Adani Green Q2 profit jumps 25% as it adds 2.4GW capacity in six months

Adani Green Energy Ltd, India's largest renewable energy company by capacity, added 2.4 gigawatts (GW) of additional capacity during the first half of 2025-26, with about 900 megawatts (MW) of it coming during the September quarter, it said on Wednesday.

To be sure, the company aims to add 5GW of new capacity in the current fiscal year. With the latest additions, its operational capacity stood at 16.7GW as of 30 September, keeping it on track to achieve its target of 50GW of installed capacity by 2029-30. This puts it ahead of ReNew Energy, which has 11.1GW of operational renewable capacity.

“The company added nearly 1GW during the second quarter when the monsoon makes construction difficult. So, it is pretty much on target to achieve the guided capacity of 5GW for the year,” said one analyst tracking the firm on the condition of anonymity.

At Khavda, where the Adani Group is setting up the world’s largest single-location renewable energy complex, capacity has reached 7.1GW against a target of 30GW by 2029. Of this, 6.4GW is under Adani Green, while the remainder has been set up for other Adani Group companies.

Q2 performance

The company’s second-quarter profit was 25% higher than a year ago at ₹644 crore. Consolidated revenue dipped by 4% year-on-year to ₹3,249 crore.

It reported a 20% on-year growth in its income through power supply to ₹2,776 crore.

“We produced 19.6 billion units of clean power—enough to supply a country like Croatia for an entire year,” Ashish Khanna, chief executive of Adani Green Energy, said in a press release.

Revenues from the "sale of goods", which includes money made through the development of renewable energy plants for third parties on a contractual basis, dipped by over 90% to just ₹48 crore.

The lower contribution from engineering, procurement, and construction (EPC) work, which tends to be lower margin, helped it improve its margins, said the analyst.

Its earnings before interest, taxes, depreciation and amortization (Ebitda) rose 9% on-year to ₹2,844 crore. Ebitda margin improved by nearly 11 percentage points to 87.5%.

Shares of Adani Green Energy closed 1.21% lower at ₹1,004.55 on BSE, even as the benchmark Sensex ended 0.18% down. The stock has declined over 4% so far this year, compared with a 7.8% gain in the benchmark index.

The shares are trading at a rich price-to-earnings ratio (P/E) of 75.35 on a consolidated basis on BSE. This compares to a P/E of 26.27 for Tata Power, which houses conventional power, renewable energy, and solar cell manufacturing all under one company.