Adani Transmission, the transmission business unit of the Adani Group which recently acquired the power distribution of Mumbai, posted a 26% year-on-year (y-o-y) rise in net profit on a consolidated basis to Rs 213.4 crore in June quarter. Revenue for the quarter went up 316% yo-y to Rs 2,889.7 crore as the company included Rs 2,189-crore income from its Mumbai distribution business.
Earnings before interest, taxes, depreciation and amortisation (Ebitda) was Rs 1,194 crore, up 173% y-o-y, of which Rs 584 crore is the contribution of the discom business. At the same time, expenses increased 425% to Rs 2,480.7 with the inclusion of power purchase and fuel costs of Rs 1,107.2 crore towards the discom segment.
“The company plans to spend around Rs 1,200 crore in FY20 on Mumbai discom but consumer tariffs will not be impacted as the investments would mainly be on transmission, which would be spread across the entire state, Anil Sardana, chief executive, Adani Transmission Ltd, said.
On the transmission segment, the company received letters of intent to build, own, operate and maintain the transmission project in the state of Rajasthan and Gujarat through tariff-based competitive bidding (TBCB) process in the quarter. With the completion of its ongoing projects, the total network will be about 14,217 circuit km. The company also won two new TBCB projects in Q2 FY20, taking total under construction projects to six.
“We are committed to leveraging our experience and expertise to continue as a leading transmission company as well as the preferred choice of utility in electricity distribution,” Gautam Adani, chairman, Adani Group, said.
