Adani Energy Solutions (formerly Adani Transmission) reported a 5.9 per cent dip in net profit (attributable to the owners) for the June 2023 quarter (Q1FY24) compared to a year ago.
The company reported a double-digit growth in revenue, while other income slipped significantly.
For Q1FY24, net profit was Rs. 175.1 crore, lower by 5.9 per cent from a year ago.
Revenue in the same period rose 20 per cent year-on-year (YoY) to Rs. 3,663.9 crore. Other income of the company also fell significantly to Rs. 108.3 crore a dip of 83.4 per cent from a year ago.
“Consolidated revenue in Q1FY24 witnessed double-digit growth on account of incremental revenue from newly commissioned lines, partial commissioning of a few elements, and an increase in energy consumption in the Mumbai distribution business,” the company said in its statement.
Reported net profit was at Rs. 182 crore, up 8 per cent YoY.
Segment-wise, profit after tax (PAT) for the transmission business was down 31 per cent. The distribution business was back in the black with a PAT of Rs. 20 crore, against a loss of Rs. 66 crore, a year ago.
“PAT in the transmission business declined due to a higher tax outgo of Rs. 65 crore on dividend income at the parent level. Distribution PAT was on account of mark-to-market movements of foreign currency loans in the previous periods,” the company said in its statement.
The company said the name change paves the way to tap opportunities in smart metering, district cooling solutions, and other energy solutions, along with the existing businesses.
On the Hindenburg Research allegation, the company and its subsidiaries have undertaken review of their transactions, and obtained opinions from independent law firms, confirming compliance.
The company said that since the matter is subjudice at the Supreme Court, no additional action is considered prolific.