Adani Enterprises Limited

Adani Enterprises Limited concluded FY26 with robust financial results, reporting a total income of INR 1,02,943 crores and an EBITDA of INR 16,464 crores. The company's strategic portfolio transformation has been successful, with 80% of its EBITDA now originating from core infrastructure and services businesses, a significant increase from 12% in 2019. This shift aligns with the broader Adani Group's strategy and positions AEL for future value unlock through demergers, as its initial capex phase reaches maturity.

The Airport segment demonstrated exceptional growth in FY26, with total income surging by 28% YoY to INR 13,081 crores and EBITDA increasing by 55% YoY to INR 5,394 crores. This strong performance was primarily driven by tariff revisions and a robust 31% YoY growth in non-aeronautical revenues. The commissioning of the greenfield Navi Mumbai International Airport in December 2025, the inauguration of a new terminal at Guwahati, and strategic acquisitions in ground handling and advertising further solidify Adani Airport's leading position in India's aviation ecosystem.

The Mining Services portfolio achieved a 14% YoY growth in dispatch volume, reaching 49.4 MMT in FY26, and contributed INR 1,986 crores in EBITDA, an 18% increase. The operationalization of the GP-II mine, with a peak capacity of 23.6 MMTPA, expanded the current operational service contracts to seven, with a total growth potential of 86 MMT annually. The Integrated Resource Management (IRM) business also reported strong figures for FY26, with a volume of 44.6 MMT, revenue of INR 29,112 crores, and EBITDA of INR 2,767 crores.

Adani Enterprises has outlined a substantial capital expenditure plan of approximately INR 40,000 crores for FY27. This investment is strategically allocated across key growth areas, including roughly INR 17,000 crores for Airports, INR 9,000 crores for PVC projects, INR 4,000 crores for natural resources, metals, and mining, and INR 10,000 crores for Adani New Industries and hydrogen initiatives. This significant capex underscores the company's commitment to expanding its core infrastructure platforms and driving long-term value creation.

The company is actively progressing its green hydrogen ecosystem, with a primary focus on establishing an integrated manufacturing complex and undertaking pre-preparation and planning for new solar and wind assets. Electrolyzer testing is currently underway. While no final investment decisions have been made beyond the current preparatory work, the objective is to ensure the integrated manufacturing facility is fully operational at full capacity, indicating a strategic long-term commitment to the new energy sector.

Adani Enterprises anticipates a substantial boost in its EBITDA from newly operational assets in the next fiscal year. Navi Mumbai Airport, Kutch Copper, and the Ganga Expressway are collectively expected to add over INR 3,000 crores in incremental EBITDA in FY27. Furthermore, the peak capacity contribution from these three businesses is projected to reach between INR 6,000-6,800 crores by the end of FY28, highlighting their significant potential to enhance the company's earnings as they fully ramp up operations.

Despite ambitious growth plans and significant capital expenditure, Adani Enterprises expects its overall leverage profile to remain stable. The net debt to EBITDA ratio, currently around 3.9x, is projected to remain flat or slightly decrease, even with a capex plan of $4.5 billion. The company maintains a differentiated and conservative leverage approach for its core infrastructure businesses (targeting 3.5-4.5x) compared to its more volatile metals, materials, and mining segments, and has no plans for specific equity issuances beyond its non-dilutive rights issue.

The Commercial Mining segment experienced a Q-o-Q decline in EBIT during Q4 FY26, primarily due to specific weather events at the Carmichael mine in Australia. Heavy rains constrained production for nearly a quarter, impacting dispatch volumes. Additionally, the segment incurred a non-cash mark-to-market loss of INR 600 crores due to exchange rate fluctuations. Management expects these issues to be temporary and not recur in the upcoming fiscal year, anticipating a recovery in mining volumes.