Adani Group plans to invest about $14 billion across its portfolio companies that range from ports to energy, airports, commodities, cement and media in the fiscal year starting April 1, as it doubles down on its $100 billion investment guidance over the next 7-10 years to grow businesses, sources said.
In the final quarter of 2023, Adani’s portfolio reported record EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) growth of 63.6%, taking its 12-month EBITDA to an all-time high of $9.5 billion in 2023.
The projected capital expenditure or capex for the 2024-25 (April 2024 to March 2025) fiscal is 40% higher than what the portfolio is estimated to have incurred in FY24.According to analysts, the portfolio is estimated to have incurred a capex of around $10 billion in FY24 which ends on March 31.
Sources said these investments will set the stage for exponential growth. The group had previously guided a $100 billion capex over the next 7-10 years. Most of this investment is going to go into group fast-growing businesses such as renewable energy in the South Asian region, including Sri Lanka.
As much as 70% of the planned capex will go into its green portfolio—primarily renewable power, green hydrogen, green evacuation. Of the remaining 30%, the majority will be spent towards airports and ports businesses.
Increasing cash flows from fast-growing profits have set the stage for mega-scale ‘Green Investment’, sources said.
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