MGL

** Shares of Indraprastha Gas IGAS.NS up 4% at 185.70 rupees
** City gas distributor on Sunday reported 9% fall in Q4 profit from a year ago, hurt by one-off expenses of 1.14 billion rupees
** Co on Monday told CNBC-TV18 it is looking at medium-term margins of 7-8 rupees on possible price hikes, despite a fall to 4 rupees this quarter
** City gas distributors such as IGAS have suffered margin erosion due to lower allocation of subsidized gas from government, buying gas at spot markets at higher rates
* IGAS down 14% YTD, while rivals Adani Total Gas ADAG.NS is down 18% and Mahanagar Gas MGAS.NS up ~ 4% YTD

(Reporting by Sethuraman NR in Bengaluru)

(([email protected]; (+91 9945291420); Reuters Messaging: [email protected] ))

April 18 (Reuters) - India on Friday said it has introduced enhancements to the domestic gas allocation policy with an aim to strengthen the framework for sustained availability and affordability of natural gas.

Under these new directions, from the first quarter of fiscal 2026, domestic natural gas allocations for compressed natural gas (CNG) and piped natural gas (PNG) segments will be done on a two-quarter advance basis, the government said in a statement.

Allocation will also now include new well gas (NWG) from nomination fields of the two state explorers, Oil and Natural Gas Corporation ONGC.NS and Oil India OILI.NS with auction-based allocation for new well gas being replaced with a quarterly pro-rata allocation, to ensure timely and reliable supply, the statement added.

With both administered pricing mechanism gas (APM) and new well gas prices linked to Indian crude basket prices, which are calculated monthly, the government sees the allocation of domestic gas to make natural gas more affordable for CNG and PNG consumers after recent decline in crude prices.

The allocation of natural gas sold under government-set APM has fallen over the years because of lower output at domestic wells. This has led to India's city gas distribution companies like Mahanagar Gas MGAS.NS, Indraprastha Gas IGAS.NS, Gujarat Gas GGAS.NS seeing their margins squeezed in last few quarters.

These policy measures come at a time when the government has cut APM gas allocation to city gas distribution companies by 18%-20%, effective April 16.

(Reporting by Ashish Chandra in Bengaluru, Editing by Franklin Paul)

(([email protected]; +91 7982114624;))

Updates

** Shares of Mahanagar Gas MGAS.NS, Indraprastha Gas IGAS.NS, Gujarat Gas GGAS.NS down 4.4%, 2% and 0.5%, respectively

** Government cuts administered price mechanism (APM) gas allocation to city gas distributors, effective April 16

** Antique Stock Broking says estimated de-allocation at about 3 mmscmd vs market expectations of about 0.8 mmscmd to 1 mmscmd

** Adds, assuming APM fully meets domestic PNG needs, CNG allocation drops to 38% for IGAS/MGAS (from 50%–51%) and to 34% for GGAS (from 48%)

** Estimates CNG gross margin hit of 0.9 to 1 rupees/scm, along with varying EBITDA impacts

** Jefferies says, for MGAS, APM gas allocation cut translates to a 26% drop in CNG volume which is sharper then its estimate of 20% reduction in APM availability for CNG in FY26

** See sharp compression in return on capital employed for MGAS to 13% over FY26-27 vs 22% over FY23-25 - Jefferies

** YTD, IGAS down 15.8%, MGAS down 2.7%, GGAS down 13.9%

(Reporting by Ashish Chandra in Bengaluru)

(([email protected] (+91 7982114624))

April 15 (Reuters) - Mahanagar Gas Ltd MGAS.NS:

• APM GAS ALLOCATION TO MAHANAGAR GAS REDUCED BY 18% EFFECTIVE APRIL 16

• REDUCTION OF APM VOLUME REPLACED WITH NEW WELL GAS

• REDUCTION IN APM GAS ALLOCATION TO ADVERSELY IMPACT PROFITABILITY

Source text: ID:nBSE3gv3xN

Further company coverage: MGAS.NS

(([email protected];;))

** Shares of city gas distributor Mahanagar Gas MGAS.NS rise as much as 4.2% to 1,388.90 rupees, highest since November 12

** Axis Capital initiates coverage with "buy" rating, TP of 1,580 rupees - 18.6% higher than Wednesday's close

** MGAS has increased its capex in FY25 to 10.5 bln rupees ($121.6 mln) and has guided annual capex at 10 bln-11 bln rupees in coming years - Axis

** Brokerage expects 10% CAGR in co's volumes over FY25-27, which should drive a 10.4% CAGR in PAT; calls Mahanagar Gas its preferred pick in the sector

** Avg rating of 28 analysts equivalent of "buy", median PT is 1,461 rupees - LSEG data

** Stock up 6.7% YTD

($1 = 86.3570 Indian rupees)

(Reporting by Ashish Chandra in Bengaluru)

(([email protected] (+91 7982114624))

** Shares of Indraprastha Gas IGAS.NS rise 4.7% to 203 rupees

** Analysts at Jefferies say stock's risk-reward is "favourable;" maintains "buy" rating and PT of 252 rupees

** Expect near-term price hike, which should restore confidence in margin outlook, supported by steady volume growth and controlled feedstock costs, the analysts say

** Weakening Indian rupee will hurt Q4, but lower feedstock cost will compensate, they add

** Expect 9% EPS growth over FY25-27- Jefferies

** Analysts' avg rating on stock "hold", same as rival Hindustan Petroleum Corp Ltd HPCL.NS, while Mahanagar Gas MGAS.NS rated "buy" on avg - LSEG data

** Stock gained ~10% so far this week

(Reporting by Ashna Teresa Britto in Bengaluru)

(([email protected] ; ( +91 8078332441))

Jan 28 (Reuters) - Mahanagar Gas Ltd MGAS.NS:

• Q3 PAT 2.25 BILLION RUPEES

• Q3 REVENUE FROM OPERATIONS 19.29 BILLION RUPEES

Source text: [ID:]

Further company coverage: MGAS.NS

(([email protected];;))

** Shares of city gas distributor Mahanagar Gas MGAS.NS rise as much as 5.7% to 1,297.60 rupees

** Morgan Stanley initiates coverage of stock with "overweight" rating, PT of 1,606 rupees - ~31% higher than Monday's close

** Morgan Stanley expects MGAS' market cap to more than double as CNG takes further market share in and around Mumbai

** MGAS operates in Mumbai and neighbouring Thane and Raigad districts of Maharashtra state and as of Sept. 30, Mumbai and Thane accounted for 99.2% of co's CNG vehicle customers

** Avg rating of 30 analysts on the stock equivalent of "hold", median PT is 1,375 rupees - data compiled by LSEG

(Reporting by Ashish Chandra in Bengaluru)

(([email protected] (+91 7982114624))

Jan 9 (Reuters) - Mahanagar Gas Ltd MGAS.NS:

• DOMESTIC GAS ALLOCATION TO MGL INCREASED BY 26% EFFECTIVE JAN 16, 2025

Source text: ID:nBSE2JV2mW

Further company coverage: MGAS.NS

(([email protected];;))

** India's benchmark indexes NSE Nifty 50 .NSEI and BSE Sensex .BSESN rise ~0.2% each

** Nine of 13 major sectors advance; auto .NIFTYAUTO gains ~0.8%, set to snap six-session losing streak

** Tata Motors TAMO.NS advances 2% to top Nifty 50 gainers

** Oil and gas index .NIFOILGAS adds 0.9%; city gas distributors Mahanagar Gas MGAS.NS and Indraprastha Gas IGAS.MS rise ~3% on reports that oil ministry has re-submitted a proposal to halve excise duty on CNG to 7%

** Broader, more domestically-focussed smallcaps .NIFSMCP100 and midcaps .NIFMDCP100 gain 0.4% and 0.2%, respectively

** Analysts expect Indian markets to see marginal moves between now and early January ahead of corporate earnings, due to lack of major triggers

** Among individual stocks, drugmaker Biocon BION.NS gains 4% on European Union nod for generic diabetes, weight-loss medication

** Consumer durables firm Amber Enterprises AMBE.NS jumps 7.5% to record high on report of potential demerger of its electronics division

(Reporting by Bharath Rajeswaran in Bengaluru)

(([email protected]; +91 9769003463;))

** Shares of Indraprastha Gas IGAS.NS, Mahanagar Gas MGAS.NS, Adani Total Gas ADAG.NS and Gujarat Gas GGAS.NS fall after Indian government cuts allocation of lower-priced domestic gas by 18%-20% for city gas distributors

** Reduction in gas allocation the second time during qtr; comes after ~20% cut in mid-October

** IGAS's ~19% slump the biggest, trailed by MGAS's 13%; ADAG and GGAS drop 6% and 3%, respectively

** Pricing decision by the companies and impact of government's action will be key focus over coming months, says CLSA

** Revised domestic gas allocation will have an adverse impact on profitability of co, IGAS said

** Jefferies downgrades MGAS, IGAS to "underperform" from "buy" and "hold", respectively, citing potential sharp reduction in profit margin

** All cos log YTD losses with IGAS's 21% YTD decline the biggest

(Reporting by Kashish Tandon in Bengaluru)

(([email protected]))

Nov 7 (Reuters) - Mahanagar Gas Ltd MGAS.NS:

• MAHANAGAR GAS - ENTERED AGREEMENT WITH INTERNATIONAL BATTERY CO, INTERNATIONAL BATTERY CO INDIA

• MAHANAGAR GAS - CO WILL HOLD NOT LESS THAN 40% OF IBC INDIA, PER DEAL

• MAHANAGAR GAS - VENTURES INTO CELL MANUFACTURING

• MAHANAGAR GAS - SUM OF 2.3 BILLION RUPEES WILL BE INVESTED BY CO IN IBC INDIA

Source text: ID:nNSE99kD8n

Further company coverage: MGAS.NS

(([email protected];))

** Shares of Mahanagar Gas MGAS.NS fall as much as 4.4% to 1,475.65 rupees, hitting lowest level since June 24

** The city-gas distributor reports 16.5% Y/Y fall in Q2 profit

** While rev from ops rose 8.6%, it was outdone by an 18% jump in expenses due to higher natural gas costs

** Avg rating of 29 analysts equivalent of "hold", median PT is 1,934.50 rupees - LSEG data

** Stock last down 2.7%, cutting YTD gains to 25.3%

(Reporting by Ashish Chandra in Bengaluru)

(([email protected] (+91 7982114624))

Oct 24 (Reuters) - Mahanagar Gas Ltd MGAS.NS:

• Q2 PAT 2.83 BILLION RUPEES

• Q2 REVENUE FROM OPERATIONS 18.77 BILLION RUPEES

Source text for Eikon: [ID:]

Further company coverage: MGAS.NS

(([email protected];;))

Updates

** Shares of Indraprastha Gas IGAS.NS down 10.6% at 450.85 rupees, Mahanagar Gas MGAS.NS falls 12.2% to 1,547.50 rupees

** IGAS says there has been around 21% reduction in domestic gas allocation to co, effective Oct. 16, which will have an adverse impact on its profitability

** MGAS says allocation to co for compressed natural gas (transport) has been reduced by around 20%, which will impact profitability

** IGAS and MGAS among top pct losers in NIFTY 500 Index .NIFTY500

** Relative strength index of IGAS and MGAS falls to 21 and 25, respectively, suggesting these stocks might be oversold

** Day's losses trim IGAS' YTD gains to around 8% and MGAS' YTD gains to around 29%; NIFTY500 up around 20% YTD

(Reporting by Vijay Malkar)

(([email protected];))

Oct 17 (Reuters) - Mahanagar Gas Ltd MGAS.NS:

• MAHANAGAR GAS - ALLOCATION TO CO FOR CNG REDUCED BY ABOUT 20%, EFFECTIVE OCT 16

• MAHANAGAR GAS - CNG ALLOCATION REDUCTION WILL HAVE ADVERSE IMPACT ON PROFITABILITY OF CO

• MAHANAGAR GAS - EXPLORING OPTIONS OF SOURCING GAS VIA DOMESTICALLY PRODUCED HPHT, NWG

Source text for Eikon: ID:nnAPN2APKGM

Further company coverage: MGAS.NS

(([email protected];))

** Shares of Adani Total Gas Ltd ADAG.NS up 5.6% at 833 rupees

** The city gas distributor said it secured $375 mln financing from global lenders to expand network

** ADAG trims YTD losses to 16%, while rivals including Gujarat Gas GGAS.NS and Mahanagar Gas MGAS.NS are up between 28% and 58% this year

(Reporting by Nandan Mandayam in Bengaluru)

(([email protected]; Mobile: +91 9591011727;))

** Mahanagar Gas MGAS.NS jumps 6.1% to a record high of 1,932.3 rupees, set for best day since late-June

** UBS sets Street-high PT of 2,400 rupees, retains "buy"

** PT, at ~32% premium on last close, factors in higher earnings expectations

** UBS says MGAS posted 12.6% y/y vol growth in H1CY24 and the elevated growth trajectory could sustain in coming quarters

** Adds acquired areas of unit Unison Enviro (UEPL) will also drive growth

** Expects higher volume CAGR over FY24-27 on accelerated CNG station network expansions, higher CNG vehicle additions

** Stock's avg rating is "buy"; median PT is 1,934.5 rupees - LSEG

** Around 2.9 mln shares traded, 6.5x the 30-day avg

** MGAS up ~61% YTD

(Reporting by Manvi Pant in Bengaluru)

(([email protected]; +918447554364;))

** Shares of Mahanagar Gas MGAS.NS climb ~3% to 1,797.30 rupees

** City gas distributor reported 23% drop in Q1 consol net profit but Jefferies analysts say MGAS' volume growth "superior" compared to peers such as Indraprastha Gas IGAS.NS

** Says operating profit was ahead of its estimates, due to lower gas costs and rise in overall volumes

** Jefferies maintains "buy"; raises PT to 1,990 rupees, a Street-high per LSEG, from 1,600 rupees, citing valuation discount to IGAS

** Brokerage, however, flags margin pressure due to fall in administered price mechanism, which is the gas price set by the government

** Avg rating on MGAS at "buy", while IGAS rated "hold" - LSEG data

** MGAS up ~50% YTD vs IGAS' ~28% climb

(Reporting by Kashish Tandon in Bengaluru)

(([email protected]))

July 25 (Reuters) - Mahanagar Gas Ltd MGAS.NS:

• MAHANAGAR GAS JUNE-QUARTER PAT 2.85 BILLION RUPEES

• MAHANAGAR GAS JUNE-QUARTER REVENUE FROM OPERATIONS 17.45 BILLION RUPEES

Source text for Eikon: ID:nBSE2cHLLK

Further company coverage: MGAS.NS

(([email protected];))

** Shares of most city gas distributors rise after local media reported after Tuesday's close that India government in budget is likely to reduce central excise duty on compressed natural gas to 5%-7% from 14%

** Indraprastha Gas IGAS.NS and Mahangar Gas MGAS.NS up 1.5% and 2.5%, respectively

** On the day, broader markets down 0.7% .BO; Gujarat Gas GGAS.NS unchanged

** YTD, GGAS, IGAS, MGAS have risen between 27% and 42%

(Reporting by Hritam Mukherjee in Bengaluru)

(([email protected];))

** Shares of Mahanagar Gas Ltd MGAS.NS up 3.4% at 1,427.95 rupees

** Multiple analysts maintain their "buy" call on city gas distributor as they see scope for higher volume growth on retail outlets expansion, rise in CNG vehicle sales

** Jefferies ("buy"; PT: 1,600 rupees) sees MGAS' CNG volumes rising 7% in FY25, says aggressive retail outlet expansion could result in faster volume growth "in near to medium term"

** Emkay ("buy"; PT: 1,680 rupees) believes MGAS' volume expansion could hurt margins, but would remain ahead of rivals thanks to operating efficiencies, high population density in areas where co operates

** Motilal Oswal ("buy"; PT: 1,565 rupees) prefers MGAS over costlier rival Indraprastha Gas IGAS.NS as both stocks offer similar growth profile in the medium-term

** Twenty-nine analysts tracking MGAS rate it "buy" on avg; median PT is 1,535.50 rupees - LSEG data

** MGAS up 18.3% in 2024 so far vs 12.6% rise in IGAS

(Reporting by Nandan Mandayam in Bengaluru)

(([email protected]; Mobile: +91 9591011727;))

** Shares of gas distributor Mahanagar Gas MGAS.NS up 3%

** Brokerages Jefferies and HDFC Securities remain bullish on stock after 20% price correction following recent fuel price cut

** HDFC says price correction is overdone, sees good opportunity for investors

** Expects strong growth momentum to sustain on volume-growth expansion as data suggests strong trend in new CNG vehicle registrations

** Jefferies says recent price correction presents favourable risk rewards

** Sees ~11% volume growth in FY25 from co's acquisition of smaller peer Unison Enviro

** Both maintain "Buy" on stock, with revised PTs 2.7% and 2.3%, respectively, higher than the Street's median PT - LSEG

** Analysts' avg rating on co is equivalent of "Buy;" peer Indraprastha Gas IGAS.NS also rated "Buy", while GAIL (India) GAIL.NS is rated "Hold"

(Reporting by Manvi Pant)

(([email protected]; +918447554364;))

** Shares of Gujarat State Petronet GSPT.NS up 1.7% at 344.70 rupees, after rising as much as 3%

** Around 2 mln shares traded in five separate block deals in the range of 341.20-345 rupees - LSEG data

** Trading vol 1.6x the 30-day daily avg

** Avg rating of 22 analysts is equivalent of "buy," median PT is 395 rupees - LSEG data

** Peers Indraprastha Gas IGAS.NS and Mahanagar Gas MGAS.NS too have "buy" rating, while Gujarat Gas GGAS.NS is rated "hold" - LSEG data

** Stock up ~12% YTD vs ~1% rise in Nifty 500 index .NIFTY500

(Reporting by Ashish Chandra)

(([email protected] (+91 7982114624))

** Shares of Mahanagar Gas Ltd MGAS.NS down 13.4% at 1,356.55 rupees, set for worst day in 4 years

** Citi downgrades city gas distributor (CGD) to "sell" from "buy", cuts PT to 1,405 rupees from 1,480 rupees

** Says stock will be hit most vs peers from possible pressure to regulate prices

** Oil Minister Hardeep Singh Puri, per ET, on Monday said will ensure CGDs fully implement natural gas price cap for home cooking, vehicles

** Brokerage believes this will create "a potential overhang on sustainability of high margins for CGDs"

** Higher EBITDA margin vs peers Indraprastha Gas IGAS.NS and Gujarat Gas GGAS.NS makes MGAS "more susceptible to any regulatory pressure" - Citi

** Around 2.4 mln shares traded, 4.9x 30-day avg volume

** MGAS rated "buy" on avg while IGAS, GGAS rated "hold" - LSEG data

** Stock trims YTD gains to 11.3%

(Reporting by Nandan Mandayam in Bengaluru)

(([email protected]; Mobile: +91 9591011727;))

Updates levels, adds commentary by CLSA analysts in bullet 5

** Shares of Gujarat Gas Ltd GGAS.NS down 6% at 545.9 rupees

** At least three analysts downgrade city gas distributor after quarterly results

** Nomura downgrades to "Reduce" from "Neutral"; highlights weak volume outlook for key clients in Morbi industrial cluster and expensive valuation vs peers

** GGAS has 12-mth forward P/E of 27.2 vs Indraprastha Gas' IGAS.NS 15.2 and Mahanagar Gas' MGAS.NS 13.1

** CLSA keeps "Sell," says GGAS' current P/E "unsustainable"; brokerage values it at 10% premium to IGAS due to co's volume growth leadership

** Stock's current price "factors in all potential upsides and offers no margin of safety" - Nomura

** Emkay downgrades to "Sell" from "Reduce" while flagging "volatile margin profile"

** Eight analysts rate stock "Strong Sell" the most in at least a year - LSEG data

** Including session's moves, stock trims YTD gains to 18%

(Reporting by Nandan Mandayam in Bengaluru)

(([email protected]; Mobile: +91 9591011727;))

By Sethuraman N R

QUITOL, India, Feb 6 (Reuters) - India's city gas distributor Mahanagar Gas said it will consider hiking gas prices for customers if a shortfall in subsidised supply persists, a company executive said.

Companies including Indraprastha Gas IGAS.NS, Gujarat Gas GGAS.NS, Mahanagar Gas MGAS.NS have seen their margins squeezed because the allocation of natural gas sold under government-set Administered Pricing Mechanism (APM) has fallen because of lower output at domestic wells. To make up the shortfall, the companies have to buy gas on the more expensive open market.

APM allocations are expected to further decline as explorer Oil and Natural Gas Corp ONGC.NS slashed its peak output from the KG-D6 basin in January.

"In December, we have seen some disruptions in APM gas allocations and eventually as the gas demand increases, the allocations will come down," said Ashu Shinghal, managing director of Mahanagar Gas.

"Right now we are absorbing costs, if APM allocations go down further we will take a call on price hikes," Shinghal said.

Shinghal expects the company's gas demand to rise by 6% to 7% from a year ago in the fiscal year 2025.

Demand from the industrial, commercial sector has been good and Asian liquefied natural gas prices are expected to be stable, Shinghal added.

(Writing by Mohi Narayan; Editing by Christian Schmollinger)

(([email protected]; https://twitter.com/_mohi_;))

** Shares of India's Indraprastha Gas IGAS.NS down 6.7%, biggest intraday pct loss since Oct. 20, 2023

** Stock set to lose for the fourth consecutive session

** City gas distributor reported sales volumes below its estimates, says brokerage Prabhudas Lilladher (PL)

** Sales vols up 4% at 8.5 mln metric standard cubic meter per day (mmscmd), but fell short of estimated 8.8 mmscmd - PL

** PL also adds core profit/standard cubic meter (scm) at 7.2 rupees/scm, lower than expected 8.4/scm

** About 7 mln shares changed hands by 3:11 pm IST, 3x 30-day avg

** Avg rating on IGAS and its peer Mahanagar Gas MGAS.NS "buy" vs "hold" on Gujarat Gas GGAS.ns - LSEG data

** IGAS has lost ~3% so far this year vs GGAS's 19% climb and MGAS's 14% rise

(Reporting by Hritam Mukherjee in Bengaluru)

(([email protected];))

** Shares of Mahanagar Gas MGAS.NS up ~1.1% after Q3 results, paring gains of 3% earlier in session

** The city gas distributor on Tuesday reported 84.3% Y/Y rise in profit after tax

** Rev from ops declined 6.2%, while expenses fell 18%

** Co declared a dividend of 12 rupees/shr

** Stock above 50-day, 100-day and 200-day moving averages since Dec 2023

** Avg rating of 27 analysts equivalent of "buy", median PT is 1,289.50 rupees - LSEG data

** Stock rose 16.7% in Q3 FY24 and over 43% in CY24

(Reporting by Ashish Chandra in Bengaluru)

(([email protected] (+91 7982114624))

Jan 23 (Reuters) - Mahanagar Gas Ltd MGAS.NS:

• INTERIM DIVIDEND OF 12 RUPEES PER SHARE

• MAHANAGAR GAS DEC-QUARTER PAT 3.17 BILLION RUPEES VERSUS 1.72 BILLION RUPEES

• MAHANAGAR GAS DEC-QUARTER REVENUE FROM OPERATIONS 17.24 BILLION RUPEES VERSUS 18.38 BILLION RUPEES

Source text for Eikon: ID:nBSE7N0cwH

Further company coverage: MGAS.NS

(([email protected];))