Adani announces ₹1.3 lakh crore investment in group companies
The Adani Group has disclosed plans to invest approximately ₹1.3 lakh crore across its portfolio companies in the current fiscal year, as part of a $100 billion investment strategy over the next 7-10 years. The investment will be made across portfolio companies that include ports, energy, airports, commodities, cement and media. "This year will be more about asset completion," said Adani Group CFO Jugeshinder 'Robbie' Singh.
Adani Group's investment strategy and projected expenditure
Singh revealed that 70% of the investment will be funded through internal cash generation, with the remaining met through debt. The group also plans to refinance $3-4 billion of maturing debt this year and raise an additional $1 billion in project financing. The projected capital expenditure for FY25 is 40% higher than what was estimated for FY24, indicating a significant increase in investment activities.
Adani Group's focus on green energy and infrastructure
Singh stated that the majority of the investment will be channeled into the group's rapidly growing businesses — renewable energy, green hydrogen production, and airport and infrastructure development. As much as 70% of the planned capital expenditure will go into its green portfolio — primarily renewable power, green hydrogen, and green evacuation. The group is also set to complete a 6-7GW project through its renewable energy firm Adani Green.
Adani Group's expansion in airports and ports business
The group is constructing the world's largest renewable park at Khavda, Gujarat, covering over 530 square kilometers. A significant portion of the total investments will be allocated for expansion and development of its fast-growing airports business and ports business. With a portfolio boasting eight airports including the upcoming Navi Mumbai airport and 14 domestic ports, Adani aims to further solidify its presence in these sectors.
Adani Group's financial performance and debt management
Adani Group companies recorded a 45% increase in pre-tax profit to ₹82,917 crore (about $10 billion) in FY24. The conglomerate is also focusing on containing debt and reducing founder share pledge after a damaging report from a US short seller impacted the market value of its listed companies. The group's chairman Gautam Adani has built an empire that spans across various sectors, making it the world's second largest solar power company, largest airport operator, and India's second largest cement manufacturer.
