On November 1, Adani Total Gas (ATGL) faced a 2% dip in its shares as the market remained unimpressed with the company’s Q2 earnings, despite a notable 8% year-on-year increase in consolidated net profit. The joint venture between Adani Group and TotalEnergies of France reported a net profit of Rs 173 crore for the quarter ended September, compared to Rs 160 crore in the same period last year.
ATGL’s revenue from operations experienced a slight decline, totaling Rs 1,178 crore in the quarter, down from Rs 1,190 crore in the previous fiscal year’s corresponding quarter. The company attributed this reduction to the revised pricing formula approved by the Government of India, leading to a decrease in sales price as ATGL passed on the benefits to consumers.
Despite the revenue dip, ATGL recorded a 20% increase in CNG sales, reaching 136 million standard cubic meters (MMSCM), while piped gas supplies dropped by 3% to 77 MMSCM. Notably, the company’s EBITDA saw healthy growth, rising by 23% to Rs 290 crore compared to Rs 236 crore in the same quarter of the previous financial year.
During the quarter, ATGL expanded its network strength by adding 23 new CNG stations, bringing the total to 483. Additionally, it extended its piped natural gas network, connecting 51,801 more homes, resulting in a total network strength of 7.56 lakh.
By 1:18 pm, ATGL shares were trading at ₹552.80 on NSE, reflecting a 2.02% decline. Despite the market’s reaction, the company’s solid financial performance and strategic expansions indicated its potential for sustained growth and resilience.
