What explains the sharp increase in the profits of Adani Power for Q4?
Answer
Answer
For the fourth quarter of FY22 ended Mar-22, Adani Power reported 66.3% growth in sales revenues at Rs.10,598 crore. Sequential revenues nearly doubled. For FY22, the sales revenues were up 13% at Rs.31,686 crore. This was boosted by aggregate energy demand up 8.2% at 1,380 billion units. Even the peak power demand was up 6.7% at 203GW for the fiscal year FY22. In an all-India trend, the peak power deficit widened from 0.4% to 1.2%. The company did see impact due to the sharp rise in coal prices denting thermal costs.
Adani Power
Rs in Crore
Mar-22
Mar-21
YOY
Dec-21
QOQ
Total Income (Rs cr)
₹ 10,597.78
₹ 6,373.60
66.28%
₹ 5,360.88
97.69%
Net Profit (Rs cr)
₹ 4,645.47
₹ 13.13
35281%
₹ 218.49
2026.17%
Diluted EPS (Rs)
₹ 11.65
₹ -0.83
₹ -0.34
Net Margins
43.83%
0.21%
4.08%
Net profit for Q4 was up multi-fold at Rs.4,645 crore on a consolidated basis, even as sequential growth also remained extremely flattering. Despite spike in cost of coal, the EBITDA for Q4 was up 271% yoy at Rs.7,942 crore, while FY22 EBITDA was up 30% at Rs.13,789 crore. To an extent, the bottom line of Adani Power was also boosted by the 4-fold increase in other income during the quarter. Net margins were 59.14% in Mar-22 quarter as against 57.94% in the Mar-21 quarter. NPM was also higher sequentially compared to 56.58% in the third quarter.