Adani Enterprises Q3 profit tanks a whopping 88% to ₹229cr
What's the story
Adani Enterprises, the flagship company of the Adani Group, has posted a massive 88% year-on-year (YoY) decline in its consolidated net profit for the third quarter of FY25. The company's net profit declined to ₹228.64 crore from ₹1,972.75 crore in the same quarter last year. The financial slump also marks an 88.5% sequential decline from ₹1,989 crore in Q2FY25.
Downturn
Total income and EBITDA also decline
Adani Enterprises' total income for Q3FY25 also declined, dropping 8% YoY to ₹23,500 crore from ₹25,540 crore last year. On a quarter-on-quarter basis, the company's total income was nearly stable compared to ₹23,196 crore in Q2FY25. The firm's earnings before interest, taxes, depreciation and amortization (EBITDA) dropped 5% YoY to ₹3,071 crore from ₹3,227 crore in the same quarter of FY24.
Financial details
Other income and total expenses
Despite the overall financial downturn, Adani Enterprises posted a 33% YoY growth in other income for Q3FY25. The number increased from ₹490 crore in the same period last year to ₹652 crore. However, the company's total expenses witnessed a marginal decline of 1% YoY, amounting to ₹22,925 crore in Q3FY25 against ₹23,180 crore in the corresponding quarter of FY24.
Market response
Stock price reacts to Q3 results
After Adani Enterprises announced its Q3FY25 results, its stock price fell 5% to ₹2,205. The stock is now more than 41% away from its 52-week high of ₹3,743 in June 2024. However, it has gained 8.5% from its 52-week low of ₹2,030 in November last year. In this month alone, the Adani Group's shares have lost about 12% of their value.