Adani Green Energy Reports Strong H1 Growth and 20.8 GW Milestone

Revenue from power supply reached Rs 8,299 crore; EBITDA climbed to Rs 7,957 crore in H1 FY27.

Reader Takeaway: Strong operational expansion and storage capacity growth drive results, though grid curtailment and transmission delays remain headwinds.

What just happened

Adani Green Energy has hit a significant milestone, officially crossing 20 GW of operational renewable capacity to reach 20.8 GW. The company also reported strong financial growth for the first half of FY27, with revenue from power supply rising 36% year-on-year to Rs 8,299 crore and EBITDA growing 41% to Rs 7,957 crore. A key driver of this expansion is the rapid deployment of battery storage, with 3 GWh commissioned at Khavda this quarter alone, bringing total storage capacity to 6.6 GWh.

Why this matters

The jump in EBITDA reflects the company's ability to scale operations efficiently. By integrating battery storage, Adani Green is not only adding a new revenue stream but also mitigating the operational risks of grid curtailment. Management highlighted that 72% of their project loans are at fixed interest rates, helping them maintain a stable average interest cost of 8.9% despite broader economic fluctuations.

The backstory

Adani Green has been aggressively executing a massive Rs 2.4 lakh crore capital expenditure plan running through FY30. The Khavda site remains the centerpiece of this strategy. While the company has faced grid constraints, management noted that 'deemed generation' clauses in their power purchase agreements provide a financial safety net for scheduled power that cannot be evacuated due to infrastructure gaps.

What changes now

The company is gearing up for the next phase of expansion at Khavda, with transmission infrastructure for Phase 3 expected in the upcoming quarter. This will be the immediate trigger for further capacity additions. Additionally, the maiden 500 MW pumped hydro storage project at Chitravathi is on track to wrap up by the end of the year.

Risks to watch

Grid curtailment continues to be an operational hurdle. While protected by contract clauses, the reliance on grid-readiness means transmission delays could technically shift commissioning timelines. Investors should monitor how effectively the company executes its remaining storage capacity targets to ensure balanced power supply.

Context metrics

The company targets 10 GWh of battery storage by the end of FY27. Current EBITDA margins stand strong at 93% for the first half of the year, signaling high operational efficiency in its existing assets.