Gujarat Gas Limited Q3 FY26 Concall Decoded: Volumes hit record highs, margins played musical chairs, and industrial gas quietly sulked in the corner.

1. Opening Hook

Just when everyone thought city gas was a boring utility story, Gujarat Gas decided to drop a plot twist. While equity markets were busy debating interest rates, crude prices, and who blinked first at Davos, GGL quietly pushed CNG volumes to an all-time high. Industrial PNG, meanwhile, chose the exact opposite mood—declining politely, without drama, but with consequences.

Management sounded confident, balance sheet flexed its zero-debt muscles, and the merger timetable marched on like a government file that finally got all signatures. Growth is visible, execution looks steady, and the future seems… structured.

But don’t relax yet. Beneath the headline volumes and AAA ratings lie margin math, sourcing risks, and one very ambitious restructuring plan.

Read on—this concall starts calm, gets confident, and then quietly raises the stakes.

2. At a Glance

Revenue down QoQ: Volumes smiled, realizations didn’t—PNG industrial had other plans.
EBITDA up 14% YoY: Cost discipline showed up, even if revenue didn’t RSVP.
PAT up 20% YoY: When leverage is zero, operating discipline does the heavy lifting.
CNG volumes at record 3.45 mmscmd: Petrol prices blinked, CNG laughed.
Industrial PNG fell: Tiles, chemicals, and demand cycles still need therapy.

3. Management’s Key Commentary

“We achieved the highest-ever CNG volumes in Q3 FY26.”
(Translation: When fuel prices wobble, CNG becomes everyone’s best friend.) 😏

“CNG growth is driven by sustained infrastructure investments.”
(Translation: Stations don’t

build themselves, and this capex finally paid off.)

“FDODO model will accelerate future growth.”
(Translation: Asset-light is the new muscle.)

“EBITDA grew 14% YoY despite revenue moderation.”
(Translation: Costs behaved better than customers.)

“PAT increased by 20% YoY.”
(Translation: Zero debt is a beautiful thing.)

“The scheme of amalgamation received shareholder approval with a thumping majority.”
(Translation: Everyone said yes, now regulators just need to nod.)

“We continue to maintain AAA / A1+ credit ratings.”
(Translation: Lenders sleep peacefully.) 😌

4. Numbers Decoded

Metric                     Q3 FY25     Q2 FY26     Q3 FY26
----------------------------------------------------------
Total Volume (mmscmd)        9.47        8.65        8.37
CNG Volume                   3.12        3.32        3.45
PNG Industrial               5.45        4.35        3.93
Revenue (₹ Cr)               4,333       3,979       3,865
EBITDA (₹ Cr)                 439         520         502
PAT (₹ Cr)                    222         281         266

Volumes declined sequentially, but mix improved.
CNG is now doing the emotional heavy lifting.
Industrial PNG remains the soft underbelly.

5. Analyst Questions

Q: Why did industrial volumes decline?

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