In a resolute address to shareholders at the Adani Enterprises’ Annual General Meeting (AGM) on Monday, Gautam Adani, Chairman of the Adani Group, emphasized resilience in the face of adversity and reaffirmed the group’s steadfast commitment to growth and integrity.
Adani began by acknowledging the hurdles faced by the conglomerate, particularly highlighting a recent high-profile attack by a foreign short seller.
This unprecedented challenge, Adani noted, aimed not just at financial gains but also at tarnishing the group’s reputation through misinformation and politicization.
“We faced an unprecedented attack on our integrity and reputation,” Adani stated, “but we stood firm and demonstrated that no challenge can weaken the strong foundations upon which our group stands.”
The timing of the assault, strategically launched just before the closing of their Follow-on Public Offer (FPO), amplified its impact.
Despite successfully raising Rs 20,000 crore, Adani revealed that the group decided to return the proceeds amidst the controversy, prioritizing investor trust and ethical business practices.
“This decision underscored our dedication to investors and ethical standards,” Adani assured shareholders, highlighting the group’s commitment to transparency and operational excellence.
Despite the turmoil, Adani Group managed to bolster its financial position significantly. The group raised additional funds totaling Rs 40,000 crore, comfortably securing its debt repayment obligations for the next two years.
Adani stressed that this proactive measure not only restored market confidence but also protected their portfolio against potential volatility.
“Our proactive approach also led us to reduce our Debt to EBITDA ratio to 2.2x, down from 2.5x in just six months,” Adani proudly announced, emphasizing the strengthened financial resilience and expanded capacity for future growth.
The group’s steadfast response to the crisis received validation from various quarters, including the Supreme Court of India and esteemed global investors such as GQG Partners, TotalEnergies, and the US Development Finance Corporation.
Adani attributed these endorsements to the group’s unwavering commitment to excellence and transparent governance.
Gautam Adani highlighted India’s burgeoning role on the global stage and the group’s pivotal contributions to national infrastructure and sustainable development.
Against a backdrop of geopolitical tensions, Adani expressed confidence in India’s emergence as a beacon of stability, cooperation, and progress in an increasingly complex world.
“It is India’s macroeconomic stability and ambitious growth plans that inspire our confidence,” stated Gautam Adani, underscoring the nation’s pivotal role in shaping global economic dynamics.
Adani noted the significant government focus on infrastructure development, with funding increasing by 16% to exceed Rs 11 lakh crore for the current financial year.
He emphasized the tripling of annual spending over the past five years, highlighting the critical involvement of state governments in executing infrastructure initiatives.
“With operations spanning 24 Indian states, we witness firsthand the vital role played by state governments in driving these initiatives,” Adani affirmed, reflecting on the group’s alignment with national priorities and its capability to execute complex, large-scale projects.
Adani also highlighted the group’s ambitious redevelopment initiative in Mumbai’s Dharavi, the world’s largest slum.
Over the next decade, this transformative project aims to enhance living conditions for over one million residents while fostering a sustainable living ecosystem and innovation hub in Mumbai.
Furthermore, Adani underscored the group’s commitment to India’s security and technological advancement through projects like the Drishti 10 Starliner UAV, designed for border protection.
Gautam Adani unveiled impressive financial results and outlined ambitious expansion initiatives across the conglomerate’s diverse portfolio.
Highlighting a year of unprecedented achievements, Adani proudly announced significant financial milestones for fiscal year 2023-24.
“We achieved our highest ever EBITDA of Rs 82,917 crore, marking a remarkable surge of 45%. This stellar performance propelled our Profit After Tax (PAT) to a record high of Rs 40,129 crore, reflecting a substantial growth of 71%,” Adani informed shareholders.
He also emphasized the reduction in net Debt to EBITDA ratio from 3.3X to 2.2X over the past year, underscoring the group’s strengthened financial position.
The Adani Group reported a historic high liquidity level with a cash balance of Rs 59,791 crore, which Adani attributed to the group’s stable infrastructure platform.
Adani Enterprises, the group’s incubation engine, witnessed robust growth in various sectors.
Adani highlighted the strong double-digit growth in passenger traffic across their airports, totaling 88.6 million passengers.
Discussing the group’s strategic investments, Adani emphasized the commencement of operations at Kutch Copper Limited’s greenfield copper refinery in Mundra, Gujarat.
Adani Ports & SEZ reported exceptional performance, exceeding 400 million metric tonnes (MMT) of cargo and handling a record 420 MMT.
Gautam Adani informed shareholders about the acquisition of Gopalpur and Karaikal ports, consolidating the group’s position as India’s premier ports and logistics company.
Meanwhile, Adani Green Energy revised its target for FY 2029-30 from 45 GW to 50 GW, with significant capacity additions already underway.
The commissioning of 2 GW at the world’s largest renewable energy plant in Khavda within 12 months of breaking ground was highlighted as a testament to the group’s execution capabilities.
The Adani Power expanded its operating capacity to 15,250 MW, including the commissioning of India’s first trans-national ultra-supercritical thermal power plant in Godda, Jharkhand, which exports all its power to a neighboring nation.
Adani Energy Solutions continued to bolster critical transmission infrastructure, with significant orders in hand. Adani Total Gas expanded its network, exceeding 900 CNG stations and over 9.76 lakh PNG connections, alongside commissioning 606 EV charging points and a large biomass plant in Barsana.
The acquisition of ACC and Ambuja Cements bolstered the group’s cement capacity to 79 MTPA, with plans to reach 140 MTPA by 2028. Adani noted Ambuja Cements’ role as the lead supplier for India’s longest sea bridge, the Mumbai Trans Harbour Link.
In media ventures, Adani Group’s NDTV expanded its regional presence and digital footprint, achieving a 39% increase in global digital traffic.
Adani highlighted investments in next-generation digital infrastructure and new facilities in Mumbai and Delhi, reinforcing their commitment to quality programming.
Gautam Adani expressed optimism about the group’s future, stating, “With record results, robust cash positions, and the lowest debt ratios in our history, the Adani Group is poised for even greater accomplishments ahead.”
Gautam Adani reiterated the company’s dedication to making a positive impact through its corporate social responsibility initiatives and highlighted India’s promising future amid ongoing economic reforms.
He underscored the Adani Foundation’s pivotal role in transforming lives across India.
The Adani Foundation has significantly expanded its outreach, now touching 9.1 million individuals across 6,769 villages in 19 states.
Initiatives like Adani Saksham have empowered 1,69,000 young individuals with essential skills, equipping them for a brighter future and entrepreneurial opportunities.
Additionally, health outreach programs, including mobile healthcare units and camps, have positively impacted 2 million lives by delivering essential healthcare services to remote communities.
The ‘SuPoshan’ project, focused on nutrition for women and children, now reaches 4,14,000 beneficiaries, fortifying the foundation of future generations.
Looking ahead optimistically, Gautam Adani painted a compelling picture of India’s economic trajectory.
Adani attributed this optimism to India’s demographic dividend and the government’s steadfast economic policies over multiple terms.
“With GDP doubling over the past decade and a robust growth rate exceeding 7%, India’s economic fundamentals are strong,” Adani emphasized.
He further highlighted soaring stock markets and record-high consumption levels as indicators of India’s economic health and the rapid expansion of its middle class.
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