Adani Enterprises Q3 Results: Adani Enterprises posts Q3 profit on strong performance in coal trading, airport business | Business

NEW DELHI: Adani Group’s flagship company Adani Enterprises on Tuesday reported a profit worth Rs 820 crore for the third quarter of the financial year 2022-23, at a time when the conglomerate has been under pressure in wake of US short-seller Hindenburg’s report.
In a regulatory filing with the bourses, Adani Enterprises said the profit came on the back of boosts from its key coal trading division and its new energy businesses.
In the same quarter last year, the firm had posted a net loss of Rs 11.6 crore.
Adani Enterprises said its coal trading division benefited from a rise in volumes as well as higher coal prices. Meanwhile, Adani New Energy segment saw a surge in the volumes and prices of solar modules.
As a result, earnings before interest, taxes, depreciation, and amortization (EBITDA) for its mainstay coal trading business saw a whopping four-fold surge, while that of the Adani New Energy segment more than doubled.

Commenting on the results, Adani Group chairman Gautam Adani said that over the past 3 decades, his flagship firm has not only validated its standing as India’s most successful infrastructure incubator but has also demonstrated a track record of building core infrastructure business.
“AEL’s exceptional resilience and capacity to build highly profitable core sector business indicate how our strategy of harnessing the diverse strengths of the Adani portfolio of companies is creating consistent long-term value for all our stakeholders,” Adani said.
He also assured investors that the current market volatility in the company’s stocks is temporary and AEL will continue to work towards its goal.
“The current market volatility is temporary; and as a classical incubator with a vision of long-term value creation, AEL will continue to work with the twin objectives of moderate leverage and looking at strategic opportunities to expand and grow,” the Adani Group chief added.
According to a report by Bloomberg, the earnings will be a tailwind for Adani Enterprises, which has a motley mix of businesses spanning coal mining, airports, data centers, digital services and metals.
Known for incubating new Adani businesses that are then spun off, the company has weathered a brutal past few weeks that saw its $2.5 billion share sale shelved and its stock plunge after US-based Hindenburg Research accused it of accounting fraud and stock manipulation in a January 24 report.
The group’s seven listed stocks have together lost over $120 billion in market value since then. However, the group has repeatedly denied such allegations.
Referring to the Hindenburg report, Adani Enterprises said the parent company has already refuted the allegations and submitted a detailed response to the stock exchanges on January 29, 2023.
“Management of the Group has assessed that no material financial adjustment arises to the consolidated financial results for the quarter and nine months ended December 31, 2022 with respect to these allegations,” the company said.
Further, the firm said the entire application bid amounts that it received as a result of the follow-on public offer (FPO) have been released to the bidders. AEL had called off its fully subscribed FPO a day after it closed for subscription on February 1 in order to protect the interest of the bidders amid volatile market conditions.