Adani Total Gas Q2 results: Net profit surges 8% YoY to Rs 173 crore, revenue drops 1%

Gautam Adani-controlled Adani Total Gas on Tuesday reported an 8 per cent year-on-year (YoY) growth in consolidated net profit to Rs 173 crore for the July-September quarter. The gas contributer's consolidated revenue from operations declined by 1 per cent year-on-year to Rs 1,179 crore.

Total expenses in the quarter were Rs 964 crore, compared with Rs 1,013 crore a year ago. EBITDA increased 22 per cent YoY to Rs 289 crore in the July-to-September quarter.

In Q1 results this fiscal, the energy company reported a rise of 9 per cent in consolidated net profit at Rs 150 crore. Last fiscal, the gas distributer's revenue from operations stood at Rs 1,056.1 crore.

> Revenue from Operations at Rs 1,178 crore.
> EBITDA of Rs 289 crore, increased by 22 per cent.
> Reported PBT of Rs 225 crore, increased by 20 per cent.
> Reported PAT at Rs 168 crore, increased by 20 per cent.

Adani Total Gas Q2 FY24 results vs Q1 results

Adani Total Gas's revenue rose 3.8 per cent at Rs 1,095.6 crore, quarter on quarter. Its Ebitda rose 13 per cent to Rs 279.9 crore, quarter on quarter. 

While, margins at 25.6 per cent vs 23.5 per cent, quarter on quarter. Its net profit was up 15 per cent at Rs 172.7 crore.
 

H1 FY24 results (Y-o-Y)

Financial Highlights H1FY24 (standalone) Y-o-Y:
➢ Revenue from Operations at INR 2,313 Cr
➢ EBITDA of INR 545 Cr, increased by 17%
➢ Reported PBT of INR 424 Cr, increased by 14%
➢ Reported PAT at INR 315 Cr , increased by 14%

The company said its CNG Volume increased by 19 per cent Y-o-Y on account of the reduction in CNG prices along
with network expansion of CNG stations.

While its PNG volume has decreased by 5 per ceny Y-o-Y due to lower offtake by industrial consumers
due to lower alternative fuel prices.

The revenue from operations has remained flat as there was reduction in gas cost due to revised pricing formula approved by Government of India w.e.f. 8th April 2023 which ATGL passed on the benefit to its consumers, resulting in decrease in sales price.

Despite the increase in volume, the cost of gas has decreased by 5 per cent on account of the implementation of new Domestic gas price approved by the Government of India along with softening of R-LNG prices.

Given its gas distribution, ATGL is authorised in 33 Geographical Areas and plays a significant role in the nation’s efforts to enhance the share of natural gas in its energy mix. Of the 52 GAs, 33 are owned by ATGL and the balance 19 GAs are owned by Indian Oil-Adani Gas Private Limited (IOAGPL) – a 50:50 joint venture between Adani Total Gas Limited and Indian Oil Corporation Limited.

Further, ATGL has formed 2 wholly owned subsidiaries namely Adani TotalEnergies E-Mobility Ltd (ATEL) and Adani TotalEnergies Biomass Ltd (ATBL) for its E-Mobility and Biomass Business respectively. ATGL has also formed a 50:50 joint venture, namely Smart Meter Technologies Private Limited for its gas meter manufacturing business.

Shares of Adani Total Gas closed at Rs 565.15, up 0.26 per cent from Monday's Rs 563.70.

Last week, Adani Total Gas has become the first of the group’s seven listed companies to achieve that valuation that US short seller Hindenburg Research highlighted a 85 per cent downside in Adani group shares. Although some of the group stocks have recovered in the past few months, Adani Total Gas remains the hardest hit.   

The shares of the gas distributor dipped 2.6 per cent to Rs 575.7 last week, taking losses from their January 24 closing of Rs 3,891.75 to 85 per cent. 

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