All Adani Stocks Generated Returns Over 100%, Says Gautam Adani During AGM

Adani Group had denied freezing of accounts of three foreign portfolio investors (FPI) holding shares and had said that such reports are "erroneous" and "misleading."

Mumbai: The market capitalization of Adani Group firms surpassed over $100 billion in the very first week of this new financial year, a milestone for a first-generation Indian company, and all Adani stocks generated returns over 100% returns, said billionaire Gautam Adani, Chairman Adani Group while addressing the shareholders on Monday. 

 "All Adani stocks generated returns over 100 percent – and our businesses ensured that we returned close to Rs 9,500 crore rupees to you, our equity shareholders. This is a 166% increase in Profit After Tax on a year-on-year basis," said Mr. Adani, India's second-richest. 

Last month, after a record bull run, Adani Group companies' shares tumbled after the National Securities Depository Ltd (NSDL) reports freezing the three FPI accounts, leading to erosion of Rs 2 lakh crore in market capitalization. However, Adani Group had denied freezing of accounts of three foreign portfolio investors (FPI) holding shares and had said that such reports are "erroneous" and "misleading."

Referring to the incident, Mr. Adani said, recently, a few media houses indulged in reckless and irresponsible reporting related to administrative actions of regulators. "This caused unexpected fluctuations in the market prices of Adani stocks. Unfortunately, some of our small investors were affected by this twisted narrative in which some commentators and journalists seemed to imply that companies have regulatory powers over their shareholders and that companies can compel disclosure."

In the long term, such diversions will not impact us. We have always been a confident organization that has taken on challenges that very few would dare or imagine. Every challenge thrown at us only makes us stronger and better prepared, said Mr. Adani. 

While highlighting the group milestones, Mr. Adani said, Adani Ports and Special Economic Zone (APSEZ), the share of India's port-based cargo business rose to 25%, and the container segment market share grew to 41%, making it the only company globally with the port business of such scale and reach.

Adani Green Energy became the largest solar company globally, which achieved the renewables target of 25 gigawatts (GW), a full four years ahead of schedule.

Through Adani Enterprises, Adani Group made its move into airports, and today one of every four passengers in India flies through an Adani airport. "No airport business in any large country has achieved a 25% share of the total passenger traffic. The company also took over operations of airports in Ahmedabad, Lucknow, and Mangalore, signed concession agreements for Guwahati, Jaipur & Thiruvananthapuram, and is now in the process of acquiring the Mumbai and Navi Mumbai International Airports," said Mr. Adani.

Talking about India's dream to become a $5 trillion economy, Mr. Adani said, "Of late, there have been several voices that wonder if India's target to be a five-trillion-dollar economy over the next four years is achievable. I personally see it as an inconsequential question. History has shown that, out of every pandemic crisis, there emerge several learnings – and I believe that India and the world are wiser as we go through this pandemic. India will be a 5 trillion-dollar economy – and then go on to be a 15 trillion-dollar-plus economy over the next two decades. India will emerge as one of the largest global markets, both in terms of consumption size and market cap. There will be bumps along the road, as has been the case in the past, and is expected to be the case in the future.

On Monday, Australian based Marketforce, a vocal critic of Adani, alleged that the Adani Group is doubling its coal-fired power capacity to 24 gigawatts, plans to own, develop or operate coal mines with a combined capacity of 132 million tons a year even after vows to make his ports-to-power conglomerate carbon negative.

Adani Group intends to continue investing in clean energy technologies, such as green hydrogen and renewables-powered data centers to fulfill the group's environment, sustainability, and governance, or ESG, goals, said Mr. Adani at the India Global Forum last month.

"We will do so by carefully balancing our energy migration from carbon positive to carbon-neutral, and further on to carbon negative," said Mr. Adani a week after Rs 75,000 crore announcement made by Mukesh Ambani unveiled an ambitious push into clean energy marking a new pivot for one of the world's most prominent fossil-fuel billionaires.