Operating profit margin has declined from 41.68% to 31.93%, leading to 38.56% decline in operating profit to Rs 3,514.23 crore.  Purchase of finished goods cost fell from 0.40% to 0.21%.   Employee cost increased from 0.98% to 1.37%.   Other expenses rose from 56.94% to 66.48%.   Power and Oil fuel cost rose from 52.03% to 61.44%.   Other direct service cost rose from 1.05% to 1.15%.   

Other income rose 297.74% to Rs 7103.47 crore.  PBIDT rose 41.46% to Rs 10617.7 crore.  

Provision for interest rose 7.29% to Rs 883.49 crore  due to incremental borrowing for the Godda power plant.

PBDT rose 45.67% to Rs 9734.21 crore.  Provision for depreciation rose 14.53% to Rs 934.59 crore  due to the commissioning of the Godda power plant. Profit before tax grew 50.01% to Rs 8,799.62 crore.  

Share of profit/loss were nil in both the periods.  Provision for tax was expense of Rs 40.2 crore, compared to Rs 1086.34 crore.  Effective tax rate was 0.46% compared to 18.52%. Minority interest was nil in both the periods.  Net profit attributable to owners of the company increased 83.26% to Rs 8,759.42 crore.  

• Sales of Power Generation and related activities segment has gone down 19.79% to Rs 10,983.13 crore (accounting for 99.80% of total sales).  Sales of Trading, investment and other activities segment fell 26.36% to Rs 22.41 crore (accounting for 0.20% of total sales).  
• Profit before interest, tax and other unallocable items (PBIT) has jumped 50.01% to Rs 8,799.62 crore.  PBIT of PowerPower Generation and related activities segment rose 50.18% to Rs 8,793.68 crore (accounting for 99.93% of total PBIT).  PBIT of Trading, investment and other activities segment fell 44.95% to Rs 5.94 crore (accounting for 0.07% of total PBIT).  
• PBIT margin of Power Generation and related activities segment rose from 42.76% to 80.07%.  PBIT margin of Trading, investment and other activities segment fell from 35.46% to 26.51%.  Overall PBIT margin rose from 42.75% to 79.96%.  
• Consolidated Total Revenue for Q1 FY 2023-24 was Rs. 18,109 Crore, which was 16.8% higher as compared to Rs. 15,509 Crore in Q1 FY 2022-23. Revenue for Q1 FY 2023-24. includes one-time recognition of prior period regulatory revenue amounting to Rs. 6,497 Crore, primarily on account of Late Payment Surcharge. In comparison, revenue for Q1 FY 2022-23 included one-time prior period revenue recognition of Rs. 4,212 Crore primarily on account of various regulatory orders.  

Operating Performance 

During the quarter ended 30th June 2023, APL achieved an average consolidated Plant Load Factor [“PLF”] of 60.1% and sales of 17.5 Billion Units [“BU”] on an installed capacity of 15,250 MW, as compared to consolidated PLF of 58.6% and sales volume of 16.3 BU on an installed capacity of 13,650 MW in the quarter ended 30th June 2022. During the quarter, the power plants at Udupi, Raipur, Raigarh, and Mahan achieved an increase in PLF, while power plants at Mundra, Tiroda, and Kawai achieved lower PLF due to erratic weather conditions leading to backdown from DISCOMs. Incremental generation capacity of the 1,600 MW Godda Ultra-supercritical thermal power plant [“USCTPP”] contributed to the increase in sales volumes for Q1 FY 2023-24. 

 Business updates 

The 1,600 MW Godda USCTPP was commissioned during Q1 FY 2023-24. The plant has commenced full load power supply to Bangladesh under the 1,496 MW (Net) Power Purchase Agreement [“PPA”] with the Bangladesh Power Development Board. The Godda Power Plant is a shining example of India-Bangladesh cooperation. It marks the Adani Group’s entry into transnational power projects and is India’s first commissioned transnational power project where 100% of the generated power is supplied to another nation. It will provide an uninterrupted and reliable source of electricity at competitive tariffs to Bangladesh, helping it replace costly power generated from liquid fuels, thereby contributing to its economic growth and prosperity.  

Others

Promoters’ stake was 74.97% as of 30 June 2023 ,compared to 74.97% as of 30 June 2022. Promoters’ stake was 74.97% as of 30 June 2023 ,compared to 74.97% as of 31 March 2023.

Promoters pledged stake was 25.06% as of 30 June 2023 ,compared to 25.33% as of 30 June 2022  and  compared to 25.15% as of 31 March 2023 .  

Full year results analysis.

Net sales (including other operating income) of Adani Power has increased 39.92% to Rs 38773.3 crore.  Sales of Power Generation and related activities segment has gone up 39.21% to Rs 37,895.85 crore (accounting for 97.74% of total sales).  Sales of Trading, investment and other activities segment rose 79.29% to Rs 877.45 crore (accounting for 2.26% of total sales).  

Profit before interest, tax and other unallocable items (PBIT) has jumped 16.69% to Rs 7,674.70 crore.  PBIT of Power Generation and related activities segment rose 5.87% to Rs 6,957.13 crore (accounting for 90.65% of total PBIT).  PBIT of Trading, investment and other activities segment rose 12,357.80% to Rs 717.57 crore (accounting for 9.35% of total PBIT).  

PBIT margin of Power Generation and related activities segment fell from 24.14% to 18.36%.  PBIT margin of Trading, investment and other activities segment rose from 1.18% to 81.78%.  Overall PBIT margin fell from 23.73% to 19.79%.  

Operating profit margin has declined from 35.42% to 25.91%, leading to 2.35% rise in operating profit to Rs 10,044.66 crore.  Purchase of finished goods cost fell from 1.97% to 0.55%.   Employee cost decreased from 1.70% to 1.47%.   Other expenses rose from 60.92% to 72.07%.   Power and Oil fuel cost rose from 53.27% to 65.72%.   Other direct service cost fell from 2.32% to 1.34%.   

Other income rose 7.34% to Rs 4267.22 crore.  PBIDT rose 3.79% to Rs 14311.88 crore.  Provision for interest fell 18.59% to Rs 3333.5 crore.  Loan funds declined from Rs 48,898.43 crore as of 31 March 2022 to Rs 42,349.53 crore as of 31 March 2023.  Inventories rose to Rs 3,075.20 crore as of 31 March 2023 from Rs 2,258.27 crore as of 31 March 2022.  Sundry debtors were higher at Rs 11,529.36 crore as of 31 March 2023 compared to Rs 9,560.92 crore as of 31 March 2022.  Cash and bank balance declined from Rs 2,364.68 crore as of 31 March 2022 to Rs 1,873.65 crore as of 31 March 2023.  Investments rose to Rs 654.05 crore as of 31 March 2023 from Rs 183.25 crore as of 31 March 2022 .  

PBDT rose 13.24% to Rs 10978.38 crore.  Provision for depreciation rose 5.97% to Rs 3303.68 crore.  Fixed assets increased to Rs 64,128.28 crore as of 31 March 2023 from Rs 63,353.34 crore as of 31 March 2022.  Intangible assets increased from Rs 190.61 crore to Rs 202.64 crore.  

Profit before tax grew 16.69% to Rs 7,674.70 crore.  Share of profit/loss were nil in both the periods.  Provision for tax was credit of Rs 3051.94 crore, compared to debit of Rs 1665.55 crore.  Effective tax rate was negative 39.77% compared to 25.32%.

Minority interest was nil in both the periods.  Net profit attributable to owners of the company increased 118.39% to Rs 10,726.64 crore.  

Equity capital stood at Rs 3,856.94 crore as of 31 March 2023 to Rs 3,856.94 crore as of 31 March 2022.  Per share face Value remained same at Rs 10.00.  

Promoters’ stake was 74.97% as of 31 March 2023 ,compared to 74.97% as of 31 March 2022 .  Promoters pledged stake was 25.15% as of 31 March 2023 ,compared to 27.37% as of 31 March 2022 .  

Cash flow from operating activities decreased to Rs 8,430.53 crore for year ended March 2023 from Rs 10,232.73 crore for year ended March 2022.  Cash flow used in acquiring fixed assets during the year ended March 2023 stood at Rs 3,243.68 crore, compared to Rs 3,434.55 crore during the year ended March 2022.