Adani Group’s flagship company, Adani Enterprises, will release its financial results for the third quarter of the current financial year (Q3FY23) on February 14. In the previous quarter, Q2FY23, the company recorded a net profit of Rs 469.20 crore.
The company has been in the spotlight since January 24 when the US-based short-seller and market research firm Hindenburg Research released a report stating that the conglomerate’s shares are overvalued. It added that the group has manipulated the stock price by up to 85 per cent.
As a result, the Adani Group also had to call off its Rs 20,000 crore follow-on public offer (FPO). It has also issued clarifications stating that the claims made by the Hindenburg Research are false and “mischievous”. The promoters of the company, on February 6, also prepaid loans worth $1.1 billion or Rs 9,200 crore in light of the “recent market volatility and in continuation of the promoters’ commitment to reducing the overall promoter leverage backed by Adani listed company shares”.
In the last three quarters, the company has shown an increase in its net standalone profit. From a loss of Rs 36.46 crore in Q3FY22, the company recorded a profit of Rs 226.7 crore in Q4FY22. In the next quarter, Q1FY23, the net profit rose to Rs 442.94 crore. In Q2FY23, the net profit rose at a slower pace to Rs 469.20 crore.
The main reason for the jump in profit was the increasing net sales. From Rs 8,059 crore in Q3FY22, the sales rose to Rs 8,807.88 crore in Q4FY22. In Q1FY23, this jumped almost 2.5 times to Rs 20,318.47 crore. In the previous quarter, Q2FY23, the net sales were Rs 22,136.67 crore.
A Bloomberg report earlier on Monday suggested that the group has halved its revenue growth target for the next year and it plans to hold off fresh capital expenditure. Now, it will aim for revenue growth of 15 per cent to 20 per cent for at least the next financial year. Earlier, it was set at 40 per cent.
Another report by Reuters said that market regulator Securities and Exchange Board of India (Sebi) will update the finance ministry this week on its investigation into the Adani Group’s withdrawn Rs 20,000 crore FPO. The board of the (Sebi) is scheduled to meet Finance Minister Nirmala Sitharaman on February 15.
Stay connected with us on social media platform for instant update click here to join our Twitter, & Facebook
We are now on Telegram. Click here to join our channel (@TechiUpdate) and stay updated with the latest Technology headlines.
For all the latest Business News Click Here
For the latest news and updates, follow us on Google News.