Thanks. Good evening, everyone.

On behalf of Emkay Global, I welcome you all to the Q1 FY '27 post-earnings conference call of Adani Enterprises Limited. We have with us the senior management from the company led by Mr.

Robbie Singh, Chief Financial Officer, Adani Enterprises; Mr. Arun Bansal, Chief Executive Officer, Adani Airport Holdings; Mr.

Rajesh Poddar, Chief Financial Officer, Adani Airport Holdings; Mr. Muralee Krishnan, Chief Executive Officer, Adani New Industries Solar Manufacturing; Mr.

Manan Vakharia, Head of Finance, Adani Enterprises; and Mr. Jitendra Khyalia, Investor Relations, Adani Enterprises.

Today's session would be an update on the results and the outlook by the management, followed by the question-and-answer round. Now I'd request Mr.

Robbie Singh to Robbie Singh for the opening remarks. Over to you, sir.

Hi,

good evening, everyone. Thank you for joining us today for Adani Enterprise earning call.

As AEL's portfolio comprises primarily of core infrastructure-focused businesses spanning energy, utilities, transport, logistics, and primary industry. For the current quarter, our results are reflecting the discussions that we've had over the last 1 year on value unlock and various interactions over the year.

The investments made over the last few years are now progressively moving from build-out phase to value realization phase. Over the next few quarters, there will be a clear pathway visible for accelerated value creation from our diversified portfolio of assets primarily led by airports and roads.

The focus has now shifted from establishing capabilities to maximizing returns, continuing ramp-up in operational performance, and increasing overall asset utilization with the caveat in all of this being that we will continue to report historic capex numbers and one of the highest capex years of our business this year. We are well on track to achieving that.

Moving to quarterly financial performance, all on consolidated basis: Total income increased to ₹33,546 crore, this was an increase of 50%. This is primarily driven by a reset that is happening in the business as our copper smelter is coming online.

Highest quarterly EBITDA at ₹5,642 crore, this is an increase of 49%, again reflecting the businesses coming online plus specific price realization. Continuing profit before tax stands at 1,295.

The establishing businesses' EBITDA on largely rising on account of capacity ramp-up of our copper business. A certain project updates: We've signed a new contract in data centers for 400 MW, taking our signed capacity to roughly 1 GW.

In the road business, the largest greenfield project of Ganga Expressway has been inaugurated and toll collections have begun in the middle of the quarter gone by. We expect the ramp-up to complete over the 6 to 9 months for the road to be operating at full capacity.

We've added another BOT road project of 620-odd lane kilometers. Capital market, and we've also like to thank all of you plus investors on this aspect, which is we did the largest QIP of 5,000 ₹15,000 crore of any non-financial corporate.

This was about 4 times oversubscribed. Again, I take the opportunity to thank you and all investors who participated.

This was very well received, and we're pleased to see the continued diversity in our shareholder register. I'm pleased to introduce some of our business CEOs, and we will continue this trend of progressively bringing our CEOs who run our businesses on basis of which all these results are possible.

Today, we have Arun Bansal, CEO of Adani Airports; and for the first time, Muralee, who is CEO of Adani Solar. They will take you through their respective businesses.

First, I hand over the call to Arun, CEO of Adani Airports. Over to you, Arun.

Thank you, Robbie. Good evening, everyone, and very welcome to this investor call.

Adani Airports is one of India's largest private airport platforms operating a portfolio of eight operating airports contributing approximately 23% of India's passenger traffic and 29% of country's air cargo volumes, underpinning our scale and strategic importance in India's aviation ecosystem. Adani Airport current quarter results demonstrate continued growth with resilience despite geopolitical headwinds.

The international travel operations at our Navi Mumbai Airport have started from July 15th, 2026, and will continue to accelerate during the year. These results were led by tariff revisions at our Mumbai Airport, the start of Navi Mumbai operations, and continued momentum in our non-aeronautical revenues.

Our non-aero revenues are supported by expansion of non-aero activities across all our airports. If I move to financial and operational performance during Q1 FY '27: Passenger traffic was 24.2 million passengers.

Total income was ₹3,763 crore, which was up 39% year-over-year. EBITDA increased by 49% year-over-year to ₹1,633 crore.

Aero and non-aero revenue delivered robust year-over-year growth of 16% and 53% respectively in Q1 FY '27. We also operationally added seven new routes and one additional flight during Q1 '27.

With that, I hand over to my colleague Muralee.

Thank you, Arun. Good evening, ladies and gentlemen.

Adani New Energy ecosystem is developing an end-to-end integrated ecosystem for manufacturing solar panels and wind equipments. As all of you already know, Adani Solar has featured in the elite list of top 10 global solar panel manufacturers, and Adani Wind became only Indian company in the top 15 global wind turbine manufacturers.

I'm happy to inform you that out of our expansion plan of 6 GW, we have commissioned module line of 1.7 GW in the month of June '26. With this, we have now total operational capacity of 5.7 GW of module line and 4 GW of cell line.

We are on schedule to commission both module and cell lines to 10 GW by end of this financial year. During this quarter, the domestic module sales have increased 1,340 MW, up by 107% year-on-year basis.

This demonstrates strong demand of Adani Solar modules in the domestic market, also which has fully absorbed the export intake. Reflecting on this strong domestic demand, we have decided to close advance authorizations in imports taken, are also making payment of applicable duties during the quarter.

Moving on to the financials and operational performance of Q1 FY '27: Module sales to 1,340 MW; wind turbine sales to 64 sets, which is up by 83% year-on-year; total income at ₹3,937 crore; and EBITDA ₹972 crore. With this, I hand over back to Mr.

Robbie. Thank you.

Thanks, Muralee, and thanks, Arun. I'll quickly take you through the remaining segments.

On the mining services portfolio, we have 18 mining services agreements with a peak capacity of 145 million tonnes per annum. We are operating currently at 55 million tonnes, which is approximately 38% of the total contracts we have.

More importantly, as we continue to bring on new contracts at operational stage, we have taken the total available operating capacity in contracts operational to 93 million tonnes, thus giving us a good ramp-up over the next coming 2 to 3 years. During the quarter, dispatch volume stood at approximately 11.8 million tonnes, revenue at ₹1,174, and EBITDA at ₹421 cr.

In the integrated resource management business portfolio, trading volume stood at 8.3 million tonnes, revenue at ₹7,000, and EBITDA increased to ₹894. This is largely due to price realization and the impact of geopolitics.

For the first time, we are introducing copper portfolio into our numbers. I will lay out the plan for this.

We will have much more detailed presentation on this in our December quarter results, and we will formally do a proper showcase of the copper business post the annual results in March. As we stand today, our copper sales volume is at 64.7 million tonnes with a capacity utilization now at 52%.

Revenue at ₹10,922 cr, giving us an EBITDA of ₹749 cr for the quarter. With this, we are open for Q&A.

Thank you.

Hi, good evening, sir. Congratulations for a successful raise of money through the QIP.

My first question is, has there been change in the capex plan for FY '27 and FY '28 after this raise of capital?

As I said in my opening comment, absolutely no. We are committed to the capex that we outlined at the start of the year, and we are actually tracking to that number very closely, and we will stick to that guideline.

Understood. My second question is, can you help us with expected commissioning of I think broadly I think we have we have now 1 GW of data center.

How do you think this ramp-up will happen over next couple of years?

Second, we cover this in our investor deck also. It is on page number 15.

We are expecting the capacity ramp-up to hit about 500 MW over the next 3 3 years. Then, post that, most will be large.

Then every 2 or 3 years, a large addition will occur. The first large addition will occur in the next 2 to 3 years.

We'll take us from current about 65 to over 470 MW operational.

Understood. I think we're talking about the Navi Mumbai Phase 2.

Are you planning the construction to start in FY '27, or I think it is slightly longer term?

I'll let Arun answer that question. Arun, please.

Sorry, can you repeat the question?

My question was on Navi Mumbai Phase 2. Where are we right now?

Will the construction start in FY '27 or FY '28, or it is something will happen in long term? No,

the construction will start in this financial year itself. We are in very advanced stage of design work, and the excavation work will start as soon as the monsoon is over this year, this financial year itself.

Understood. My last question is, is it possible to share the defense EBITDA in the quarter and the last year?

Is it possible? No,

we are not currently going through that. It's not material at the moment, and we will go through that once we have set up the entire ecosystem, and we'll at appropriate time showcase that business.

Understood, sir. Thank you and all the best.

Good evening, sir. Congrats for good results.

My first question is bit top-down. Where do you see your current large businesses as airport and as also data center is going to be a big business in few years?

Where do you see these businesses going in 5 years' time in terms of size, maybe in case of airport passenger or size of the overall business from the overall company perspective?

I think 5 years is difficult because We have outlined an overall capex plans for the portfolio all the way to 2030-31. We can share that specifically for AEL, which we have done on the roadshow during the QIP.

We can note your question and reshare that for the benefit of everyone, and we can put it up on the website again. We are at a point where, specifically with airport, with Arun and team, we're at a point where increasingly the business is on a standalone basis going exceedingly well.

As we have maintained that we will come to a decision point in relation to rewarding the shareholder of AEL with somewhere around 2028 in terms of this business being demerged. Other than that, to directly to your question, we will actually point you to the AEL's offering circular and roadshow presentation.

We take your question on note, and the team will update and upload the question so that it's available to everyone.

Sure, okay. A couple of bookkeeping questions: What drove the interest expense sharply during this quarter sequentially?

No,

that's largely because of the capitalization of large assets, Ganga Expressway, airports. No specific large-scale change has occurred.

If you see the data, I point you to the page in our presentation. If you go to page number 25 of the presentation, it will give you the full detail of the current debt stack of the business and the ratios attached to that.

There's no material, significant change that has occurred in anyone. Unless I'm missing your question and you have some follow-up question detail on this that I'm not able to ascertain from your question.

My question was particularly because you commercialized Navi Mumbai prior quarter, copper was already commercialized. I also thought that Ganga Expressway was also partly commercialized earlier.

But ₹700 crore on a Q-on-Q basis there is a swing, so that was my question. Also, now are you looking at upwards of ₹9,000 crore interest expense for the year?

That's largely because as the assets are capitalizing, the interest payment is coming on to our books. That is a change of on a consolidated basis, the 1,905 becoming 2,004, that directly linked to the asset capitalization.

Sure. Just couple of other questions: On your mining services performance was a bit muted and in terms of volumes, while trading IRM business, EBITDA was very strong.

How are you looking in terms of volumes in these two businesses for FY '27?

Mining services will continue as it is. Like I said, we are currently at about 40 just around 49 million tonnes dispatch.

We expect that with the new mine coming online, we expect somewhere between the range of 16% to 20% growth in the mining services simply because one new contract's now operational. In the IRM, we'd like to caution a little bit in the sense that it's more important to look at the volume.

The volume is consistent. The swing that has occurred is largely due to the geopolitics and that can sustain for a period of time, but that's a volatility-induced increase.

Sure, I'll get back to the queue for questions later in the call. Thank you.

Thanks.

Thanks for the opportunity. My first question was on airports, sir.

Congrats on very strong non-aero growth, almost 53% for a passenger growth of 4%. Wanted to understand what part of this growth is driven by Navi Mumbai.

I understand even strip off that, the organic portfolio has done well. If you can highlight some of the key strategies that you guys are focusing on.

I understand the digital app is a key part of that strategy. Should we look at similar growth rates continuing for the full year, or how we should think about the full-year non-aero revenue growth?

Thanks. That's my first question.

Shall I take, Robbie?

Yeah. No, thanks, Robbie.

You are absolutely right. The non-aero growth to a very large extent is driven by increase in our SPP and also the ATV per passenger, not so much by Navi Mumbai, because Navi Mumbai is scaling up.

As I said, the international flight only started post the closure of Q1 by 15th of July. We see growth across all non-aero verticals: duty-free, F&B, lease and rentals.

We also started one new line of business, which has started to give meaningful financials in terms of ground handling business from this year and which will be recurring business for every quarter for us.

How should we think about the annual number, any guestimate on how the growth could be for the balance part of the year, particularly non-aero?

Non-aero, of course it depends on the current geopolitical issue where that has hampered the passenger growth significantly, especially the international passenger. If the growth comes back in the international passenger as planned, we should see the similar growth continuing during the year.

Okay. Secondly, just on the roads portfolio, I don't see the EBITDA.

Maybe I missed it. If you can quantify what's been the EBITDA for the quarter, given that Ganga Expressway has also started?

The roads EBITDA is 288, and we expect it to continue to ramp up because Ganga Expressway is nowhere near close to its capacity at the moment. It's ramping up, and we expect the ramp-up to continue and stabilize over the next 9 9 months to 12 months.

My last question was on copper. Very strong and sharp improvement.

Any one-offs here, or should we expect this run rate of, let's say, between ₹750 to ₹800 crore per quarter going into the balance three quarters of the year as well?

I think I I would just like to whilst we are very happy with the result, but I think, as you understand, in the in it's a it's a basically a a a, a specific business in relation to its process. We expect the that the the EBITDA margin on sales, which currently we this year this quarter has been about 7%, long run, we expect that to be about closer to the 5% range.

We are currently at 52% utilization, you expect the utilization to head towards 75%. Consequently, with that kind of utilization increase, with the the stable quarter-on-quarter EBITDA, yes, we expect that to remain in this 800 range.

As the capacity ramps up, mathematically the EBITDA will go up. The please be mindful that currently on 10,000 10,900, our EBITDA is 749, which is roughly 7%.

In the longer run, we'd expect that number to be about 5%, although the the revenue number will be lifting significantly from here as the as the as the lines are lines and the ramp-up matures.

Thanks, Robbie. I'll fall back in queue.

Yes, can you hear me? Hello?

Yes, please. We can, Manish.

Please go ahead.

Awesome. My apologies.

I always have this issue with my phone. Maybe a question for Arun: Obviously, the airport business is growing nicely, very impressive business overall.

Is there a milestone that we should be thinking about in terms of break-even for earnings before taxes type metric? Obviously we see EBITDA moving much, much higher, obviously at the depreciation associated with the growth, the start-up costs, etc.

How should we think about profit before taxes on a break-even basis for that business?

I'll take that. It is largely, Manish, in terms of the technical finance part, and obviously on the business side Arun can comment.

Arun, please feel free to comment when you want to

chip

in. Manish, the way we look at the structure of the airport business is that it's a RAB-based business.

If the more important thing is what is our RAB, regulatory asset base, changes and consequently what is the RAB income that will occur from the increasing regulatory asset base. Mumbai has added a lot of regulatory asset base, and we expect our regulatory asset base to rise actually from current 37-odd thousand cr to close to 70,000 cr.

It's a RAB growth and then consequently the regulatory return permitted. We will introduce that as we go through over the next 18 months, which are like the gross spend rate of the consumer.

We report that number. Arun mentioned in his opening comment as well.

Gross spend rate of people visiting the airport. We will continue to, as Arun also indicated, that we will introduce a new business segment.

We will continue to add and provide clarity on that aspect. On the P&L side, that is your question in relation to P&L side, we will still remain a heavy depreciation business because we are adding so much asset base.

We will start reporting over the next 12 months a cash earnings on the asset base, and consequently you'll be able to track a number called cash per share of the business. We will provide that visibility to the market on that.

For the foreseeable future, just given the rapid rollout of the asset base, we will still remain a heavy depreciation business in relation to post-depreciation and PAT number growth and the conversion of that. On the cash flow conversion to cash per share, we'll bring that out over the next 12 months in a much more clearer manner.

Now that's super helpful.

Arun, would you wish to add anything on the business side if I missed or

No, Robbie, you covered it very well. On the business side, I think the biggest milestone for us in next three quarter is to get Navi Mumbai at a operating per quarter of 20 million passenger.

That's our immediate focus is.

Okay. Thanks, Arun, for that.

I did want to touch on Ganga Expressway as well. I was hoping to see more of a profit boost as far as Q1, and also surprised to see revenues at least weaker than what we would have expected even vis-a-vis year-over-year.

I'm just trying to find a path to how we can see an improvement going forward. Are we being too optimistic on our side versus what's happening on the ground?

Maybe if you can kind of reconcile that for us, that would be helpful.

Actually, no, we certainly not being optimistic. I can tell you that much.

We are being very cautious in what we are saying. The reason is that when an asset of that scale, which is actually a trunk asset, is coming online in a major state in India, which is UP, the toll collection only began on 15th of May.

I see.

Sorry.

Go ahead. I'm sorry.

No, so

that's why as I said in my opening comment, we expect this to be a massively successful toll road, just based on the initial indication. We have ground indications.

I was there actually in Lucknow as well myself. We've gone through this, and we are extremely confident that this would be a massively valuable asset.

Not just for us, but actually for the state's economic architecture also. This is a trunk road.

I would compare this to what the cross-Malaysia highway did for Malaysia. This is going to do that for UP.

It is that critical an infrastructure for Uttar Pradesh. When you're on the ground, you actually already start seeing the impact of this.

You're certainly going to get a massive uplift in SME, MSME manufacturing clusters around the defense ecosystem in this area largely driven by now the connectivity of this road. We are extremely confident.

If you wish to have some specific answers that you believe we are not or you think we should clarify more, we're happy to take advisement, and we will try to make sure that at least in the next results we lay it out in more detail so it clarifies. If any suggestion is there, please do so.

We're happy to clarify. We are extremely positive about the business overall and based on the ground reality that there would be an upside surprise rather than anything else.

No,

I think the clarity you offered is helpful. I didn't realize that the toll collection only began May 15th.

I had the full quarter in my estimates, maybe that's where I was off. Of course, I've seen pictures of the highway and it's super impressive.

Congratulations to the team on doing that. It's just absolutely fabulous, and hopefully it works out the way you anticipate.

On the data center side It's actually

even better than pictures, Manish. The contrast is even more stark when you are there, because you see surroundings and then you see this highway.

Right.

You suddenly think you are in first-world country when you are on the highway. Obviously, within a second you back in developing country, but nevertheless, once you're on the highway, you feel like you're in the first-world country.

Right. No, the pictures have been amazing.

Just one last question on the data center. I think you talked about the 960 MW of tied-up capacity, but I guess only a small portion is operational.

How should we think about the capex per megawatt, or customer funding, or prepayments when it comes to developing that?

I think just on the on the on the capex side of the data center, we will specifically come back to you if you don't mind on the question. We do expect that that we are If you are to give you a per megawatt, today I can give you the range, but we can obviously clarify that in more precise detail because we do have the information.

We are roughly around, say, say about 70 to 75 cr per megawatt in terms of construction. A run rate return, which is U.S.

dollar equivalent of approximately 12%. The ramp-up structure, now that hyper now the ramp-up, the construction is now moving to the hyperscaler format.

The next construction periods will add bigger chunks to the business. The so it's just going through currently it's going through the sort of 50, 100 MW type that additions, but it'll move to few hundred megawatt of additions at each construction cycle, which is roughly about 2.5 years.

In the next 3 years, we expect to add We'll take this capacity closer to 500, 5 times what it is today. More than 5 times, about 7 7 to 8 times what it is operationally today.

Right. Super helpful.

Thank you so much. Good luck, and hopefully we'll catch up soon.

Thank you.

Absolutely. Thank you.

Thank you for the opportunity, and congratulations on a strong set of results. I have two questions from my side.

The first one on airports: We've been positively surprised with you doing much better non-aero per pax for this quarter at about ₹880 pax or so. Wanted to check whether there is more headroom available to go beyond ₹880 for pax that you have achieved, which is meaning to be higher than that level historically.

Arun, please.

I will take this. As I explained, one part of the growth this quarter was ground handling business, which we only started last year post Q2.

The second part is, yes, there is still a lot of headroom left for growth in non-aero with three different initiatives. One is, as I said before, the digital initiative.

We have started to engage with passenger much before they have come to the airport. Second is engaging with the non-passengers, with meeters and greeters, which is 2, 2.5 times the passengers.

The third is the city side development, which we have started to do and will go live from financial year '29-30. Within the non-aero business inside the terminal also, we are doing a lot of premiumization with the GDP growth and the aspiration of India.

We believe there's a headroom to increase the ATV for us for transacting passengers inside the airport by giving them better offering. We are upgrading lounge experience, we are upgrading F&B experience, we are upgrading retail experience to meet the aspiration of young India.

Understood. A related question: The big uptick that has happened in lease and rentals, is it linked to more retail space getting deployed at your airports, or is it primarily to do with higher footfalls happening?

No, so as

I think in the beginning Robbie said that the this quarter, because of unfortunate Middle East crisis and the higher ATF price, the passenger increase was only 4%. Primarily the growth is coming from higher ATV, but also us monetizing what we used to call dark space.

We have increased significantly the retail and F&B space over last 18 months at our airports.

That clarifies. The second question that I had was more on the data center front.

Could you give us more color on the 400 MW order that you have recently won? Whether with the same customer there is scope to do more work, or whether there is any kind of framework agreement that you may be working towards?

We can't really add anything more to this because we already publicly it's shared with you. This is part of the Google contract at Vizag.

What we are reporting is what is the part of that contract actually executed. There are other parts which will get executed as we go along.

Overall contract is available publicly and available on our website.

That clarifies. Thank you.

Those were my questions. Thanks.

Hi. Thank you for taking my questions, and good evening to everyone.

First question is on the city side development. Our understanding is we have a huge land parcel in Mumbai as well as Navi Mumbai.

Mumbai being in the city center, it would be more lucrative. What would be the total in terms of square footage or development potential in this city side, and what do you think would be the capex requirement for this city side development for the next 5 years?

Shall I take, Robbie? Yeah.

Thanks.

Go ahead. Phase one So

total land available for us across all eight airports is 660 acres. Phase one, we are only doing 22 million of construction, 22 million square feet of construction, 14.4 million of super built-up area across Mumbai, Navi Mumbai, Lucknow, Jaipur, and Ahmedabad that will go live '29-30.

The phase one capex we have committed is around ₹20,000 crore for that.

That ₹20,000 crore would be for how many years? That would be

For phase one of this 22 million super built-up area, 14 million of construction area, and 14.4 million retail space available.

In how many years this capex

This phase one will be completed by '29-30.

Okay, '29-30. Okay.

This entire development, how would it work? You'll give it to some real estate player, or your airport AAHL would itself develop it?

Or would you give it to some developer, you'll say just take the lease rental? How

No, phase one we are doing it within the integrated development. This is a mixed-use integrated development which will consist of hotel, retail, F&B, entertainment zone, high-end offices.

This will be done under AAHL, but of course the construction will be done by the DNC partners.

Okay. What kind of rental or EBITDA do you think this development expected to generate?

Ballpark would be fine.

Yeah. That we will cover that once we are ready to disclose as we start moving with the retail mix contracts.

Because we don't want to be highlighting that level of work that would become very difficult for us to maintain particular disclosure standards.

Okay. Just one final question: Have you commenced the work for this city side development?

Arun, please.

Sorry, I didn't get it fully. Sorry, can you please repeat?

Have you started the work on city side development?

Yes, Mumbai, Navi Mumbai, Lucknow, Jaipur, Guwahati, and Ahmedabad, four places active construction going on: Ahmedabad, Mumbai, Navi Mumbai, and Lucknow. Jaipur and Guwahati, we will start post-monsoon.

Thank you, sir. All the best, sir.

Thank you.

Hi, sir. Thanks for taking my question.

Just one quick question. I wanted to understand: When we look at your segmental break-up that you have given versus the reported numbers on BSE, there's EBITDA including other income that is left is about ₹972 crore for this quarter.

This number was about ₹560 crore in the base quarter. Can you talk more about what is driving this change?

What are the key businesses? We understand this is a lot to do with defense, bunkering, all of those things.

What is driving this uptick, because now the other segment itself is bigger than copper and mining services? Just wanted to understand how this is panning out.

What is the key business driver there, and can we get to see disclosures on these accounts over the next few quarters? That'll be my only question.

I think, where are you getting the others EBITDA that you are saying? Because we don't seem to get the Sir,

I was just comparing the numbers that is given in the presentation for each of the segments: airports, ANIL, IRM, mining services, and copper, and comparing those with the overall numbers that are given on BSE for the consolidated AEL. There I get the overall EBITDA including other income at ₹5,641 crore

or 42. Okay.

No, I get the question. In the others is included commercial mining, which is 372 of the number; roads, which is 288 of the number.

So 600 of that number is just these two businesses. Then significant chunk of that is water treatment is also defense business as well.

The majority of the number is covered by these two businesses: commercial mining and roads itself.

Got it, sir. Thank you so much.

Thanks.

Thanks for the follow-up. A couple of questions: Firstly, on defense, the subsidiary had I think last year done revenues of ₹2,500, ₹2,600 crore.

Wanted to understand how should we think about the order book right now that the company has, and in terms of growth outlook for the year or for the next few years, how should we think about the growth in that business and capex for that business?

I think numbers you're referring to, Girish, which we mentioned out in the QIP and QIP roadshow and presentations. What we are planning to do, Girish, is that sometimes about September next year, we'll be in a position to lay out the proper strategy and the business update.

We are planning that in post-September next year, in November, we have the overall defense strategy showcase. To provide a clear visibility.

What I can say to you is that the growth that we have exhibited, we are tracking to that, and we expect this to be a business of sufficient importance that it will come into our segmental reporting over the next 18 months.

Okay. Just a follow-up on data centers: Obviously at ₹70 crore capex per megawatt, how should we think about funding on the debt side?

Typically, infra projects go up to 70%, 80%. Should we assume that, and what could be the typical interest coupon?

Financing, will it be debt funding with long tenure? If you can talk a little bit on that.

With hyperscalers being your customers, is there a possibility of some dollar funds also being spoken about because you spoke about dollar return?

Yeah.

Yeah.

To this, Girish, the way we set this up, we were one of the first ones in India at least, or in Asia as well, to look at it not as property finance, but as project finance. We got this originally set up in the manner that more consistent with infra projects, given that we wanted to have a service and energy model locked in together with our final users of the data center.

We are looking at a more traditional infra-type funding. We are looking that this business will track close to investment grade.

The coupon expectations will be in line with the investment-grade debt. The tenor and terms of this, once we reach a point where we looking to put the long-dated paper out, we like to maintain a duration in this business of, say, around 7 years, which is about from an underlying contract life perspective say we have reasonable visibility over 10 years.

From that point of view, we'll track the duration in line with our overall portfolio duration, but could be slightly less. The benchmark would be a sort of, say, a long 5 investment-grade bond on a sustainable basis.

Understood. Just in terms of data centers again, Adani Group has been able to scale up this portfolio in terms of contracted capacity quite meaningfully in the last 12 months.

Probably Asia region also, you would be amongst the fastest growing. Wanted to understand what do you think is very different in terms of the offerings that Adani Groups brings to the table, or is it also a little bit on the pricing side which allows Google to kind of or any hyperscaler to take a decision?

Just a risk, because I was getting a lot of questions on execution when we're thinking 3 to 5 years. A lot of the equipment could also be import-dependent.

How are you planning right now as you keep scaling up this business from a 3 to 5-year perspective, certain import equipment requirements that could come through?

I think it's an excellent question. I think I'm glad that you brought this up.

It'll just clarify a couple of things and we should have addressed this ourselves. Nevertheless, now you have the question, we'll answer.

I think you'll see that we made an announcement that we've agreed a JV with Jabil. That addresses a question of us being able to provide the stack capability to the final client.

To eliminate that risk. We will be able to provide at least the physical build-out of physical stack.

Now within the stack, you'll have the GPUs, which the final client already has. That's that part.

We'll continue to embed ourselves deeper in this infrastructure chain of this area. That's not from data center point of view, but that's the overall stack that is required for the AI world that is coming.

That's being done from that basis. It helps the business.

Second part is that why we are able to grow faster is that we are a very large utility platform that can accept some level of merchant risk. Because we can provide the energy solution, the thing that is stopping the fast ramp-up is being able to tie up the energy equation.

In the U.S., obviously the data center and hyperscalers have gone on the matter they're building it out themselves. Here we can offer them that facility, and that is what is more attractive to them than anything else.

Our pricing and everything is broadly the same as general market in the region. The unique defining feature is we are in the private sector India's largest utility platform.

End-to-end, we are the only utility platform of that, including the government. Consequently, we are able to offer a utility-level solution in relation to their energy requirement.

That part is the defining difference. As we're adding services like JV with Jabil and our capacity to bring in the ecosystem, which is common in the U.S.

and common in Europe, common in China, We will bring that ecosystem in India also, and that helps us to de-risk some of the construction and development activity.

Understood. Just one small typo, I think in the presentation, you've written 2 GW by 2030.

I believe the chairman in the AGM spoke about the portfolio being now 3 GW. I know it's an evolving number, but just wanted to highlight that.

Thanks.

Thank you for that. We will clarify.

Actually, it's a good pick-up. The number is 3 GW.

Thank you.

Good evening and thanks for the opportunity. Just had one question specifically on data center: When we say operational capacity and when we also giving tied-up capacity, typically how much time it should take for some of those tied-up capacity to get operational?

That is question one. Second question is related to that, would we see a case where our realization per megawatt would also increase as the mix improves to more of hyperscalers?

This would be the questions. Thank you.

I think to second question first, these are discrete steps driven by business case. The scale itself for hyperscale doesn't change the yield matrix, because it's driven by the specific business cases they have for the requirement they have.

From their point of view also, they want to go through a specific set, there's no that okay, if we got hyperscaler and scaling up and the yield's going. No, it will depend on business case.

Overall, the economics are very good, we are confident of that. To your first question: Roughly speaking, construction and development is about 2.5 years, then 2.5 years.

Then you have the take-up of the stacks by the scalers themselves, which is also say another 18 months. Roughly speaking, from the capacity contracting to fully ramping up at that contract, you can say about 40 months to 48 months.

Got it. Now when we're giving 2030 target, that's for the tied-up capacity mainly?

Correct, correct,

correct.

Okay. Any sense or indication that by that time what would be the kind of the operational capacity or any ballpark number there?

Because the revenue and EBITDA will be more linked to the operational capacity from that perspective.

Absolutely. We expect that we will add in the next 2.5 years roughly about 400 MW or slightly higher than that.

Got it.

Got it. Just one last thing: On the roads portfolio, what would be the invested equity as of the end of the first quarter?

If you can highlight on that number.

Do you mind if we come back on that? We

take question and

put as a Q&A back on the website.

Sure, no problem. No problem.

Thank you so much. Thank you.

That's all from my side. Thank you and all the best.

Thank you.

Thanks for the follow-up opportunity. Just a clarification over here: While the company has clarified that on airline services no plan of that, there are news flows that are still coming about suggesting that Adani Group had asked for permission to launch an airline in June.

Could you just clarify how to read these statements here for investors in general?

See, I will answer that for you. I think more than airlines we should get into newspaper business, because so many newspapers make money from us.

Now, it's almost like watching a poor version of Dhurandhar again and again. It's just rumors.

We always evaluate. See, when the next round of airports come, there'll be regional airports.

The current ability to support an airline business is up to 5% equity. We put a letter in which you have seen.

We want to see as owners of airports and regional airports hopefully in the future that India's regional airline system also develops and develops properly. In that context, not starting an airline or whatever, but to be able to support a development of an airline for the regional connectivity is our interest.

Okay. Now that what we have clarified.

AEL has no interest in airlines, and we clarified that. We are focused on our airports business and rollout of that infrastructure.

That's a separate thing that we want to be participant in. We want to be able to advocate in an industry as an interested actor in that industry to see the development of regional India.

I think we should see it in that context, not in the rumor mill and desktop type analysis that go on or lack of analysis that goes on in our newspaper and TV channels, because just our name sells, they just attach our name and just go run with absolute rubbish. I cannot be more clear with these words.

It is that Arun runs a business which is one of the leading businesses in the country in airports. We will likely have regional airports.

We already have some of the regional airports. It's our interest to see the development of the regional transportation infrastructure.

If we try to advocate for something that we'd like to support that infrastructure in some way, doesn't mean that we start running an airline. People just read that as an immediate action.

It's not an immediate action. It is our interest as an actor in transport and logistics, ports, roads, airports to make sure that the regional connectivity, regional economy develops properly.

It's really sad reflection on the state of our media that, rather than looking at the positive of what we are trying to do for regional India, they come up with this cockamamie scheme of airlines, this, that, other. We are doing the same thing for road networks.

We are doing the same thing at ports. We are doing things for internal logistics.

If all of that tomorrow we'll become Zomato? No.

We are interested in internal logistics. It's just unfortunate, but that's the reality.

Clear on that count. Just a bookkeeping question: If you could give us the WTG business's revenue and EBITDA for the quarter?

Muralee will take this question. Muralee.

Yeah.

WTG, the revenue was ₹866 crore, and the EBITDA was ₹185 crore for the quarter.

Understood, sir. Thank you for this prompt response, and that will be all from my side.

Thank you.

Thank you very much to Emkay Global team for organizing this call for us. Also like to take this opportunity to thank my colleagues: Arun, CEO of Airports business; Muralee, CEO of our Solar New Industries business; and Manan and team.

Once again, thank you very much for your participation and thank you for the questions.