Ahmedabad: Adani Total Gas reported a robust 18% increase in its third-quarter profit, primarily propelled by strong sales in compressed natural gas (CNG).
The company, involved in distributing piped gas to various Indian cities, disclosed that consolidated profit reached 1.77 billion rupees (almost $21 million) for the quarter ending on December 31, compared to 1.50 billion rupees the previous year.
Adani Total Gas has consistently reported higher quarterly profits since March 2023. The company, a part of the Adani group conglomerate, highlighted a 24% surge in the volume of CNG sales, attributed to the addition of 98 new stations nationwide.
City gas distributors previously faced challenges due to gas shortages linked to higher spot liquefied natural gas (LNG) prices and reduced domestic allocations. However, with spot prices easing in the current quarter, distributors were able to pass on the price cuts to consumers, ultimately contributing to increased volumes.
While Asian spot LNG prices have stabilised in 2023 compared to the record highs of 2022, they remain relatively elevated. Consolidated revenue from operations saw a 5% year-on-year increase, reaching 12.44 billion rupees.
Adani Group companies experienced a $150 billion decline in market value initially following a short seller's report, but they have since recovered some losses, now standing at approximately $47 billion.