Adani Power Reports 141% Profit Surge in Q2 FY27

Revenue from operations reached Rs 19,438.68 crore, while Net Profit (PAT) hit Rs 7,019.32 crore for the quarter.

Reader Takeaway: Strong demand and higher merchant rates drove massive profit growth, offsetting a significant regulatory revenue write-down.

What just happened

Adani Power posted robust consolidated financial results for the quarter ended September 30, 2026. Net profit grew by 141.5% compared to the same period last year, driven by a 26.4 Billion Units (BU) surge in power sales. The company successfully completed the amalgamation of 10 wholly-owned subsidiaries and received a credit rating upgrade to AA+ from both CARE and India Ratings.

Why this matters

The jump in profitability highlights the company's ability to capitalize on higher power demand and improved merchant power rates. The expansion into hydroelectric power through the GVK Energy acquisition and a new 770 MW joint venture in Bhutan signals a diversification strategy that extends beyond traditional coal-fired assets.

Strategic Developments

The company is aggressively scaling its capacity. Key projects, including the 1,320 MW Korba Phase-II and 1,600 MW Mahan Phase-II, remain on track. Additionally, the resolution of the GVK Energy case brings a 330 MW hydroelectric plant in Uttarakhand into the portfolio.

Risks to watch

Investors should note the prudent derecognition of Rs 1,971.96 crore in revenue related to the ongoing dispute with Haryana Discoms. While the company has secured favourable orders from the Supreme Court and APTEL regarding coal cost compensation, regulatory and legal disputes remain a recurring variable in the firm's balance sheet management. The company also settled past SEBI show-cause proceedings without admitting wrongdoing.

What to track next

Watch for updates on the commissioning timelines of the Korba and Mahan phase-II expansions and progress on the Bhutan hydropower project joint venture with Druk Green Power Corp.