Mahanagar Gas (MGL) Q1 25/26 earnings summary

Executive summary

• Achieved connectivity for 16,348 new domestic households, totaling nearly 2.85 million connected, and expanded pipeline to over 7,539 km with 385 CNG stations operational as of June 30.

• Added 84 new industrial/commercial customers, totaling 5,161; 20,332 CNG vehicles added, surpassing 1.1 million registered.

• UEPL subsidiary added 4 CNG stations, 3,338 households, and 1 industrial customer; 73.78 km pipeline laid.

• Focused on health, safety, and environment, with a diversified sourcing strategy and majority sales from CNG and domestic PNG.

• Board approved unaudited financial results, with unqualified review reports for both standalone and consolidated statements.

Financial highlights

• Q1 FY26 revenues rose 24.3% year-over-year to ₹1,975.92 crore; standalone revenue from operations grew 23.8% YoY to ₹2,159.72 crore; consolidated revenue reached ₹2,282.07 crore.

• EBITDA increased 16% YoY to ₹485.36 crore, with margins at 24.56%; PAT grew 14% YoY to ₹324.32 crore; EPS reached ₹32.83, up 14%.

• Gross profit improved 17.4% YoY to ₹739.55 crore.

• Total sales volumes grew 9.61% YoY to 384.86 million SCM; CNG sales up 7.54%, domestic PNG up 3.88%, commercial up 26.09%.

• Sequentially, standalone net profit increased 28.60% and EBITDA rose 28.28% from the previous quarter.

Outlook and guidance

• High single-digit to near double-digit volume growth expected for FY26; Q1 YoY growth at 9.6%.

• EBITDA per SCM expected to normalize to INR 9–9.5 by year-end.

• CapEx for core business and UEPL projected at INR 1,100–1,300 crore over next two years.

• CNG station addition target: 80 new stations in FY26.

• Maintains focus on expanding infrastructure and customer base, leveraging cost-effective and environmentally friendly CNG/PNG solutions.