Mahanagar Gas Limited — PPTs, 06-06-2025: Investor Presentation

**Financial Highlights:**

Mahanagar Gas Limited reported FY25 net revenue of ₹6,924 Cr, up from ₹6,245 Cr in FY24. EBITDA was ₹1,510 Cr with a margin of 21.8%, down from 29.5% due to higher gas costs and operating expenses. PAT came in at ₹1,045 Cr versus ₹1,289 Cr last year. Sales volumes rose to 4.05 MMSCMD from 3.61 MMSCMD, driven by growth in CNG and PNG segments. ROE remains healthy at 18.9%. The balance sheet is strong with equity of ₹5,889 Cr, zero debt, and ₹134 Cr cash and equivalents, indicating solid financial flexibility.

**Strategic Initiatives & Growth Drivers:**

MGL is expanding infrastructure with 180 km steel pipeline additions and 250 new/upgraded CNG stations planned over five years. Focus remains on increasing customer penetration, especially incentivizing CNG use in commercial vehicles, supported by digital tools to improve customer experience and speed project delivery. Gas sourcing strategies emphasize diversified contracts and market-linked pricing to optimize margins. The company is exploring diversification into EVs, biogas, LNG, and hydrogen to complement its natural gas portfolio.

**Business Developments:**

The acquisition of Unison Enviro Pvt Ltd integrates its CGD network for operational synergies. Mahanagar LNG Pvt Ltd commissioned an LNG station in Aurangabad and began sales. Strategic stakes were taken in 3EV Industries (~30%) for electric 3-wheelers and 44% in International Battery Company India for Li-ion batteries. A JV targets developing Asia’s largest municipal solid waste-based compressed biogas plant in Mumbai, supporting sustainable fuel supply and import reduction.

**Market Position & Competitive Advantage:**

MGL is among India’s top CGD players with 28.3 lakh PNG households, 11.13 lakh CNG vehicles, and 385 CNG stations. Over 30 years of infrastructure growth and a diversified gas supply portfolio provide scale and operational strength. Experienced management and board enhance governance and risk management, supporting stable execution.

**Investor Implications:**

MGL’s infrastructure expansion and volume growth support positive medium-term growth potential. Its moves into EVs and clean energy enhance sustainability resilience. Margin pressure from gas pricing and regulatory factors remains a risk to watch. A strong net cash position and equity base offer capacity for strategic investments without financial strain, making MGL a stable growth story with expanding energy footprint.