Mahanagar Gas Limited has released the transcript of its Q2 FY27 earnings conference call held on November 04, 2026. The document details the company’s operational performance for the quarter and half-year ended September 30, 2026. Key highlights include discussions on sales volumes across various segments like CNG and DPNG, EBITDA figures, and forward-looking statements regarding future growth and market conditions. The transcript also addresses pricing strategies, supply sourcing, and capital expenditure plans.
Mahanagar Gas Limited Q2 FY27 Earnings Call Transcript Released
Mahanagar Gas Limited (MGL) has submitted the transcript of its Q2 FY27 earnings conference call. The call, which took place on November 04, 2026, provided an in-depth review of the company’s unaudited standalone and consolidated financial results, alongside its operational performance for the quarter and half-year ending September 30, 2026.
Key Operational Highlights and Financial Performance
During the quarter, MGL reported 70,501 DPNG conversions, bringing the cumulative total to 2.24 million. The company also expanded its pipeline network, laying 65 km of steel and PE pipeline, extending the total length to over 8,500 km. Additionally, 9 CNG stations were added, bringing the total to 528 stations. The customer base saw an increase of 248 industrial and commercial customers, reaching 6,409, and 29,524 CNG vehicles were added, with over 1.34 million registered in total.
Overall sales volumes saw an increase of 6.49% compared to the corresponding quarter of the previous year, moving from 4.59 MMSCMD to 4.89 MMSCMD. CNG sales volume increased by 9.14% to 3.55 MMSCMD. Domestic DPNG sales volume grew by 9.84% to 0.64 MMSCMD. EBITDA from operations for the quarter stood at INR287 crores, while H1 EBITDA was INR630 crores. Net profit after tax for the quarter was INR137 crores, and for H1 it was INR331 crores.
Market Outlook and Future Strategies
Management addressed concerns regarding the global LNG market, acknowledging ongoing West Asia conflicts and uncertainties impacting availability and prices. However, they emphasized that 100% of domestic PNG and DPNG requirements, and a major portion of CNG needs, are sourced from domestically produced natural gas, ensuring uninterrupted supply. Gas prices are expected to remain volatile in the near term but may decline as geopolitical tensions ease.
MGL is actively pursuing PNG Drive 3.0 to accelerate domestic PNG connections and improve infrastructure utilization. The company also touched upon its sourcing mix, noting that pure spot LNG represented about 4% of CNG volumes and 2.5% of overall company volumes for the quarter. The blended LNG price hovered between $22 to $23.
Discussions also covered the HPHT gas allocation policy, with the company expecting increased allocation from July onwards. Guidance for FY27 and FY28 EBITDA margins remains challenging to predict due to volatility, but the company is focused on managing costs and tying up term contracts. Capital expenditure plans are on track, with a guidance of INR1,500 to INR1,800 crores for the year.
The transcript also included a detailed Q&A session covering pricing strategies for industrial and commercial customers, volume growth guidance, and the company’s approach to operating expenses and capital funding. Management expressed confidence in maintaining profitability and sales volume growth, anticipating a bounce back in volumes once market conditions normalize.
Source: BSE
