Adani Group Assures Resilient Growth With Healthy Cash Reserves

The portfolio of Adani Group companies holds healthy cash reserves with the growth "independent of global and regional headwinds," the conglomerate said in its half yearly credit report assuring investors of its stability.

Adani Group companies' total cash reserves stood at Rs 53,204 crore at the end of Sept. end, more than 20% of its borrowing, according to its latest investor presentation, indicating lower credit risk for the ports-to-power conglomerate.

The portfolio companies' earnings before interest, taxes, depreciation, and amortization grew 17% to Rs 83,440 crore for 12 months ending September 2024, the presentation showed. The group shows "resilient and predictable growth independent of global and regional headwinds."

The portfolio borrowing is less than 2.5 times of Ebitda indicating the group’s ability to service its debt. The earnings from contracts stood at 70% of its total portfolio, assuring that growth visibility to investors.

The group has more than 60% of its equity deployed in assets with well-distributed sources of funds providing stability and lesser risks.

The Adani Group firmly rejected allegations made by the US Department of Justice and the US Securities and Exchange Commission against its directors, describing them as "baseless" and categorically denying any wrongdoing.

In response to the charges brought against Adani Green Energy and its directors, the conglomerate issued a statement emphasising that, as per the DOJ’s own statements, "the charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty."

The group further assured stakeholders that it would pursue all available legal recourse to address these accusations.