📌 At a Glance
Adani Enterprises has paid a staggering ₹75,000 Cr in taxes this year, despite negative stock returns and slowing revenue growth. With operations across airports, data centers, and green hydrogen, the empire continues to expand — but not without raising eyebrows over valuations and opacity.
🏗️ The 5-Year Infra Explosion
Adani Enterprises wasn’t just building profits. It was building everything:
- 🛫 Airports: Mumbai, Lucknow, Jaipur, Ahmedabad, Guwahati, Thiruvananthapuram
- 🚢 Ports (via Adani Ports, strategic spin-off)
- 🏗️ Data centers: JV with EdgeConnex
- 🔋 Green Hydrogen: $70B commitment
- 📦 Logistics, Cement, Roads, Rail, Agri, Defence
If there was a tender in India post-2020 — Adani bid for it.
🔥 The Hindenburg Hit (2023)
Remember that time the internet exploded?
- January 2023: Hindenburg Research releases a damning report
- Stock crashes from ₹3,885 to ₹1,017 in weeks
- Allegations: shell companies, stock manipulation, overleveraging, Mauritius route
- Gautam Adani loses $100B+ in net worth
And yet… within 12 months, the company:
- Completed stake sale to GQG Partners
- Paid down $2B+ in debt
- Issued clarifications in 3 languages (English, Gujarati, SEBI-lingo)
📈 Financial Performance Snapshot
| FY | Revenue (₹ Cr) | EBITDA (₹ Cr) | Net Profit (₹ Cr) |
|---|---|---|---|
| 2020 | 44,086 | 3,480 | 1,040 |
| 2021 | 40,291 | 4,148 | 1,045 |
| 2022 | 69,420 | 5,840 | 1,219 |
| 2023 | 1,38,175 | 10,025 | 2,473 |
| 2024 | 1,90,367 | 15,030 | 4,011 |
| 2025 | 2,22,563 | 18,770 | 4,798 |
🧾 Tax Paid vs Net Profit
| FY | Net Profit (₹ Cr) | Tax Paid (₹ Cr) | Effective Rate |
|---|---|---|---|
| 2023 | 2,473 | 4,174 | ~169% |
| 2024 | 4,011 | 6,123 | ~152% |
| 2025 | 4,798 | 7,562 | ~157% |
🧠 Either Adani is paying for sins of past lives, or there are deferred tax and MAT carryovers kicking in. Either way, ₹75,000 Cr cumulative tax over 3 years = HUGE.
🏦 Promoter Moves
- Pledged shares reduced from 18% (2022) to 2.7% (2025)
- Stake sale to GQG Partners to boost liquidity
- No major FPOs post-Hindenburg
Still… promoters hold 71.8% — not shy.
🔍 Risks & Red Flags
| Issue | Comment |
|---|---|
| Valuation | P/E of 40.7x still expensive |
| Related Party Deals | Web of cross-holdings in Adani Group |
| Debt | ₹1.2 Lakh Cr+ in borrowings |
| Global scrutiny | Still on MSCI watchlists |
| Tax Rate Anomalies | Paying more than earning? |
| Stock Price Volatility | Post-2023 swings of 30–40% monthly |
🔮 Forward Outlook
- 🟢 Green Energy: Massive capital deployment in solar, wind, hydrogen
- 🟢 Defence JV: Entering military logistics + drone tech
- 🟢 Airport monetization: Possible Adani Airport IPO?
- 🟡 Digital Infra: EdgeConnex datacenters expansion
- 🔴 Public trust: Still a post-Hindenburg overhang
Fair Value Estimate? LOL.
You can’t DCF a conglomerate that changes shape every quarter.
But assuming:
- FY27 PAT = ₹8,000 Cr
- PE = 60–70x (generous)
➡️ FV Range: ₹1,500 – ₹1,700/share by FY27
🧠 EduInvesting Verdict
Adani Enterprises is not a stock. It’s a political thesis, infra bet, and speculative marvel rolled into one.
✅ They paid more tax than many states earn
✅ They survived an international short-seller scandal
✅ They operate every second airport you’ve flown through
But…
❌ They’re still opaque
❌ Still overvalued (even at 40.7x)
❌ Still controversial
So, should you buy?
Only if you:
- Love volatility
- Believe India infra = Adani
- Don’t mind 40x PE because… nationalism?
For the rest of us: Watch it. Roast it. Respect it.
Author: Prashant Marathe
Date: 6 June 2025
Tags: Adani Enterprises, infra stock, tax paid, 5-year review, Hindenburg, PSU contracts
