Mahanagar Gas (MGL) Q4 14/15 earnings summary

Executive summary

• FY2014-15 operating revenue reached ₹2,095 crore, up 11% YoY; PAT was ₹301 crore versus ₹297 crore in FY2013-14.

• Average gas sales rose 5.3% to 2.38 MMSCM/day; growth was supported by expanded PNG and CNG connections and network investment.

• PNGRB authorization for Raigad added a new growth territory, with rollout obligations across 6,846 sq km and challenging terrain.

Financial highlights

• Net operating revenue was ₹2,095 crore versus ₹1,885 crore; total revenue was ₹2,135.6 crore versus ₹1,919.6 crore.

• PBIT was ₹530 crore versus ₹523 crore; PBT was ₹449 crore versus ₹442 crore; PAT was ₹301 crore versus ₹297 crore.

• Basic EPS was ₹33.69 versus ₹33.27; diluted EPS was ₹30.54 versus ₹30.15.

• Operating cash flow was ₹426.7 crore versus ₹397.6 crore; cash and cash equivalents ended at ₹15.7 crore versus ₹25.8 crore.

Outlook and guidance

• Over the next five years, priorities include deeper penetration in existing areas, more domestic connections and CNG stations, and timely Raigad network rollout.

• Further investment in CNG infrastructure was planned for FY2015-16 to address expected demand growth.

• Growth plans include bidding for additional PNGRB areas and exploring equity stakes in established CGD businesses.