff is lower than the average power purchase cost of Rs 3.85/unit to discoms across the country. “Despite all the challenges resulting from the pandemic, we have been resolute in our execution and stay confident of emerging as the world’s largest renewable player before the end of the decade,” Gautam Adani, chairman, AGEL, said.

French energy giant Total has acquired 20% minority interest in AGEL from Adani Group. The deal, valued at around $2 billion, will provide Total a seat on the board of directors of AGEL. The transaction followed Total investing $510 million in April, 2020 for the acquisition of 50% stake in AGEL’s operational solar projects in the country.