Adani Energy Solutions Limited

rs,

29th January, 2024 BSE Limited P J Towers, Dalal Street, Mumbai – 400001 Scrip Code: 539254 Dear Sir, National Stock Exchange of India Li

Rs 3,615 crore

82 421 Annexure A Media Release Adani Energy Solutions continues robust growth Revenue at Rs 3,615 crore, up 19% YoY Operational EBITDA at Rs 1,454 crore, up 10% YoY Q3 Comparable PAT at Rs 281 crore, g

19%

e A Media Release Adani Energy Solutions continues robust growth Revenue at Rs 3,615 crore, up 19% YoY Operational EBITDA at Rs 1,454 crore, up 10% YoY Q3 Comparable PAT at Rs 281 crore, grew by 1

Rs 1,454 crore

gy Solutions continues robust growth Revenue at Rs 3,615 crore, up 19% YoY Operational EBITDA at Rs 1,454 crore, up 10% YoY Q3 Comparable PAT at Rs 281 crore, grew by 1% During the quarter, the company posted

10%

ues robust growth Revenue at Rs 3,615 crore, up 19% YoY Operational EBITDA at Rs 1,454 crore, up 10% YoY Q3 Comparable PAT at Rs 281 crore, grew by 1% During the quarter, the company posted robust C

Rs 281 crore

Rs 3,615 crore, up 19% YoY Operational EBITDA at Rs 1,454 crore, up 10% YoY Q3 Comparable PAT at Rs 281 crore, grew by 1% During the quarter, the company posted robust Cash Profit of Rs 786 crore Editor’s S

1%

% YoY Operational EBITDA at Rs 1,454 crore, up 10% YoY Q3 Comparable PAT at Rs 281 crore, grew by 1% During the quarter, the company posted robust Cash Profit of Rs 786 crore Editor’s Synopsis •

Rs 786 crore

rable PAT at Rs 281 crore, grew by 1% During the quarter, the company posted robust Cash Profit of Rs 786 crore Editor’s Synopsis • Revenue growth of 19%, boosted by newly commissioned transmission lines and

Rs 17,000 crore

vda Phase-III Part-A and KPS - 1 (Khavda Pooling Station) Augmentation bolstering the order book to Rs 17,000 crores for transmission projects • Energy demand (units sold) in Adani Electricity Mumbai in Q3 grew by

14.8%

for transmission projects • Energy demand (units sold) in Adani Electricity Mumbai in Q3 grew by 14.8% YoY to 2,489 million units, on account of strong demand • AEML’s renewable mix at 35% as of Decemb

2,489 million

sion projects • Energy demand (units sold) in Adani Electricity Mumbai in Q3 grew by 14.8% YoY to 2,489 million units, on account of strong demand • AEML’s renewable mix at 35% as of December 2023 (baseline of

35%

Q3 grew by 14.8% YoY to 2,489 million units, on account of strong demand • AEML’s renewable mix at 35% as of December 2023 (baseline of 3% in 2019) positioned Mumbai among top megacities in the world f

“• The company is on track to commission the MP-II package (partial), the Khavda-Bhuj (partial), and the WRSR lines in the coming quarters.”

“• The untapped market comprises 135 million smart meters, as the government’s official target is 250 million by 2026.”

“AESL remains committed to its target of 60% renewable share by FY27.”

“50-70 bn in near-to-medium term Robust Capital Management Integrated ESG Framework with a defined glidepath AESL continues to focus on shoring up equity, reducing the cost of debt, and bringing in marquee partners to share global corporate practices (Induction of QIA and GQG as equity partners) Continue to diversify debt sources and elongate the maturity profile Investment grade ratings remain intact.”

“Loans/NCD 20% ECB 6% FY16 1H FY24 Notes: 1) Debt maturity in 1 to 5 year bucket is high due to bullet repayment due for Obligor-1 in August 2026 which will be refinanced through amortizing bond; 2) For Net Debt considered long-term debt and short-term debt excluding unsecured sub-debt from shareholder Rs.”

“o Group Safety Audit was conducted at KVTL & Mahendergarh SS project site Near Miss Reporting (Awareness) Suraksha Samwad (Safety Dialogue) o Mandatory Safety Training Session on RVDTS LOTO, CSM, PPEs, Incident Reporting, Investigation and Work at Height was conducted by T&T’s to ensure maximum knowledge retention.”

Transmission

2

EBITDA

1

Segment-wise Key Operational Highlights

1

Distribution

1

Smart Meters

1

ESG Updates

1

Achievements and Awards

1

Transmission business

1

Smart metering business

1

AEML Distribution business

1

EBITDA

• The operational EBITDA increased by 10.4% to Rs 1,454 crore for the quarter, with incremental revenue contribution from Warora-Kurnool, Karur, Kharghar-Vikhroli and MP-II lines and continuous EBITDA growth with expansion in the asset base in AEML. The transmission business continues to maintain the industry leading EBITDA margin of 92%. • The total EBITDA of Rs 1,732 crore includes a miscellaneous income of Rs 136 crore on account of the $ 120 million bond buy-back at a discount in the Mumbai distribution business. PAT: Comparable PAT of Rs 281 crore was 1% higher, supported by miscellaneous income of Rs 136 crore and lower finance cost in AEML. The comparable PAT in Distribution increased by 100% Segment-wise Financial Highlights (Rs crore) Segment Particulars Q3 FY24 Q3 FY23 YoY % 9M FY24 9M FY23 YoY% Op Revenue Transmission Op EBITDA Comparable PAT Op Revenue Distribution Op EBITDA Comparable PAT 1,056 967 246 933 859 262 2,559 2,104 487 35 459 18 13.2% 12.6% -6.0% 21.6% 6.1% 2,88

Segment-wise Key Operational Highlights

Particulars Transmission business Average Availability (%) Transmission Network Added (ckm) Q3 FY24 Q3 FY23 Change 99.7% 99.7% 302 371 In line In line Total Transmission Network (ckm) 20,422 18,795 Higher Distribution business (AEML) Supply reliability (%) Distribution loss (%) Units sold (MU's)

Transmission

99.99% 99.99% 5.46% 2,489 5.60% 2,169 In line Lower Higher • On operational parameters, it was a strong quarter with an average system availability of over 99.7%. • The business added 302 circuit kilometers during the quarter and ended with a transmission network of 20,422 circuit kilometers. Distribution business (AEML): • Sold 2,489 million units vs. 2,169 million units last year on account of an uptick in energy demand primarily driven by higher industrial share. • Distribution loss has been improving consistently and stands at 5.46% in Q3FY24 and maintained supply reliability at over 99.9%.

Transmission

• Robust under-construction transmission pipeline worth Rs. 17,000 crores is well on track from the execution point of view. • The company is on track to commission the MP-II package (partial), the Khavda-Bhuj (partial), and the WRSR lines in the coming quarters. • The near term (12-24 months), tendering pipeline for the industry is buoyant and upwards of Rs. 1.10 lakh crore under various stages of bidding.

Distribution

• The distribution business continues to show a steady performance with double digit growth and consistently increasing RAB (regulatory asset base), supported by internal accruals. Total RAB for the distribution business has now reached Rs. 7,823 crores from Rs. 5,532 crores at the time of acquisition in 2018. • AESL is exploring several areas and have applied for parallel distribution license in several geographies like Navi Mumbai in Maharashtra, Greater Noida (Gautam Buddha Nagar) in UP, and Mundra subdistrict in Gujarat. • AEML, on a YTD basis, did capital expenditure of over Rs. 800 crores and reduced its long-term debt by Rs 855 crores through a bond buyback program.

Smart Meters

• The new business segment is evolving well and will become sizeable in terms of contribution to AESL’s overall growth and profitability. It offers strong synergies to the distribution business. • During the quarter, AESL received LOA (letter of award) for Phase-2 smart metering contracts from Andhra Pradesh discoms and a new contract from the Uttarakhand discom. Total contracts awarded in Q3 aggregate to 2 million smart meters with a contract value of ~Rs. 2,300 crores. • The under-implementation pipeline now stands at 21.1 million smart meters, comprising nine projects with a contract value of over Rs. 25,000 crores. • The untapped market comprises 135 million smart meters, as the government’s official target is 250 million by 2026.