Adani Power
Adani Power Limited is an Indian electricity utility company headquartered in Ahmedabad, Gujarat, and a subsidiary of the Adani Group, focusing on the generation, transmission, and sale of power primarily through coal-based thermal plants and solar projects.[1][2] Incorporated in 1996 as a power trading firm, it began commercial generation in 2009 with its first units and has expanded to an installed capacity exceeding 13,000 MW across multiple states, positioning it as India's largest private thermal power producer.[3][4] In recent fiscal years, the company reported revenues of approximately ₹55,357 crore and net profits of ₹12,142 crore, reflecting strong operational performance amid capacity additions and long-term power purchase agreements.[5] Adani Power is actively pursuing expansions, including brownfield projects totaling several gigawatts to reach over 40 GW by the early 2030s, underscoring its role in addressing India's energy demands through reliable baseload supply.[6] While the firm has encountered unproven allegations of stock manipulation and bribery from short-seller reports and foreign probes—claims lacking conclusive empirical validation in Indian regulatory findings, as evidenced by ongoing SEBI reviews and a Supreme Court-appointed expert panel's assessment of no widespread fraud—its financial metrics and project executions have demonstrated resilience, with market capitalization rising significantly post-initial market reactions.[7][8]
Company Overview
Founding and Incorporation
Adani Power Limited was incorporated on August 22, 1996, as a public limited company under the Companies Act, 1956, with the Registrar of Companies in Ahmedabad, Gujarat, India.[9][10] The company, promoted by Gautam S. Adani as part of the Adani Group's diversification into the energy sector, initially operated as a power trading entity, capitalizing on India's emerging deregulated power markets.[11] A certificate of commencement of business was issued on September 4, 1996, enabling the company to begin operations focused on electricity trading rather than generation at inception.[10][12] This structure positioned Adani Power to leverage the Adani Group's existing logistics and trading expertise, established since 1988, while navigating regulatory approvals for future power project development.[13] The incorporation reflected strategic intent amid India's power sector liberalization under the Electricity Act reforms, though actual generation assets were not developed until later phases.[12]Ownership Structure and Leadership
Adani Power Limited is controlled by promoters affiliated with the Adani family, who collectively hold 74.96% of the company's issued equity shares as of September 2025.[14][15] This promoter group comprises family trusts and entities, including the S. B. Adani Family Trust managed by Gautambhai Shantilal Adani and Rajeshbhai Shantilal Adani, which accounts for approximately 36.86% of total shares, alongside other Adani holdings such as Adani Trade Representative and Flourishing Trade & Investment Private Limited.[16] Approximately 1.81% of promoter shares remain pledged, unchanged from prior quarters.[17] Public shareholding constitutes the balance of 25.04%, with foreign institutional investors (FIIs) and domestic institutional investors (DIIs) together owning around 14%, including 2.69% by mutual funds.[14][18] The company's leadership is headed by Gautam Adani as non-executive Chairman, who founded the Adani Group in 1988 and oversees strategic direction across its portfolio companies.[19] Anil Sardana serves as Managing Director, a role he assumed on July 11, 2020, bringing prior experience from utilities like NTPC Limited; he concurrently holds responsibilities in Adani Energy Solutions Limited.[20][21] Shersingh B. Khyalia acts as Chief Executive Officer and Whole-time Director, appointed effective January 11, 2022, with a background in finance and prior management roles within the Adani Group.[22][23] The board also includes independent directors such as S. K. Roongta and Chandra Shekhar Rajan, alongside family members like Rajesh Adani.[21]Historical Development
Early Years and Initial Focus (1996–2009)
Adani Power Limited was incorporated on August 22, 1996, in Ahmedabad, Gujarat, as a subsidiary of the Adani Group, with a certificate of commencement of business issued on September 4, 1996.[10][12] Initially, the company concentrated on power trading activities, leveraging the Adani Group's prior experience in commodity trading, including coal imports for the power sector that began in 1991.[24][11] This trading focus aligned with India's growing energy demands and the group's strategy to secure fuel supplies amid limited domestic coal availability.[4] Throughout the late 1990s and early 2000s, Adani Power expanded its trading operations, importing coal and facilitating power supply chains without owning generation assets.[11] By the mid-2000s, amid India's power sector liberalization and capacity shortages, the company shifted toward integrated power generation to capture higher margins and ensure supply reliability.[4] In 2006, it initiated development of the Mundra Thermal Power Plant in Gujarat's Kutch district, marking its entry into coal-based generation with plans for supercritical technology.[4] Groundbreaking for the Mundra project occurred in December 2006, with construction advancing rapidly to address national power deficits.[25] The facility, designed for phased expansion starting with subcritical units, represented Adani Power's pivot from trading to owning and operating large-scale thermal assets.[26] By July 2009, the first 330 MW unit achieved commercial operation, enabling initial power generation and sales under long-term agreements.[11] This period laid the groundwork for the company's subsequent growth, emphasizing backward integration with fuel sourcing from group entities.[4]Expansion and Key Milestones (2010–2020)
In the early 2010s, Adani Power focused on scaling its flagship Mundra thermal power plant in Gujarat, synchronizing a 660 MW supercritical unit in December 2010 as part of efforts to achieve full operational capacity ahead of schedule.[27] By March 2012, the Mundra facility reached a total capacity of 4,620 MW, incorporating ultra-mega power project phases with units commissioned progressively, including 800 MW blocks in March and July 2012, establishing it as one of India's largest single-site coal-fired installations.[4] This expansion leveraged supercritical boiler technology for higher efficiency and lower emissions per unit of output compared to subcritical plants.[26] Parallel to thermal growth, Adani Power diversified modestly into renewables, commissioning a 40 MW solar photovoltaic plant at Bitta in Kutch, Gujarat, in January 2012 under the state's solar policy, marking an early foray into non-thermal generation despite the company's primary coal reliance.[28] The Tiroda super-critical thermal plant in Maharashtra followed, with Unit 1 (660 MW) commissioned in September 2012, Unit 2 in March 2013, Unit 3 in June 2013, and Unit 4 in April 2014, cumulatively adding 2,640 MW and positioning Adani Power as India's largest private thermal producer by operational capacity.[29][30] These greenfield projects demonstrated rapid execution, with some units achieving commercial operation in under three months post-synchronization, amid India's push for power sector capacity addition to meet rising demand.[31] In Rajasthan, the Kawai thermal plant's two 660 MW units were fully commissioned by January 2014, contributing 1,320 MW to the portfolio and completing scheduled targets despite coal linkage challenges.[30] Through acquisitions, Adani Power bolstered capacity via the purchase of Udupi Power Corporation's 1,200 MW (2x600 MW) coal-fired plant in Karnataka, announced in August 2014 and finalized in April 2015 for an enterprise value of approximately Rs 6,300 crore, integrating an operational asset stressed by prior ownership issues.[32] By 2020, these efforts elevated total installed capacity to around 12,450 MW, predominantly thermal, reflecting aggressive scaling from under 1,000 MW effective capacity in 2010, though utilization varied due to fuel supply constraints and power purchase agreements.[4] This period underscored Adani Power's strategy of integrating port-to-plant logistics for coal imports, mitigating domestic supply risks inherent in India's coal allocation system.[33]Recent Growth and Acquisitions (2021–Present)
Adani Power's operational capacity expanded from approximately 12,110 MW in 2021 to 18,150 MW by July 2025, driven by strategic acquisitions and new project developments amid India's rising power demand.[34] The company's financial performance reflected this growth, with profits achieving a compound annual growth rate of 65.7% over the five years ending 2025, supported by higher capacity utilization and favorable power purchase agreements.[5] In fiscal year 2025 (ending March 31, 2025), revenue reached Rs 56,473 crore, marking 10.8% year-over-year growth, while EBITDA increased 14.8% to Rs 21,575 crore and power generation hit 102.2 billion units.[35] Key acquisitions bolstered Adani Power's asset base during this period. In 2021, the company acquired Mahan Energen Limited (formerly Essar Power MP Limited) for Rs 2,500 crore via the insolvency resolution process, adding 1,200 MW of thermal capacity in Madhya Pradesh against admitted claims exceeding Rs 12,000 crore.[36] In 2022, it purchased Essar Power's 400 kV transmission line to enhance evacuation infrastructure.[4] The most recent major acquisition occurred in July 2025, when Adani Power completed the purchase of Vidarbha Industries Power Limited for Rs 4,000 crore under the National Company Law Tribunal's approval, incorporating a 600 MW coal-fired plant and elevating total capacity to 18,150 MW.[34][37] Expansion initiatives focused on greenfield thermal projects to support long-term capacity targets of 41.87 GW by fiscal 2032, with 23.72 GW under implementation requiring investments exceeding Rs 2 lakh crore.[38] Notable announcements included a 1,600 MW (gross) ultra-supercritical plant in Uttar Pradesh in May 2025 at Rs 17,062 crore investment and a 2,400 MW greenfield facility in Bihar receiving letter of intent in July 2025.[39][40] In September 2025, Adani Power secured a letter of award to double its Madhya Pradesh capacity to 3,200 MW via a new 1,600 MW unit in Anuppur district, entailing Rs 21,000 crore outlay.[6] Additionally, expansions at the Mundra plant progressed, with approvals in 2023 and 2025 lifting capacity from 1,370 MW to nearly 3,000 MW through phased additions.[41] These moves aligned with securing 7,200 MW in new power supply orders over the prior 12 months.[42]Operations and Infrastructure
Thermal Power Generation Assets
Adani Power's thermal power generation assets comprise primarily coal-fired supercritical and ultra-supercritical plants, contributing to a total installed thermal capacity of 18,110 MW as of fiscal year 2025.[43] These facilities utilize imported and domestic coal, with advanced technologies aimed at improving efficiency and reducing emissions compared to subcritical units.[3] The company's thermal portfolio spans 12 plants across states including Gujarat, Maharashtra, Jharkhand, Karnataka, and others, enabling baseload power supply to utilities and industrial consumers.[43] The flagship Mundra Thermal Power Station in Kutch district, Gujarat, holds 4,620 MW capacity across nine units: four subcritical units of 330 MW each and five supercritical units of 660 MW each, with commissioning between 2009 and 2013.[44] This plant, the largest private coal-fired facility in India, sources coal via dedicated ports and rail links, achieving high plant load factors historically exceeding 80%.[45] In Maharashtra, the Tiroda Thermal Power Plant near Gondia district operates at 3,300 MW with five supercritical units of 660 MW each, commissioned progressively from 2013 to 2016.[46] Designed for pithead-like efficiency despite coastal location, it relies on coal linkages from western India and has received safety ratings for operational excellence.[3] The Godda Power Plant in Jharkhand, with 1,600 MW capacity from two ultra-supercritical units of 800 MW each, was fully commissioned by mid-2023, marking India's first transnational project exporting power to Bangladesh via dedicated transmission lines.[47] Fuel is imported through Mundra port, transported over 1,200 km, supporting export commitments of up to 1,496 MW net.[48] Additional key assets include the Udupi Thermal Power Plant in Karnataka at 1,200 MW (two supercritical units of 600 MW each, commissioned 2012–2014), acquired and integrated for coastal coal logistics.[3] Recent acquisitions bolster capacity: 600 MW from Vidarbha Industries Power in Nagpur, Maharashtra (commissioned 2013–2014), completed in July 2025; and 600 MW from Lanco Amarkantak in Madhya Pradesh, integrated in September 2024.[34][49] These expansions, alongside plants in Chhattisgarh and Rajasthan remnants, enable Adani Power to generate over 102 billion units annually in FY2025, up 20% year-over-year, driven by improved utilization and fuel security.[50]| Plant Location | Capacity (MW) | Units | Commissioning Period | Technology |
|---|---|---|---|---|
| Mundra, Gujarat | 4,620 | 4×330 + 5×660 | 2009–2013 | Subcritical & Supercritical[44] |
| Tiroda, Maharashtra | 3,300 | 5×660 | 2013–2016 | Supercritical[46] |
| Godda, Jharkhand | 1,600 | 2×800 | 2022–2023 | Ultra-Supercritical[47] |
| Udupi, Karnataka | 1,200 | 2×600 | 2012–2014 | Supercritical[3] |
| Vidarbha/Nagpur, Maharashtra | 600 | 2×300 | 2013–2014 | Supercritical[34] |
| Amarkantak, Madhya Pradesh | 600 | 2×300 | Pre-2024 | Subcritical[49] |
Renewable and Hybrid Projects
In September 2025, Adani Power entered into a shareholders' agreement with Bhutan's Druk Green Power Corporation to develop the 570 MW Wangchhu hydroelectric project on the Wangchhu River.[51] The initiative, estimated at approximately ₹6,000 crore, seeks to bolster regional energy security and transmission infrastructure, with construction slated to begin in the first half of 2026 and full commissioning targeted within five years.[52] This marks Adani Power's first major foray into hydroelectric generation, leveraging Bhutan's hydropower potential for export-oriented supply.[53] In September 2024, Adani Power received a letter of intent from Maharashtra State Electricity Distribution Company Limited (MSEDCL) for a 25-year power supply agreement totaling 6,600 MW, structured as a hybrid composite of 1,600 MW thermal power from Adani Power's assets and 5,000 MW solar power from Adani Green Energy's Khavda renewable energy park in Gujarat.[54] This bundled arrangement addresses intermittency in solar output by integrating firm thermal dispatch, enabling round-the-clock power delivery to meet Maharashtra's demand peaking at over 25,000 MW.[55] The thermal component draws from Adani Power's existing supercritical units, optimized for flexibility in hybrid operations.[56] These projects represent Adani Power's limited but strategic expansion beyond its core thermal base, focusing on hydro for baseload renewables and hybrid models for reliable supply amid India's push for energy diversification.[57] No large-scale solar or wind assets are directly operated by Adani Power, with such capacities primarily managed through group entities like Adani Green Energy.[40]Power Supply and Trading Activities
Adani Power Limited primarily supplies electricity generated from its coal-based thermal power plants through long-term power purchase agreements (PPAs) with state-owned distribution companies (discoms) and industrial consumers across India, ensuring stable revenue streams via availability-based tariffs. Over 80% of its operational capacity is committed under such PPAs as of June 2025, mitigating dispatch risks and providing EBITDA predictability without exposure to variable fuel costs in contracted sales.[58] These agreements typically span 25 years and cover capacities from its facilities in Gujarat, Maharashtra, Rajasthan, Chhattisgarh, Madhya Pradesh, and Jharkhand, with total installed thermal capacity exceeding 15,000 MW.[59] Key recent supply contracts include a 25-year PPA signed in May 2025 to deliver 1,500 MW to Uttar Pradesh Power Corporation Limited (UPPCL) at a tariff of Rs 5.38 per unit, following competitive bidding to address the state's long-term energy needs.[60] [61] In September 2025, the company secured another 25-year agreement for 2,400 MW with Bihar State Power Generation Company Limited (BSPGCL), bolstering regional grid stability amid rising demand.[62] Internationally, Adani Power maintains a 20-year PPA for 484 MW supply to Sri Lanka's Ceylon Electricity Board, initiated in May 2024 from its Godda plant in Jharkhand, despite subsequent political scrutiny.[63] Beyond long-term commitments, Adani Power participates in medium-term power supply arrangements and merchant sales to capitalize on spot market opportunities, particularly during peak demand periods.[59] This diversified approach contributed to consolidated power sales volumes of 95.9 billion units (BU) in FY25, reflecting an increase driven by higher plant utilization and demand growth.[64] In Q4 FY25 alone, sales reached 26.4 BU, up 18.9% year-over-year.[35] The company's trading activities encompass a smaller segment focused on coal procurement and trading to fuel its generation assets, rather than extensive electricity trading on exchanges like the Indian Energy Exchange (IEX).[39] This includes importing and trading coal to optimize costs for its plants, integrated with supply chain operations of the broader Adani Group, though power trading remains marginal compared to contracted sales.[65] Such activities support operational efficiency but expose a portion of uncontracted capacity to market volatility.Financial and Market Performance
Revenue, Profits, and Capacity Utilization
Adani Power reported consolidated revenues of ₹50,960 crore for the fiscal year ending March 31, 2024 (FY24), reflecting growth driven by increased power sales volumes amid rising electricity demand in India.[35] This represented an approximate 20% increase from FY23 revenues, supported by expanded operational capacity and improved fuel sourcing efficiencies.[66] Net profit for FY24 surged to ₹20,829 crore, a 94% year-over-year rise from ₹10,727 crore in FY23, primarily due to higher generation margins, lower fuel costs per unit, and optimized debt servicing following refinancing efforts.[66] [67] EBITDA for FY24 reached ₹18,789 crore, bolstered by a 10-15% reduction in average fuel costs compared to prior periods, enabling sustained profitability despite volatile coal prices.[35] In the subsequent FY25, preliminary results indicated revenues climbing to ₹56,473 crore, a 10.8% increase, with EBITDA at ₹21,575 crore, reflecting continued volume growth to 95.9 billion units sold against 79.4 billion units in FY24.[35] [68] These gains were linked to strategic long-term power purchase agreements (PPAs) covering over 80% of capacity, providing revenue visibility amid India's power sector demand expansion.[69] Capacity utilization, gauged by the plant load factor (PLF), advanced to 65% in FY24 from 48% in FY23, correlating with the addition of 2,300 MW in operational thermal capacity to reach 17,510 MW.[70] [68] This uptick stemmed from resolved fuel supply constraints and higher merchant sales, with key plants like Tiroda and Kawai achieving PLFs above 70-75% in peak quarters.[71] By H1 FY25, average PLF further rose to 72%, underscoring operational resilience despite regulatory and environmental pressures on coal-based generation.[70]| Fiscal Year | Revenue (₹ crore) | Net Profit (₹ crore) | Average PLF (%) | Operational Capacity (MW) |
|---|---|---|---|---|
| FY23 | ~42,000 | 10,727 | 48 | 15,250 |
| FY24 | 50,960 | 20,829 | 65 | 17,510 |
| FY25 (proj.) | 56,473 | N/A | 70+ | 17,510+ |
Stock Performance and Investor Metrics
Adani Power's shares, traded on the National Stock Exchange (NSE) under the symbol ADANIPOWER.NS, have exhibited significant volatility and growth over the years. The stock reached an all-time low of 3.03 INR on July 1, 2018, and achieved an all-time high of 182.70 INR on September 22, 2025.[72] Over the five years leading to 2025, the company delivered a compound annual growth rate (CAGR) in profits of 65.7%.[5] Following the Hindenburg Research report in January 2023, which triggered a sharp decline across Adani Group stocks, Adani Power's shares rebounded strongly, rising approximately 130% from their post-report lows by September 2025.[73] This recovery accelerated after a 1:5 stock split effective September 22, 2025, which led to a 20% surge in share price on the first ex-split trading day, enhancing liquidity and accessibility for retail investors.[74] As of October 24, 2025, the stock closed at 167.72 INR, within a 52-week range of 86.40 INR to 182.70 INR.[75] [15] Key valuation and profitability metrics as of late 2025 reflect robust operational performance amid sector challenges. The market capitalization stood at approximately ₹3.23 lakh crore, with a trailing twelve-month price-to-earnings (P/E) ratio of 26.1.[5] Return on equity (ROE) for the fiscal year ending March 2025 was 25.63%, supported by a three-year average ROE of 40.4%, indicating efficient capital utilization.[76] [5] The company maintains a book value per share of ₹29.2 and has not paid dividends, resulting in a yield of 0.00%.[5]| Metric | Value (as of Oct 2025) |
|---|---|
| Market Cap | ₹3,23,443 Cr.[5] |
| P/E Ratio (TTM) | 26.1[5] |
| ROE (FY Mar 2025) | 25.63%[76] |
| Dividend Yield | 0.00%[5] |
| Book Value per Share | ₹29.2[5] |