Adani Total Gas shows robust growth in Q1 FY25 with major expansion and e-mobility milestones

Adani Total Gas Limited (ATGL) has announced impressive financial and operational results for the first quarter of fiscal year 2025, highlighting significant growth across multiple metrics.

The company’s latest financial results reveal a 21% increase in EBITDA year-over-year (YoY), driven by a notable 17% rise in overall volume. For the quarter ending June 30, 2024, Adani Total Gas recorded an EBITDA of INR 308 crore, up from INR 254 crore in the same period last year. Revenue from operations surged to INR 1,237 crore, marking a 9% YoY increase, while profit after tax (PAT) rose to INR 177 crore, up 20% from the previous year.

Expansion and Infrastructure Developments

Adani Total Gas continued to expand its infrastructure significantly during Q1 FY25. The company increased its network of Compressed Natural Gas (CNG) stations to 559, with 12 new stations added during the quarter. The network for Piped Natural Gas (PNG) households grew to 8.58 lakh, adding 38,165 new connections. Industrial and commercial connections also saw growth, with 211 new consumers added, bringing the total to 8,542.

The company completed approximately 12,244 inch-kilometres of steel pipeline during the quarter. Combined CNG and PNG volume reached 230 million standard cubic meters (MMSCM), a 17% YoY increase.

Pan India Presence and New Ventures

On a consolidated basis, including joint ventures such as IOAGPL, Adani Total Gas reported a PAT of INR 172 crore, a 14% increase YoY. The company’s CNG station network expanded to 927, with 24 new stations added. Total PNG households reached 10.2 lakh, with 44,000 new connections, while industrial and commercial connections rose to 3,142.

Key Business Updates

A notable development in the quarter was ATGL’s receipt of regulatory approval from the Petroleum and Natural Gas Regulatory Board (PNGRB) for the transfer of the Letter of Authorization for the Jalandhar Geographical Area (GA). This acquisition is expected to offer significant volume growth opportunities.

E-Mobility Milestones

In its e-mobility segment, Adani TotalEnergies E-mobility Limited (ATEL) has achieved a milestone with 1,212 EV charging points commissioned across 15 states. Additionally, over 740 new EV charging points are under various stages of development, involving collaborations with EV fleet companies, government authorities, and other stakeholders.

Management Insights

Mr. Suresh P. Manglani, Executive Director and CEO of Adani Total Gas, expressed satisfaction with the quarter’s performance. He highlighted the company’s achievement of a 21% YoY EBITDA growth and the expansion of its EV charging infrastructure. Manglani noted the importance of the Jalandhar GA acquisition for future growth and reiterated the company’s commitment to sustainable energy solutions.

Financial and Operational Performance

Adani Total Gas’s performance in Q1 FY25 underscores its robust growth trajectory. CNG volume increased by 20% YoY, and PNG industrial volume saw an 11% rise due to optimized gas pricing and the addition of new connections. The company’s credit rating was upgraded to “ICRA AA” Stable from “ICRA AA-“.

ESG Highlights

The company made significant strides in environmental, social, and governance (ESG) initiatives. Four sites now feature rainwater harvesting systems, with a goal to achieve water neutrality by 2030. Additionally, Adani Total Gas installed 34 KW of new solar capacity, bringing its total to 934 KW. The fleet of 520 light commercial vehicles is 100% CNG-powered, and the company is finalizing a zero-waste-to-landfill certification for five sites.