Mahanagar Gas Limited Q2 Revenue Rises 23% to Rs 2,777 Crore; Net Profit Falls 29% – Indian PSU
Mahanagar Gas Limited (MGL) reported revenue from operations of Rs 2,776.74 crore in the second quarter of FY27, registering a year-on-year increase of around 23% from Rs 2,255.29 crore in the corresponding quarter last year. However, the city gas distribution company’s net profit declined to Rs 137.03 crore from Rs 193.37 crore, reflecting continued pressure on profitability.
The company’s financial results for the quarter ended September 30, 2026, were approved by its Board of Directors on November 3, 2026.
Profitability Under Pressure
Mahanagar Gas recorded a standalone profit before tax of Rs 187.07 crore during the quarter. Earnings per share stood at Rs 13.87.
EBITDA before exceptional items was Rs 304.76 crore, compared with Rs 342.98 crore in the preceding quarter. The EBITDA margin declined to 12.01% from 14.48% in Q1 FY27, indicating pressure on operating profitability.
The company also recognised an exceptional impairment loss of Rs 17.33 crore on its investment in 3EV Industries Private Limited, further affecting its reported earnings.
Gas Sales Volumes Improve
Mahanagar Gas reported total sales volumes of 450.02 million standard cubic metres (SCM) during the September quarter, compared with 433.71 million SCM in the preceding quarter.
CNG volumes stood at 325.82 million SCM, while piped natural gas (PNG) volumes totalled 123.20 million SCM. The increase in overall volumes indicates continued demand across the company’s gas distribution business.
Half-Year Performance
For the six months ended September 30, 2026, Mahanagar Gas reported standalone revenue from operations of Rs 5,374.63 crore, against Rs 4,535.73 crore in the corresponding period of the previous financial year.
However, net profit for the first half of FY27 declined to Rs 330.73 crore from Rs 512.93 crore a year earlier. EBITDA before exceptional items also fell to Rs 647.73 crore from Rs 838.66 crore, highlighting the pressure on earnings despite revenue growth.
The September-quarter results present a mixed picture for Mahanagar Gas: higher revenue and sales volumes have not translated into stronger earnings, with operating margins and net profit remaining under pressure.
