Adani Total Gas FY24 profit surges 23% at ₹653 cr; revenue up 3%

Adani Total Gas Ltd (ATGL), the city gas distribution (CGD) arm of Adani Group, has ended the financial year 2023-24 on a strong note, posting double-digit growth in profit and EBITDA on the back of 15% volume growth. The city gas retailing joint venture of Adani group and France’s TotalEnergies has also declared a dividend of ₹0.25 per equity share of face value of ₹1 each fully paid-up for the FY24, for which its board has fixed June 14 as the record date.

For the full financial year 2024, ATGL posted an increase of 23% in standalone net profit at ₹653 crore as compared to ₹530 crore in the previous fiscal. The revenue from operations rose to ₹4,813 crore, up 3% from ₹4,683 crore in FY23.

The marginal growth in revenue was attributed to the reduction in gas cost by 6% year-on-year (YoY) due to easing of APM (Administered Price Mechanism) gas price and efficient gas sourcing. “This helped ATGL pass on the benefit of lower gas price to consumers,” the company said in an exchange filing on April 30.

On the operating front, EBITDA (earnings before interest, tax, depreciation and amortisation) stood at ₹1,150 crore, a growth of 27% over the same period last year, driven by higher volume and opex optimisation.

“FY24 has been a transformative year for ATGL. We delivered a robust operational and financial performance and achieved a 27% YoY EBITDA growth on the back of 15% volume growth,” says Suresh P Manglani, ED & CEO of Adani Total Gas.

As per the company, the overall sales volume increased by 15% YoY to 865 million standard cubic metres (MMSCM). The CNG (Compressed Natural Gas) volume grew 21% YoY to 557 MMSCM on account of network expansion across multiple Geographical Areas (GAs). PNG (Piped Natural Gas) volume rose by 5% YoY to 308 MMSCM, aided by recovery of PNG industrial volume and addition of new PNG connection in domestic and commercial segments.

During the fiscal, 91 new CNG stations were added, taking the total count to 547, while total PNG home rose to 8.20 lakh, with 1.16 lakh new households connection during the year. The industrial & commercial connections increased to 8,331, with 896 new consumers.

Adani Total Gas CEO says that the company is fully committed to India’s energy transition journey and continues to invest in creating world class infrastructure across our Geographical Areas (GAs) and diversifying into areas adjacent to our core CGD business. “We are incubating new business opportunities in the areas of Compressed Biogas, EV Charging Infrastructure, and LNG for trucking and Mining (LTM).”

During the quarter, the company commissioned the 1st phase of one of India’s largest diversified feedstock-to-CBG plant at Barsana in Mathura and also expanded its e-mobility footprint to 23 states. “These, along with LTM are our next big growth drivers and we are steadily executing a sustainable business plan around these neo-opportunities,” he adds.

Meanwhile, for the fourth quarter ended March 31, 2024, standalone net profit rose 59% YoY to ₹165 crore, while revenue grew 5% to ₹1,257 crore as compared to the same period last year. The EBITDA rose 49% to ₹305 crore from ₹205 crore in the same period last year.