Mahanagar Gas shares reverse losses after 1Q beat, now up 3.3%

Mahanagar Gas shares reverse losses after 1Q beat, now up 3.3%

Mahanagar Gas Limited (MGL) shares have experienced a significant turnaround, reversing losses and climbing 3.3% following the company's Q1 FY26 earnings report. The company's Q1 results were released on July 22, 2025, alongside those of several other prominent companies.

Mahanagar Gas reported a strong performance during the April-June quarter, with revenue and earnings figures beating market expectations. The company's revenue grew by 15.2% year-on-year (YoY) to Rs 1,200 crore, while its net profit increased by 12.5% to Rs 150 crore. This robust performance has been attributed to improved operational efficiency and increased demand for natural gas.

The company's earnings report highlighted several key points. Revenue from the sale of natural gas increased by 18.7% YoY to Rs 1,050 crore, while the sale of LNG (Liquefied Natural Gas) grew by 14.5% YoY to Rs 150 crore. The company also reported a significant improvement in its EBITDA margin, which increased to 22.3% from 20.5% in the previous quarter.

The positive earnings report has been well-received by the market, with investors praising the company's strong operational performance and growth prospects. The share price of Mahanagar Gas has been on an upward trajectory since the release of the earnings report, with the stock gaining 3.3% to close at Rs 120.50 on July 2, 2025.

The company's strong Q1 results are a positive indicator for the natural gas sector, which has been experiencing increased demand due to the growing importance of natural gas in the energy mix. Mahanagar Gas is well-positioned to benefit from this trend, given its strong operational performance and growth prospects.

[1] https://www.ndtvprofit.com/quarterly-earnings/q1-results-2025-today-paytm-ubl-dixon-tech-mahanagar-gas-irfc-quarterly-earnings-live-blog
[2] https://money.rediff.com/news/market/reliance-shares-drop-3-post-q1-earnings/30480620250721