MAM
Adani Total Gas’ financial resilience shines amid market pressures
Mumbai: In a dynamic energy sector, where demand and regulatory complexities shape the market landscape, Adani Total Gas Limited (ATGL) has once again demonstrated robust financial performance. The unaudited financial results for the quarter and half year ending 30 September 2024, present a strong case for the company’s operational resilience and adaptability. While the industry grapples with fluctuating input costs, ATGL continues to report steady growth, backed by its strategic expansions and prudent financial management.
ATGL’s consolidated revenue from operations for Q2 FY2025 reached Rs 1,318.37 crore, marking a notable increase from Rs 1,178.77 crore in the same quarter last year. This represents a solid 11.8 per cent year-on-year (YoY) growth, driven by rising urban demand for natural gas and the company’s ongoing geographical expansion. The first half (H1) of FY2025 closed at Rs 2,557.43 crore, reflecting a healthy 10.5 per cent rise compared to Rs 2,314.12 crore in H1 FY2024.
Complementing its operational revenues, the company accrued Rs 6.63 crore in other income during Q2, slightly lower than the Rs 9.21 crore recorded in Q2 FY2024, but sufficient to sustain its overall income growth. The company’s total income for H1 FY2025 stood at Rs 2,573.08 crore, showcasing consistent performance despite market volatility.
The cost of natural gas and traded items saw a significant uptick, reaching Rs 772.97 crore in Q2 FY2025, reflecting heightened input costs. This 11.7 per cent rise from last year’s Rs 691.61 crore is attributable to rising global commodity prices and supply chain pressures. Despite this, the company’s effective inventory management helped minimise losses, with inventories shrinking by Rs 1.24 crore in Q2.
Additionally, excise duty expenses grew by 19.9 per cent YoY to Rs 99.72 crore, a reflection of increased regulatory costs tied to higher production. Employee benefit expenses, however, were managed with precision, as the company reduced personnel-related costs to Rs 13.98 crore from Rs 16.62 crore in Q2 FY2024.
One standout metric was the reduction in finance costs, from Rs 27.28 crore in Q2 FY2024 to Rs 23.01 crore in the current quarter, highlighting improved debt servicing and lower interest outflows.
ATGL also recorded a profit before tax (PBT) of Rs 247.37 crore in Q2 FY2025, a modest 7.6 per cent increase compared to Rs 229.90 crore in the previous year’s corresponding quarter. The first half of the year concluded with PBT of Rs 479.10 crore, representing a 11.1 per cent growth YoY.
Net profit for Q2 stood at Rs 185.60 crore, up from Rs 172.68 crore in Q2 FY2024. This was primarily due to effective cost controls and improved revenue streams. In the first half, profits reached Rs 357.44 crore, a commendable 10.7 per cent rise from the Rs 322.90 crore achieved in H1 FY2024. Earnings per share (EPS) saw a corresponding increase to Rs 1.69 in Q2, slightly above last year’s Rs 1.57.
The company’s total comprehensive income for H1 FY2025 stood at Rs 359.03 crore, reflecting the net impact of operational profits and minor comprehensive income changes from defined benefit plan adjustments.
On the balance sheet front, ATGL reported total assets of Rs 6,842.45 crore as of 30 September 2024, a 3.8 per cent increase from Rs 6,591.86 crore as of 31 March 2024. The company’s equity also strengthened, rising to Rs 3,910.73 crore, up from Rs 3,580.32 crore. This increase was supported by retained earnings and capital appreciation, which are likely to enhance long-term shareholder value.
ATGL’s expansion into new geographical areas continues to be a key growth driver. The company’s acquisition of key assets in Ludhiana and Jalandhar, alongside its strategic ventures with Indian Oil-Adani Gas Private Limited, positions it well for future market leadership. Additionally, its diversification into biomass and e-mobility solutions underpins a forward-looking approach to energy transitions in India.
“ATGL has reported healthy operational and financial performance during the quarter. Our business is closely aligned with India’s energy transition goals which we are delivering by providing cleaner and greener energy solutions to all our consumers. We now reach over nine lakh consumers through our piped gas network supplying uninterrupted piped natural gas. We have commissioned our first LNG station for the transportation segment and are progressing towards covering key highway networks aiding India’s decarbonisation march. Following the recent reduction in APM gas allocation, which caters to auto CNG and home PNG consumers, we are closely monitoring the situation and given our diversified gas sourcing portfolio, we will ensure a calibrated pricing approach to balance the interest of our consumers” said ATGL, CEO & ED, Suresh P Manglani.
As the energy landscape evolves, ATGL’s commitment to maintaining operational efficiency, despite external challenges, will be pivotal. Investors and stakeholders can expect the company to maintain steady growth trajectories, driven by a balanced focus on expanding its market reach and optimising its financial strategies.
Brands
Sapphire Foods FY26 revenue rises to Rs 3,125 crore, posts loss
Q4 revenue at Rs 792 crore, FY26 loss at Rs 32 crore amid cost pressures.
MUMBAI: If growth is on the menu, profitability seems to have taken a brief detour. Sapphire Foods India reported a steady rise in topline for FY26, even as rising costs weighed on profitability. Revenue from operations grew to Rs 3,125 crore for the year ended March 31, 2026, up from Rs 2,882 crore in FY25. However, the company swung to a loss, reporting a net loss of Rs 32 crore for FY26, compared to a profit of Rs 17 crore in the previous year. Total income for the year stood at Rs 3,153 crore, while total expenses climbed to Rs 3,167 crore, reflecting pressure across key cost heads.
In the March quarter, revenue came in at Rs 792 crore, compared to Rs 711 crore in the same period last year. The company reported a quarterly net loss of Rs 13 crore, against a profit of Rs 2 crore a year earlier.
Cost pressures remained visible across operations. Material costs rose to Rs 995 crore for FY26, while employee expenses increased to Rs 428 crore. Other expenses, the largest component, stood at Rs 1,229 crore, underscoring the impact of store operations and expansion-related spends.
Depreciation and amortisation expenses also climbed to Rs 392 crore for the year, reflecting continued investments in store infrastructure and growth.
At the operating level, the company reported a loss before tax of Rs 37 crore for FY26, compared to a profit of Rs 23 crore in FY25. Exceptional items added Rs 24 crore to the cost burden during the year.
On the balance sheet, total assets rose to Rs 3,256 crore as of March 31, 2026, up from Rs 3,041 crore a year earlier, indicating ongoing expansion. Net worth stood at Rs 1,389 crore.
Despite profitability pressures, operating cash flow remained resilient at Rs 507 crore, highlighting underlying business strength and demand stability.
The numbers paint a familiar picture in the quick-service restaurant space, growth continues to be served hot, but margins are still finding their footing.
