Adani Portfolio released FY25 Results and Credit compendium covering all its listed entities, summarizing the key developments across the portfolio companies. The Adani Group has reported an exceptional performance for FY25, posting its highest-ever EBITDA of Rs 90,000 crore ($10.5 billion). The group also reported the record capital expenditure (Capex) of Rs 1.26 lakh crore.
The conglomerate’s gross assets rose sharply to Rs 6.09 lakh crore, registering a compound annual growth rate (CAGR) of over 25% from FY19 to FY25. The group has also reported a record-breaking profit after tax (PAT) of Rs 40,565 crore ($4.7 billion) for FY25. This figure reflects an impressive compound annual growth rate (CAGR) of 48.5% since FY19.
Complementing the record profitability, the conglomerate achieved a Return on Assets (RoA) of 16.5% in FY25, amongst the highest in the global infrastructure sector.
Strong profit growth has lowered debt leverage, with Net Debt-to-EBITDA dropping to 2.6x in FY25 from 3.8x in FY19. The group boasts a healthy cash balance of INR 53,843 crore and a favourable asset rating mix, contributing to a declining cost of debt, which fell to 7.9% in FY25. The majority of EBITDA (90%) comes from high-quality AA-rated assets, with around 50% generated from top-tier AAA-rated assets.
Financial Summary Of The Adani Portfolio
- FY25 was a landmark year for the Adani Portfolio, where in EBITDA scaled to an all-time high of Rs 89,806 crore, up 8.2% YoY. Excluding non-recurring prior period items, the growth stands even higher at 18% YoY.
- It should be noted that 82% of the EBITDA is contributed by the highly stable ‘Core Infrastructure’ platform, lending a high level of stability and visibility. Adani’s ‘Core Infrastructure’ platform comprises Utility (Adani Green Energy, Adani Power, Adani Energy Solutions, and Adani Total Gas), Transport (Adani Ports & SEZ), and AEL’s incubating Infrastructure businesses.
- Cash After Tax (CAT) or Fund Flow from Operations (FFO) increased to Rs 66,527 crore, up 13.6%, driven by strong operating leverage across businesses.
- Profit After Tax (PAT) rose to an all-time high of Rs 40,565 crore.
- Higher cashflows helped record asset addition of Rs 1.26 lakh crore, the highest in the history of Adani Portfolio, taking the total Gross Assets to Rs 6.1 lakh crore. Three-fourths of this was added in the past six years.
- Prudent capital allocation, complemented by strong execution, has helped Adani Portfolio consistently achieve industry-leading Return on Asset (ROA) of over 15% in each of the past six years. ROA for FY25 was 16.5%, one of the highest globally in the infrastructure sector.
- High growth in profits has led to a sharp reduction in the leverage of portfolio companies—portfolio-level Net Debt to EBITDA has reduced from 3.8x in FY19 to as low as 2.6x now.
- Robust financial performance across businesses has resulted in consistent ratings’ improvement, with milestone achievement in FY25. Nearly 90% of EBITDA is now generated from assets with domestic ratings of ‘AA- ‘and above, as compared to 63% and 48% two and six years ago, respectively.
- As a result, the cost of debt for FY25 was 7.9% against 9% in FY24 and 10.3% in FY19
- In line with our conservative credit policies, sufficient liquidity is maintained across portfolio companies to cover debt servicing requirements for at least the next 12 months. As on 31 March 2025, Adani Portfolio had a cash balance of INR 53,843 crore, representing 18.5% of Gross Debt and is sufficient to cover 21 months of debt servicing requirements comfortably above our stated 12 months+1 day of debt servicing policy.
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