The Adani Group has announced that it has sufficient cash reserves to meet its debt obligations and achieved a record pre-tax profit in the 12 months ending December 2024. According to the company’s report, the group has cash balances exceeding long-term debt repayments for the next 28 months, with a cash balance of Rs 53,024 crore, representing 20.5% of gross debt. The company’s cash balance has consistently increased, with a cash balance of Rs 58,908 crore as of September 30, 2024, compared to Rs 59,791 crore in the previous fiscal year.
The company’s gross assets have increased to Rs 5.53 lakh crore, with a gross debt of Rs 2.58 lakh crore. The net debt stands at Rs 2.05 lakh crore, up from Rs 1.81 lakh crore as of March 2024. The company’s EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) has also grown, reaching a record high of Rs 86,789 crore in the 12-month period ending December 2024, with a 10.1% year-on-year growth.
The company’s emerging businesses, including solar and wind manufacturing and airports, have been a key contributor to this growth, with a 45% year-on-year growth in the December quarter. The Adani Group’s infrastructure businesses, which account for 85% of its profits, have also shown strong performance, with a cash flow generation of 84% of the total portfolio EBITDA. The company’s credit profile has also improved, with 75% of its run-rate EBITDA generated from assets with domestic ratings of ‘AA-‘ and above.
The Adani Group has a strong asset base, with a gross assets-to-net debt ratio of 2.7 times, which is a significant improvement from 2.63 times in the previous year. The company plans to use its incremental cash flows to drive capital expenditure in the years ahead. Overall, the company’s performance has been robust, with a strong cash position, growing profits, and an improving credit profile.