Mahanagar Gas (MGL) Q2 25/26 earnings summary

Executive summary

• Amalgamation of Unison Enviro Private Limited (UEPL) effective 1st February 2024 expanded operational reach, with all financials consolidated and restated.

• Infrastructure expanded to 8,062 km of pipeline, 485 CNG stations, and 53,566 new domestic connections as of 30th September 2025.

• 116 new industrial/commercial customers and 27,150 CNG vehicles were added in the quarter, with total CNG vehicles exceeding 1.22 million.

• Over 30 years of consistent growth with a strong customer base and robust infrastructure.

• Financials reviewed and approved by the Board, prepared in accordance with Indian Accounting Standards.

Financial highlights

• Q2 FY26 revenues rose 14.73% year-over-year to ₹2,049.33 crore, but declined 1.54% sequentially.

• H1 FY26 revenues increased 19.66% year-over-year to ₹4,130.71 crore.

• Q2 FY26 EBITDA from operations was INR 338 crore, down from INR 501 crore in Q1, due to a one-time reversal of OMC trade margins in Q1.

• Q2 FY26 PAT fell 32.58% year-over-year to ₹193.37 crore; H1 FY26 PAT down 10.94% to ₹512.93 crore.

• EBITDA margin dropped to 16.49% in Q2 FY26 from 23.15% a year ago.

Outlook and guidance

• EBITDA per SCM guidance for Q3 is around INR 8.5, with potential improvement in Q4 as new term contracts come into effect.

• Full-year margin guidance revised to INR 8.5–9 per SCM, down from previous INR 9.5, reflecting higher gas costs and exchange rate impacts.

• Volume growth for FY26 expected to be at least 10%, in line with H1 performance.

• No explicit forward-looking guidance provided, but management notes ongoing legal and regulatory matters with no expected outflow of resources.