Adani Power Ltd – ₹12,411 Cr Profits, ₹0 Dividends: The Shock Therapy of Indian Electricity
1. At a Glance
Adani Power is India’s largest private thermal power producer with 17,550 MW capacity, exporting electricity to Bangladesh, billing Indian DISCOMs, and billing investors with zero dividends. With a market cap of ₹2.35 lakh crore, 26% ROE, and 22% ROCE, it prints cash like an ATM – but the cash never leaves for shareholders. The company’s motto? “We light up the world, but not your bank account.”
2. Introduction
Adani Power (APL), the crown jewel in the Adani Group’s energy empire, is the kind of stock that divides investors like paneer vs tofu. On one hand, it has grown profits at 65% CAGR in 5 years, operates supercritical and ultra-supercritical plants, and owns India’s only transnational power export project. On the other hand, it hasn’t paid a dividend in years – because apparently, electricity is only meant to flow one way.
APL is no small player: it commands 6% of India’s total thermal power output and 16% of private thermal power. With 85% of capacity locked in long-term PPAs, its earnings are supposed to be “stable.” But stable here means state electricity boards paying late, going to court, and finally coughing up with interest – making APL part power generator, part litigation specialist.
At ₹608/share, the company trades at 19x earnings – not crazy expensive. But remember, this is Adani Group land. Things move fast, capex flies, and investors must keep faith that coal, carbon, and courts will remain in their favour.
3. Business Model – WTF Do They Even Do?
APL generates electricity from coal-based power plants. Its business is a mix of:
Long-term PPAs (85%): Guaranteed income from state utilities, though payments arrive on PSU time (i.e., late).
Merchant Power (15%): Sold in the open market at spot rates. Great in peak demand, useless in low demand.
Exports: The Godda project (Jharkhand) ships 1,600 MW to Bangladesh, marking India’s debut in electricity exports.
Its plants are scattered across Gujarat, Maharashtra, Rajasthan, Karnataka, Chhattisgarh, MP, and Jharkhand. Combined capacity today: 17,550 MW. Target by 2032: a mind-boggling 30,670 MW. Basically, Adani Power wants to be the Reliance Jio of electricity – everywhere, all the time.
4. Financials Overview
Source table
Metric
Latest Qtr (Jun’25)
YoY Qtr (Jun’24)
Prev Qtr (Mar’25)
YoY %
QoQ %
Revenue
₹14,109 Cr
₹14,956 Cr
₹14,237 Cr
-5.7%
-0.9%
EBITDA
₹5,685 Cr
₹6,194 Cr
₹4,813 Cr
-8.2%
+18.1%
PAT
₹3,305 Cr
₹3,913 Cr
₹2,599 Cr
-15.5%
+27.2%
EPS (₹)
8.78
10.14
6.84
-13.4%
+28.4%
Commentary: QoQ bounce, YoY decline. Basically, Adani Power’s earnings dance like Navratri garba – fast, energetic, and unpredictable.
