The Adani group has said it will have a capital expenditure of Rs 1.1 trillion in 2025-26 as against this financial year’s Rs 92,000 crore, with a focus on core energy and infrastructure.
Expenditure will be financed through an internal cash generation of Rs 60,000 crore, and the rest will be raised via equity and debt, according to senior officials.
This financial year (FY25) the group reduced the average finance cost of its long term borrowing from 10.4 per cent to 8.1 per cent, saving Rs 4,000 crore.
It expects to sustain this cost reduction over the next few years, with the cost of capital for new borrowing projected to decrease by 75-100 basis points.
As of FY25, the group’s gross debt stood at Rs 2.4 trillion with a net debt of Rs 1.85 trillion.
The group refinances about Rs 40,000 crore of debt annually, saving, on average, 1.72 per cent.
These savings are expected to persist for the next two decades, an official said, after making presentations to overseas investors.
In FY25, the group raised $2 billion by selling shares in various companies including Adani Wilmar and Adani Energy Solutions.
The funds raised were used to refinance existing debt and spend on capital.
The official said over the past five years, the group’s market capitalisation had grown 53 per cent, while profit after tax (PAT) increased 49 per cent.
The group attributes much of this to PAT, suggesting that its re-rating has yet to fully reflect lower capital costs, stability, and liquidity.
Over the past 20 years, the group’s market capitalisation has risen 32 per cent, positioning it as a promising long-term investment compared to peers, according to group officials.
On reciprocal tariff threats from American President Donald Trump, the official said the group was shielded because a majority of its business was in India.
Among its subsidiaries, Adani Ports & SEZ plans to invest Rs 80,000 crore in capex from FY25 to FY29 to fuel organic domestic growth.
This includes Rs 45,000-50,000 crore for domestic ports and Rs 20,000-25,000 crore for logistics.
APSEZ is also exploring an expansion of ports.
By 2030, the group targets 800-850 million tonnes of domestic cargo, reflecting an 11 per cent increase in domestic cargo through 2031.
The group’s new airport in Navi Mumbai is expected to be commissioned by next quarter, making it the eighth airport in its portfolio.
© 2025