Adani Group says ‘cashflow not a problem’; cash balance exceeds debt repayment over last 28 months

There have been worries about the current US bribery charges against chairman and founder Gautam Adani along with his nephew Sagar Adani and six others could impact the cashflow for Adani Group. The conglomerate has however announced that it has enough cash balances exceeding long-term debt repayments for next 28 months. Portfolio level cash balances stood at $6.33 billion.

The company recorded a combined EBITDA of Rs 44,212 crore in the first half of FY25. This is 1.20 per cent above Rs 43,689 crore recorded during the same period of previous financial year. The Adani Group released a report on Monday announcing robust financial health and steady growth through its latest H1FY25 and Trailing-Twelve-Month (TTM) results, despite external pressures. 

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Adani Group companies reducing debt

Adani Group posted a strong asset base of around $66 billion built over three decades that supports resilient critical infrastructure and guarantees best-in-class asset performance over the entire life cycle. Gross Assets/ Net Debt ratio has improved further at 2.70x (vs. 2.63x in FY24). Adani portfolio companies, it added, operate with approximately 88 per cent of September 2024 TTM EBITDA being generated from core infrastructure businesses providing consistent cash flows. 

The Trailing-Twelve-Month EBITDA went up by 17 per cent YoY to $10 billion. Simultaneously, funds from operations (FFO) reached $7 billion, up 30 per cent annually for five years. Net debt-to-EBITDA stood at 2.46x, which was below the group’s guidance range of 3.5x-4.5x.

Adani Group- Company wise performance during H1

Adani Enterprises (AEL)

AEL has raised Rs 4,200 crore ($500 million) through QIP which was subscribed with participation from international and domestic investors. AEL and its subsidiaries have raised Rs 3,874 crore ($460 million) through issuances of NCDs which were subscribed by a diversified set of investors. 

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