ATGL Q4FY23 PAT up 20.74% at Rs97.9 crore on 45.3% growth in EBITDA yoy

Adani Total Gas reported 12.37% higher net revenues for the March 2023 quarter at Rs1,197 crore. The revenues were up 1% on a sequential basis. For FY23, the sales volumes were up 8% overall at 753 MMSCM. This included 28% growth in CNG sales and -13% fall in PNG sales. For the full year FY23, the revenue from operations were up 46% yoy while the cost of natural gas was up 62%; with the gap managed through operational efficiencies.

For the March quarter, the EBITDA was up 45.3% at Rs205 crore. Through the year, despite the sharp spike in the price of natural gas, the company has maintained a calibrated pricing policy and managed to remain profitable despite not  passing on the entire costs to the consumers. ATGL has debt equity ratio of just 0.47 and net debt to EBITDA of 1.11X.

Financial highlights for Mar-23 compared yoy and sequentially

The net margins have improved by 57 bps to 8.18% on a yoy basis, albeit they are lower on a sequential basis. In the last five years, the EBITDA of ATGL has grown by 19% CAGR while the PAT has grown by 25% CAGR. During this period of last 5 years, despite asset addition of Rs2,936 crore, the debt addition was only Rs1,062 crore. In FY23, ATGL added 1.24 lakh home gas connections taking the total PNG connections to 7.04 lakh home connections.