Adani Enterprises Q2 results: Adani Enterprises Limited, the flagship company of Adani Group, has announced the results for the September quarter. The company’s net profit increased by 84% to ₹3,199 crore. This was due to one-time gain of ₹3,583 crore. This lump sum gain has come from the Offer for Sale (OFS) of Adani Wilmar.
However, the company’s revenue declined by 6% to ₹21,249 crore from ₹22,608 crore last year. The company’s EBITDA declined by 23% to ₹3,407 crore. Margin also declined from 19.7% to 16%, a decline of 370 basis points. The board of Adani Enterprises has approved raising up to ₹25,000 crore. The company will raise this fund through rights issue.
Pressure from Coal Trading Division
Adani Enterprises said that its adjusted profit i.e. profit after removing one-time profit has declined in the second quarter. This was due to weakness in the coal trading business, which impacted the strength of the renewable energy operations.
Consolidated profit (before exceptional items and taxes) declined 66.2% year-on-year to ₹814 crore. It was ₹2,409 crore in the same period last year.
Approval to raise ₹25,000 crore
The board of Adani Enterprises has approved raising ₹25,000 crore. This amount will be raised in the form of rights issue through partially paid equity shares. The company said that this rights issue will be only for eligible shareholders. Its record date will be decided later and released.
For this the company has formed a rights issue committee. This committee will decide the remaining terms of the issue. Such as issue price, entitlement ratio, record date, time and payment process.
Adani Enterprises Share
There was a decline in the shares of Adani Enterprises after the announcement of quarterly results. The company’s stock fell 2.72% to ₹ on November 4.2,399.90 But was trading. The reason for this was the big announcement of September quarter results and fund raising. The stock is down about 6% so far this year. At the same time, it has given a negative return of 16.57% in 1 year.
Disclaimer: The information provided here is being given for information only. It is important to mention here that investing in the market is subject to market risks. As an investor, always consult an expert before investing money. Moneycontrol never advises anyone to invest money here.