Adani Enterprises, Adani Power Q2 results today; how Adani Green Energy, Adani Total Gas, others performed

Adani Enterprises Ltd and Adani Power Ltd are two Adani group firms that are scheduled to report their September quarter results today. Out of a total of 10 listed Adani group companies, six have already reported their Q2 results. Except for Adani Wilmar Ltd and New Delhi Television Ltd (NDTV), others group firms reported strong results so far.

Adani group companies that are out with quarterly results included two cement makers ACC Ltd and Ambuja Cements Ltd, FMCG firm Adani Wilmar Ltd, renewable company Adani Green Energy Ltd, gas utility Adani Total Gas Ltd and media firm NDTV.

Cement maker ACC clocked a consolidated profit of Rs 388 crore for Q2 against a loss of Rs 87 crore in the corresponding quarter last year. Net went up by 11.23 per cent YoY to Rs 4,435 crore from Rs 3,987 crore YoY.

"ACC is focused on cost optimisation and reduction of cost to drive growth. It aims to double its capacity to 140 mt within the next five years, up from the current capacity of 70 mt. We have introduced FY26E and are expecting Revenue/Ebitda to grow at a CAGR of 11.2 per cent/36.8 per cent respectively over FY23-FY26E. We maintain our rating to ADD and arrive at a target price of Rs 2,045," Choice Broking said on ACC.

Ambuja Cements' Q2 profit came in at Rs 987 crore against Rs 51 crore YoY. The cement maker said its revenue rose 4 per cent to Rs 7,424 crore in Q2 compared with Rs 7,131 crore YoY. "The long-term growth prospects and healthy BS along with the recent stock price correction (15 per cent in the last three months) offer a good entry point. Hence, we upgrade the stock to BUY from Hold. Factoring in the recent cement price hike, we have raised our Ebitda estimates by 4-9 per cent in FY24-26E and revised Sep-24E target to Rs 515 (16x EV/E) post the quarterly roll-over," Emkay Global said.

Adani Wilmar logged a surprise loss of Rs 131 crore for Q2, due to hedging losses on account of divergent trends in the spot and future prices of edible oil. The Adani group firm saw its sales falling 13 per cent to Rs 12,267 from Rs 14,150 crore.

Nuvama Institutional Equities said: "Given operating deleverage, higher fixed cost, misalignment of hedges (in H1FY24) and nature of the business, the decline in profits looks higher given low margins. Factoring in these, we are cutting FY24/25/26E revenue by 8.3 per cent/6 per cent/6 per cent, translating to an EPS cut of 50 per cent/10 per cent/9 per cent. We are also cutting the target Edible Oil valuation from 24 times to 20 times."

In the case of Adani Total Gas, consolidated profit increased 8 per cent to Rs 173 crore in Q2 from Rs 160 crore YoY. Revenue for the quarter, Adani Total Gas said, declined to Rs 1,179 crore against Rs 1,135 crore YoY.

"The company volumes at 2.29 mmscmd (vs 2.18/2.08mmscmd in Q1FY24/Q2FY23) of which CNG volumes stood at 1.48 mmscmd, supported by strong network expansions. PNG volumes at 0.82 mmscmd stood lower than the peak of 1mmscmd. Industrial volumes were 0.59 mmscmd, impacted by weaker demand despite lower gas prices," the YES Securities said.

Adani Green Energy's profit soared 149 per cent YoY to Rs 371 crore from Rs 149 crore in the year-ago quarter while its sales climbed 79.55 per cent YoY to Rs 1,984 crore from Rs 1,105 crore. NDTV’s Q2 profit halved on YoY.

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