Adani Group has executed the highest annual capital expenditure by any Indian corporate at ₹1.53 lakh crore (USD 16.1 billion) in FY26, with approximately 80% of this spending routed through external vendors. The group targets ₹2.1 lakh crore in capex for FY27 and has mapped out investments of nearly $125 billion over five years. This unprecedented deployment is fundamentally altering India's industrial supply chain architecture, spanning renewable energy, port logistics, data centers, and aviation infrastructure.
The objective is building hundreds of partners capable of scaling into large businesses over the next few years. This model connects Adani's access to capital and project pipelines with the engineering, manufacturing, and technological capabilities of specialist companies, creating a new set of listed proxies for India's infrastructure buildout.
Hitachi Energy India witnessed an extraordinary 318% surge in its order book from ₹7,071 crore in FY23 to ₹29,555.3 crore by Q4 FY26. The single most significant driver was the 6,000 MW Bhadla-Fatehpur HVDC project awarded by Adani Energy Solutions' subsidiary. This 950 km HVDC link, connecting Bhadla in Rajasthan to Fatehpur in Uttar Pradesh, can power approximately 60 million households and represents one of India's largest transmission contracts. The Q1 FY26 order inflow of ₹11,339 crore—up 365.4% year-on-year—was directly attributed to this project.
Cemindia Projects (formerly ITD Cementation) increased its order book by 34% to ₹24,545 crore in FY26, with record order inflows of ₹14,821 crore. The company came under the Adani Group umbrella in May 2025 when Renew Exim, an Adani promoter entity, acquired a controlling 67.46% stake. The integration has strengthened market confidence in its growth prospects, with the order book providing nearly 3 years of revenue visibility against FY26 revenue of ₹10,061 crore.
PSP Projects experienced the most dramatic transformation. Its order book jumped 85% to ₹13,447 crore in FY26, with Adani-linked projects representing 67% (₹9,009 crore) compared to ₹1,817 crore a year earlier. New orders more than tripled to ₹10,925 crore from ₹3,506 crore. Adani Infra acquired a 34.41% stake in November 2024, classifying it as a promoter and fundamentally altering the company's growth trajectory.
The divergence between order book growth and profitability is most visible at PSP Projects.
Return on capital employed collapsed to 7% from 10% in FY25 and 24% in FY23. The working capital cycle stretched to 96 days from 65 days in FY25 and 41 days in FY23.
This deterioration stems from multiple factors. Project execution delays due to land acquisition disputes, right-of-way challenges, and extended monsoon disruptions deferred revenue recognition. Input cost escalation in steel, cement, and labor directly impacted fixed-price EPC contracts. The shift toward larger Adani Group projects changed capital requirements, with higher mobilization costs and extended execution cycles tying up capital disproportionately.
The company's order book is well-distributed across high-margin segments: maritime structures (33.3%), urban infrastructure and airports (23.2%), and industrial structures (15.7%). This diversification, combined with selective order inflow focused on margin-accretive opportunities, has enabled superior capital efficiency.
This level of dependency creates vulnerabilities across revenue, execution, working capital, bargaining power, and strategic autonomy. The surge in orders has yet to translate into comparable profitability improvements, demonstrating that order book growth alone doesn't guarantee value creation.
BHEL derived ₹6,673 crore in revenue from Adani Group in FY26, representing nearly one-fifth of its total sales. While this concentration creates some pricing pressure, BHEL's diversified order book of ₹2.39 lakh crore and strong position across power and industrial segments provide mitigation. The company's EBITDA rose 83% to ₹3,189 crore, and it secured a ₹6,500 crore order for steam turbine generators from Adani Power.
Hitachi Energy India and GE Vernova T&D India face significant concentration risks with estimated 50% and 54-68% order exposure to Adani Energy Solutions, respectively. However, their technology leadership provides stronger bargaining power. Hitachi Energy controls more than half of India's HVDC market share, while GE Vernova has strong credentials in HVDC-VSC technology. Both are pursuing export market expansion—Hitachi Energy's exports accounted for 36.8% of Q4 FY26 orders—to reduce dependency.
Adani Energy Solutions' ability to raise capital provides crucial execution certainty for suppliers. The company completed a ₹8,373 crore (USD 1 billion) Qualified Institutional Placement in August 2024—the largest in India's power sector.
This $750 million, five-year dollar-denominated facility, priced approximately 200 basis points over SOFR, was raised under AESL's sustainable debt framework, enabling lenders to classify it as a Green Loan. The financing specifically supports the 6,000 MW, 950 km green energy corridor connecting Bhadla to Fatehpur, where Hitachi Energy and BHEL are the technology and manufacturing partners.
Adani Power's ₹2 lakh crore capex program to expand generation capacity from 18.15 GW to 41.87 GW by FY32 creates substantial opportunities for BHEL. The buildout can generate demand for boilers, turbines, generators, and emission control systems estimated at ₹75,000-92,000 crore. BHEL is already Adani Power's largest supplier, having placed orders for 20 boilers and six turbines of 800 MW each.
PSP Projects' addressable opportunity could widen significantly. Adani's real estate pipeline includes the Dharavi redevelopment ($11 billion investment over 7 years), Motilal Nagar (₹36,000 crore), and assets acquired through Jaiprakash Associates. PSP Projects' capabilities in residential, institutional, and commercial construction align well with these projects, potentially generating ₹29,200-46,750 crore in revenue over the next 5-7 years.
The Bhadla-Fatehpur HVDC corridor demonstrates the scalability of Adani's partner ecosystem. The project combines Hitachi Energy India's advanced HVDC technology with BHEL's manufacturing capabilities, creating a replicable model for future mega-projects. This consortium approach shares execution and financial risks while leveraging global technology leadership and local manufacturing strength.
The benefits of Adani's extended enterprise model are not without risk. Rising dependence on a single customer creates concentration, while bigger order books don't automatically guarantee stronger cash flows or returns. PSP's falling return on capital and longer working capital cycle demonstrate the execution challenges that can accompany rapid expansion. The investment case will depend not only on winning Adani projects, but also on executing them without tying up excessive capital.
