Revenue and Profit Projections Indicate Robust Growth
Adani Enterprises Ltd (AEL), the flagship company of the Adani Group, is set to witness remarkable financial growth over the next few years. According to a report by Ventura Securities, AEL’s consolidated revenue is projected to grow at a compound annual growth rate (CAGR) of 17.5% between FY24 and FY27, reaching ₹1.56 trillion. Net earnings are expected to rise even faster, with a projected CAGR of 45.8% during the same period. The company’s EBITDA margins are forecast to expand significantly, improving profitability metrics.
AEL’s growth trajectory is driven by its strategy of incubating and scaling diverse businesses. The company has already spun off several successful ventures, including Adani Ports & SEZ, Adani Total Gas, and Adani Green Energy, and is currently focusing on sectors like green hydrogen, renewable energy, and infrastructure development.
Strategic Initiatives and Expansions Underway
AEL’s diversification efforts include significant strides in green hydrogen and infrastructure projects. Under the Strategic Interventions for Green Hydrogen Transition (SIGHT) scheme, the company secured a 101.5 MW per annum electrolyser manufacturing project, contributing to India’s National Green Hydrogen Mission. This aligns with AEL’s broader commitment to sustainable energy solutions.
The company also marked milestones in its infrastructure projects. The Navi Mumbai International Airport welcomed its first aircraft, while data center projects in Chennai, Noida, and Hyderabad reached near-completion stages. Road construction projects in West Bengal and Telangana achieved provisional operational status, and the Ganga Expressway construction crossed the halfway point.
These advancements underpin AEL’s forecasted growth in revenue streams from airports, renewable energy, and emerging sectors like copper manufacturing. By FY27, the company anticipates robust contributions from these verticals to its overall financial performance.
Capital Expenditure and Financial Outlook
Adani Enterprises has earmarked ₹6.5–7 trillion in capital expenditures over the next decade to fuel its expansion plans across airports, data centers, copper, and green hydrogen initiatives. This ambitious strategy is expected to be largely debt-funded, with net debt-to-equity and net debt-to-EBITDA ratios projected to rise moderately by FY27.
Earlier this year, the company raised ₹4,200 crore through a Qualified Institutional Placement (QIP) and ₹800 crore through its debut public issuance of non-convertible debentures (NCDs). Additionally, the airports and road businesses raised ₹1,950 crore and ₹1,124 crore, respectively, through NCDs, showcasing strong investor confidence in AEL’s vision.
Valuation estimates by Ventura Securities highlight AEL’s broad portfolio of ventures, with the airports business valued at ₹1.87 trillion and the green hydrogen and clean energy segment valued at ₹1.86 trillion. These figures underscore AEL’s pivotal role in driving India’s economic development and transitioning towards sustainability.
Adani Enterprises continues to demonstrate resilience and strategic foresight, despite challenges such as stock volatility and regulatory scrutiny. With its diversified portfolio, robust financial planning, and focus on emerging industries, AEL remains a significant player in India’s industrial and economic landscape, poised for transformative growth in the coming years.
