Adani Total Gas reports flat profit of Rs 160 crore in Q2, forms two new SPVs

Adani Total Gas Ltd on Thursday reported a net profit of Rs 160.08 crore in the September quarter of 2022-23, flat from a year ago despite a sharp increase in revenue due to high natural gas prices.

The company’s net profit in the quarter a year ago was Rs 158.12 crore.

Revenue was up 71% to Rs 1,200.43 crore during the second quarter, up from Rs 701.83 crore in the same period last year.


“The CGD (city gas distribution) industry continues to face a challenging scenario with significantly higher input gas prices mainly due to geopolitical factors as well as supply shortages across the globe,” said CEO Suresh P Manglani in a press release.

Compressed Natural Gas (CNG) volume has increased by 405 year-on-year on account of an increase in consumption along with network expansion of CNG stations, the company said in the press release.

The company's scrip ended at Rs 3655.05 a piece, up 0.52% on the BSE Thursday.

It said the cost of gas increased by 170% majorly on account of the replacement of Administered Price Mechanism (APM) price with Usage-Based Pricing (UBP) price for CNG and Domestic Piped Natural Gas (PNG) segment along with an increase in R-LNG price which is procured for the industrial and commercial segment.

The company said it has incorporated two new Special Private Vehicles (SPVs) namely, Adani TotalEnergies E-mobility Ltd (ATEEL) and Adani TotalEnergies Biomass Ltd (ATEBL), as 100% wholly-owned subsidiaries of ATGL, in a bid to expand beyond traditional forms of fuel.

Adani TotalEnergies Biomass will be in the business of developing and operating bio-conversion plants. It will produce Compressed Bio-Gas (CBG) and supplemental products including organic manure and fertiliser.