Adani Total Gas Q1FY27 Results: ATGL Concludes Q1FY27 with Strong Volume and Revenue Growth

Adani Total Gas Limited (ATGL) posted a 27% year-on-year revenue rise in Q1 FY27, supported by an 18% jump in CNG volumes and network expansion. While overall volumes grew 13% to 496 MMSCM, higher gas costs compressed margins, with EBITDA and net profit easing. The firm emphasised disciplined expansion and a growing clean energy ecosystem.

Adani Total Gas Limited (ATGL), one of India's leading city gas distribution companies, reported strong operational and revenue growth for the first quarter of FY27, despite pressure from elevated gas prices and geopolitical uncertainties.

The company's revenue increased 27 per cent year-on-year to Rs 1,910 crore in Q1FY27, while combined CNG and PNG sales volumes rose 13 per cent to 303 million metric standard cubic metres (MMSCM).

The growth was supported by higher CNG volumes, network expansion and increasing consumer preference for cleaner fuels. CNG volumes grew 18 per cent year-on-year, while PNG volumes increased 4 per cent during the quarter.

ATGL continued to expand its city gas distribution infrastructure during the quarter. The company's CNG network increased to 707 stations after the addition of five new stations.

The number of domestic PNG connections also rose to 11.41 lakh households, with 38,243 new connections added during the quarter. The company also reported 10,422 industrial and commercial PNG connections. Its cumulative steel pipeline network reached around 15,987 inch-km.

Including its joint venture Indian Oil-Adani Gas Private Limited (IOAGPL), ATGL's pan-India footprint stood at 1,167 CNG stations. Combined CNG and PNG volumes rose 13 per cent year-on-year to 496 MMSCM, while PNG connections crossed 13.75 lakh households.

Higher Gas Costs Put Pressure On Profitability

Despite strong revenue and volume growth, profitability was impacted by a sharp rise in the cost of natural gas.

The company said the West Asia crisis and elevated crude prices pushed up Brent-linked gas costs across new well gas, regasified LNG (RLNG) and spot LNG. The increase in the APM gas price ceiling, along with currency depreciation, further raised gas procurement costs.

ATGL's natural gas cost increased 39 per cent year-on-year to Rs 1,454 crore in Q1FY27, compared with Rs 1,049 crore in the corresponding quarter of the previous year. EBITDA stood at Rs 281 crore, compared with Rs 301 crore a year earlier, while profit after tax declined 18 per cent to Rs 133 crore.

The company said it adopted a calibrated approach to manage higher gas costs while protecting volume growth. During the quarter, APM allocation for the CNG segment declined to around 30 per cent from 36 per cent in the previous quarter, with the balance requirement met through existing contracts and higher-priced spot procurement.

EV Charging Network Reaches 5,306 Points

ATGL's clean energy ecosystem also continued to expand. Its subsidiary, Adani TotalEnergies E-Mobility Limited (ATEL), increased its footprint to 5,306 installed EV charging points across 26 states and Union Territories and 226 cities. The installed charging capacity rose to approximately 58 MW.

Meanwhile, Adani TotalEnergies Biomass Limited sold 323 metric tonnes of compressed biogas (CBG) during the quarter through dedicated CBG stations and third-party channels. Its FOM business recorded sales of 5,533 tonnes, including 760 tonnes sold under the Harit Amrit brand, which registered eight-fold year-on-year growth.

CEO Highlights Focus On Sustainable Growth

Commenting on the results, Sanjay Pandita, CEO of ATGL, said the company delivered 13 per cent year-on-year volume growth and 27 per cent revenue growth in Q1FY27, supported by strong operational performance and rising consumer preference for cleaner fuels.

He noted that the operating environment remained challenging due to higher gas and crude prices, currency volatility and geopolitical developments affecting global energy supplies. The company, however, continued to focus on supply continuity, operational efficiency and protecting CNG and PNG consumers from undue risks.

ATGL said it remains focused on sustainable growth through disciplined network expansion, digital enablement and the development of its clean energy ecosystem spanning CNG, PNG and e-mobility.

ESG Ratings Improve

The company's ESG performance also showed improvement during the quarter. ATGL's CareEdge and CRISIL scores increased to 84 and 66, respectively, from 83 and 61. The company said the improved scores place it among the better-performing companies within its peer group.

The company said timely government interventions, including measures to facilitate continuous gas supply and regulatory relief, along with faster statutory approvals from state governments, also supported operations during the quarter.