Adani Power Q1 FY27 Earnings Call: Raises Capacity Target to 45 GW, Nuclear Target Raised to 10 GW (ADANIPOWER)

Adani Power Ltd held its Q1 FY27 earnings call on July 22, 2026. Here's a quick read of what management said — performance, strategy, and the outlook ahead.

Record Quarterly Performance Across Revenue, EBITDA & PAT

• Continuing revenue Rs.17,936 Cr (+27% YoY) — driven by 17% higher sales volume of 29 BU and PLF improvement to 78% from 67% in Q1 FY26.
• Continuing EBITDA Rs.6,983 Cr (+22% YoY) — adjusted growth of ~20-22% YoY exceeded capacity expansion of ~4-5%, supported by indexation benefits and capacity charge conversions.
• PAT Rs.4,867 Cr (+47% YoY) — net profit growth outpaced EBITDA expansion, reflecting operating leverage and one-off items.
• Record generation of 31 BU (highest ever quarterly) — dispatched 28.8 BU (+17% YoY); India’s peak demand reached 271 GW and energy consumption rose 8.4% YoY to 485 BU in Q1 FY27.
• Total reported revenue Rs.19,332 Cr (+33% YoY) — includes a one-time prior period item; reported EBITDA of Rs.8,369 Cr (+36% YoY).

45 GW Target, Rs.2 Lakh Cr Programme & Nuclear Ambition

• 45 GW capacity target by FY 2030-31 — management “revised the longer-term target from 42 GW to 45 GW by the same timeline (FY 2030-2031)” and confirmed the 23.7 GW intermediate target is on track.
• Rs.2 lakh Cr total capex programme — FY27 guided at ~Rs.23,000 Cr, FY28 at >Rs.30,000 Cr, and FY29+ at Rs.33,000-Rs.35,000 Cr annually; internal accruals to fund the majority, with short-term market borrowings as needed.
• 10 GW nuclear capacity target by 2035 — raised from 5 GW; management noted finalisation “depends on government guidelines under the amended Act, which are yet to be issued”; execution estimated at ~5 years post-clarity.
• Korba Phase 2 (1,320 MW) commissioning by Dec FY27 — Mahan Phase 2 (1,600 MW) first unit in Q1 FY28, second unit targeted for Q2 FY28; Raipur Phase 2 at 62% progress and Raigarh Phase 2 at 54% completion.
• 570 MW Bhutan hydro project — PPA and regulatory structure (fixed tariff vs. cost-plus) are yet to be finalised; management will pursue the best available opportunity via bidding or cost-plus mechanism.

Contracted Book at 95%, 13,000 MW Bids Under Progress

• 95% of capacity contracted under long-term PPAs with Discoms — providing EBITDA stability; remaining 5% supplies short-term markets; merchant volumes declined to 4.3 BU from 5.6 BU as ~1,200 MW moved to PPAs.
• 13,000 MW of bids under progress — across UP (4,000 MW), Gujarat (4,000 MW), Uttarakhand (1,320 MW), and West Bengal (~3,800 MW); management views the company as the “strongest contender” for these opportunities.
• Additional state bids expected — Bihar and Andhra Pradesh may issue tenders based on resource adequacy studies, with requirements extending up to FY 2032-33.
• Intent to convert almost all capacity to medium/long-term PPAs — Raipur capacity tied under PPA with Karnataka; Butibori (600 MW) and Tuticorin (600 MW) moved from merchant to PPAs in Q1 FY27.
• 25-year PPA signed with Maharashtra Discom for 1,600 MW from a 2x800 MW ultra-supercritical plant (LOA received Mar 2026); 56% of upcoming capacity already tied under long-term PPAs.

EBITDA Drivers, Godda Performance & Bangladesh Collections

• EBITDA outperformance from three factors — higher capacity charges from converting open capacity into PPAs (Tuticorin, Raipur, Bilaspur) at higher rates; higher energy charges from imported coal plants; and significant volume growth.
• Rs.2,200 Cr “Change in Fuel Cost” gain in Q1 FY27 EBITDA bridge — attributable to indexation of variable tariffs in certain PPAs, combined with higher volumes and increased merchant power prices.
• Godda plant generated 2.519 BU (vs. 2.362 BU in Q1 FY26) — revenue of Rs.2,473 Cr (vs. Rs.2,135 Cr); steady performance from the Bangladesh-dedicated plant.
• Bangladesh receivables at ~$400 million as of Q1 FY27 end — significantly down from the all-time high in Q1 FY26; monthly collections averaging $100 million, exceeding monthly billing and expected to continue reducing.
• 24% stake in JPVL accounted as associate — only share of profit consolidated; 180 MW Jay Prakash plant not operational, expected ~6 months (into Q3/Q4 FY27) to become operational, with meaningful contribution from FY28.

Dividend Stance, Seasonal Pattern & Near-Term Risks

• No dividends or bonuses for next 6-7 years — management stated it will reinvest surplus into the large capex programme rather than distributing, citing higher capital appreciation and good return on capital.
• QIP enabling provision approved by shareholders via EGM — timeline and per-share dilution not yet finalised; Rs.50,000 Cr equity raise does not change the capex plan or funding mix.
• Q1 FY27 is a peak quarter due to high summer demand and sowing season; volumes expected to decline during subsequent monsoon months within FY27, reflecting seasonal demand patterns.
• Nuclear strategy remains a stated intention — management cannot finalise capital allocation for the next 5 years until the Government of India notifies the relevant rules; company has been waiting for ~6 months.
• Korba plant may supply merchant for 1-2 years even if a long-term PPA is signed in FY27 — through FY28; management is hopeful of signing a PPA for Korba within FY27.