Gujarat Gas (GUJGASLTD) Q4 24/25 earnings summary

Executive summary

• Announced a composite scheme of arrangement and amalgamation among GSPC Group companies, including demerger of the gas transmission business, to simplify structure, promote synergies, and unlock stakeholder value; regulatory approvals in progress, with completion expected by September-October 2025.

• Achieved record CNG volumes of 3.22 mmscmd in Q4 FY25, up 12% year-over-year, with aggressive infrastructure expansion and 828 stations.

• Operates in 27 geographical areas across six states and one union territory, with a pipeline network exceeding 42,600 km and over 2.26 million domestic customers.

• Maintained AAA Stable/A1+ credit ratings and a debt-free balance sheet with cash reserves of ~₹1,600 crore as of March 2025.

• Focused on ESG initiatives, including hydrogen blending, digitization, and significant reductions in coal and petrol combustion.

Financial highlights

• FY25 revenue from operations: ₹17,394.94 crore (standalone), up from ₹16,400.72 crore YoY; consolidated: ₹17,393.26 crore.

• FY25 EBITDA: ₹2,090 crore (up from ₹1,984 crore YoY); PAT: ₹1,146 crore (up from ₹1,143 crore YoY); Q4 FY25 revenue: ₹4,289 crore, EBITDA: ₹524 crore, PAT: ₹287 crore.

• Earnings per share (EPS) for FY25: ₹18.68 (reported), Rs. 16.64 (standalone), and Rs. 16.68 (consolidated).

• Board recommended a dividend of Rs. 5.82 per share (291% of face value), totaling Rs. 400.64 crore for FY25.

• FY25 CapEx: ₹1,634 crore; guidance for FY26: ~₹1,000 crore, focused on infrastructure expansion.

Outlook and guidance

• Maintains EBITDA margin guidance of 4.5-5.5 per SCM for FY26, citing cyclical changes and market volatility.

• CNG volume growth guidance at 12% for FY26, with continued double-digit growth expected and expansion via FDODO model.

• No major uptick expected in Morbi industrial volumes in the near term; volumes stable at 2.6-2.7 MMS CMD.

• Board recommended a dividend of Rs. 5.82 per share, aggregating to Rs. 400.64 crore for FY25.

• Composite scheme of amalgamation and arrangement involving multiple group companies was approved, subject to regulatory approvals.