Ladies and gentlemen, good day and welcome to Indraprastha Gas Limited Q4 FY 2026 earnings conference call hosted by ICICI Securities Limited. As a reminder, all participant lines will be in the listen-only mode, and there'll be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then 0 on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Probal Sen from ICICI Securities. Thank you, and over to you, sir.
Thank you, Neeraj. Good afternoon, everyone. I would like to welcome everyone for making the time to attend this call, and would like to welcome the senior management who has made the time to do this post results call. The format will be pretty similar to what is normally done. We would invite the management for their opening remarks, and then we would have an interactive Q&A session. We have with the senior members of the management of IGL, including Mr. Kamal Kishore Chatiwal, the MD, Mr. Mohit Bhatia, the Director Commercial, Mr. Sanjay Kumar, the CFO, and Mr. Manjeet Singh, the VP Finance. Without further ado, I would like to hand over to the management for their opening remarks. Sir, over to you.
A very good afternoon to all of you. I'm Kamal Kishore Chatiwal, Managing Director, Indraprastha Gas Limited. On behalf of the management, I take pleasure to welcome you all for our earnings call on the financial results of FY 2025, 2026. We appreciate your continued trust and supportive partnership of our company. We thank you for taking the time to join us today. With the geopolitical volatility in West Asia, CGD industry has faced challenges in gas sourcing due to volatility in the gas supply and pricing. The company has demonstrated resilience through disciplined execution and clear focus on our long-term strategic priorities and strengthen of our operating model. Before heading to the Q&A rounds, I wish to highlight the key performance results for FY 2025, 2026 based on the results declared yesterday evening.
We have achieved the average sales volume during the current year at 9.39 MMSCMD as against 8.99 MMSCMD in previous financial year and a substantial increase of 10% in CNG sales volume in kg terms with the declining sales from DTC and DIMTS excluded. DTC sales volume have reached to 3,000 kg per day in the last quarter and is expected to be nil incoming quarter. We have achieved sales volume increase of 17% in our new GAs. There is an 8% increase in gross turnover since the previous year at INR 17,785 crores as against INR 16,340 crores in the previous year.
We have earned healthy EBITDA of INR 1,850 crores during current year, though a decline of 6% over previous year and a PAT of INR 1,364 crores, down by INR 103 crores as compared to the last year due to one-time impact of reversal of OMC margin of INR 114 crores in the previous year. Despite the increasing gas price amid international crisis, with the activation of force majeure clause by our suppliers, we are able to maintain EBITDA in the current year.
With the national PNG Drive 2.0 to accelerate clean energy transition and natural gas adoption requiring surrender of LPG connections wherein PNG pipeline connectivity is available, we are expecting substantial increase of 3-4 lakh billed customer per year as against the usual 2-2.5 lakh that we are doing and a growth of 20% in domestic sales volume in upcoming years. We are quite hopeful that with the gas sourcing arrangement in place, increasing pipeline infrastructure with planned CapEx of INR 1,400-1,500 crores in the coming year, volume growth seen in the new GAs, we can plan to achieve sales volume of 10.6 MMSCMD at exit of FY 2026-2027. We remain committed to driving sustainable growth, improving operational efficiency, and creating long-term value for all stakeholders.
I would like to invite our Director (Commercial) for his opening remarks.
Thank you. Good afternoon, everyone. I am Mohit Bhatia, Director (Commercial) of IGL, and I am pleased to welcome all our investors, analysts, stakeholders, and the members of the financial community joining us today. Thank you for joining us for our company's earnings conference call on the financial results declared yesterday for the year ended 31st March 2026. As Managing Director has highlighted some of the points relating to the annual performance of the company from the results of the financial year 2025-2026, let me add some of the perspective from my side.
We have witnessed a 5% increase in CNG volumes during the current year, 9% annual increase in domestic PNG volumes with 13% increase in particularly Q4 of this year as compared to Q4 of the previous year. With ongoing PNG Drive 2.0, there is a 4% increase in industrial sales and 9% increase in commercial sales in the current year over the previous year. It is also, I'm pleased to mention that we have clocked 10.2 MMSCMD of the sales during the month of February 2026 itself. We have also crossed a mark of 1,000 CNG stations during the current year, with the total number clocking to 1,024, assuring greater penetration and ease in availability of cleaner fuel mobility solutions.
Increased steel pipeline network by 250 km and MDPE pipeline by 2,470 km. Our domestic connections have increased by 3.7 lakh during the current year, and we have witnessed an increase of almost 2 lakh+ customers in our billed domestic customer base. As far as Q4 is concerned, we have achieved 6% increase in gross turnover, EBITDA of INR 423 crore, that is INR 4.85 per SCM, and PBT of INR 385 crore in SCM terms INR 4.41 per SCM in the current quarter.
With the annual surge in the average new CNG vehicle additions, post GST 2.0 and convergence are clocking at around 23,000,0 40 with an average increase and in the later half of the month, it was almost touching 26,760 vehicles per month. We are expecting substantial increase of 10%-13% in CNG sales volume growth in the upcoming year. We are also pleased to inform that we have commissioned our second LNG station that is at CONCOR, Dadri, a step towards long-haul trucking mechanism.
With the introduction of two-zone traffic regime in the latter end of the current year in place of three-zone structure to determine pipeline transmission costs for CNG and domestic customers under zone one, regardless of the geographical area, we are expecting lowering of gas costs in the coming year for CNG and domestic consumers and recovery of our declining profits and reduced costs. On behalf of the management, I assure you sustainable revenue growth, market expansion, and enhanced value delivery to customers despite dynamic business environment through geopolitical turbulence through a growth driven disciplined execution of strategies and customer centric. With this, I welcome you all once again and open the session for Q&A. Thank you.
Thank you very much. We will now begin with the question and answer session. Anyone who wishes to ask a question may press star one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. Participants, you may press star one to ask a question. The first question is from the line of Sabri Hazarika from Emkay Global. Please go ahead.
Good afternoon, sir. I've got three questions. Firstly, this volume guidance that you have given, so 10.6. Is it average volumes or exit volume for FY 2027?
Sir, this is the last quarter exit guidance.
Exit volumes. This 10%-13% growth in CNG also, I mean, that is also incorporated in this 10.6 exit volumes. Is that right?
Yes. Yes.
Okay. Second question is on your EBITDA per SCM guidance for FY 2027 as well as long term.
That will be INR 7-INR 8 per SCM. Maybe the first quarter would be challenging, but we are making efforts to bring it back to INR 7-INR 8.
Okay. Also, what was the CapEx for FY 2026?
INR 1,172 crores.
INR 1,172 crores. Just one last question. Your domestic PNG, currently, what is the base and out of which how much is burning customers? I mean, connected as well as burning versus connected and non-burning.
Actually our total connected customers are close to 34.4 lakhs, and out of that you can say the billed ones is 24.5. Balance now with this PNG Drive push and plus the control orders from the government, we are expecting that and also seeing also that there is a lot of demand from customers to switch to PNG. Every day, as you are aware, the national PNG Drive is going on.
There, you know, IGL is the best performing among all the companies. Till now for PNG Drive, we have done, I would say 1.6 lakh connections have been done, and our target is 3.5 lakh connections. That is the billed connection, not the infrastructure, but the billed ones. Earlier, we used to do around 2.25 kind of numbers, 2.25, 2.5. That will increase to 3.5.
3.5 billion customers which you are talking about, right?
Yes. Yes. Yes.
That the increase.
Increase from, say, 24.5, that will be the increase.
Okay. Just a small follow-up. How fast do you think it is achievable? Is there any project related issues, or it is just the customer mindset which can immediately lead to this conversion? Because I think the connectivity is already done.
I will tell you that, actually, we are in an advantageous position in the sense that there are 5 lakh connections where, you know, very little is to be done. Just to give an example, we have close to 14,000-15,000 connections in defense establishment, where, you know, the connection is provided even to the servant quarters. It is only that earlier they were getting some quota for LPG, so they were a little reluctant. The MoD, Ministry of Defence, has issued some guidelines, and there is a huge conversion there. There we need not do anything, only the customer, if he comes in. There are some teething issues with respect to NOC and other things, that we are sorting it out. Other than that, infrastructure-wise, there is no such major issue.
Only the customer has to give his consent, and we will start the gas. Those are the numbers, the 5 lakh connections are such connections where very little is to be done, and we can immediately start. Only the request has to come from customers.
Got it. Thank you so much, and all the best.
Thank you. Participants, you may press star and one to ask a question. Next question is from line of E.A. Sundaram from BugleRock . Please go ahead.
Good afternoon, sir, and thank you for the opportunity to participate. I don't have any questions about the quarterly performance or about the recent margins, but I do have some observations to share, and these are really a reiteration of what I had suggested earlier to IGL. Please permit me a few minutes to present these observations.
Yeah. Please go ahead.
I think, sir, that IGL needs to do more and be a little more proactive in terms of communication. While it is true that periodically any company's performance will face ups and downs, it is important that the company presents to the investment community the correct picture about its own comparative position and why, in your opinion, there's really nothing wrong with the company's ability to compete in the marketplace. In the past several months, there have been negative perceptions around IGL that are floating around in the investment community, and I wish to share a couple of them with you. For example, there's a fear that the electric vehicles will swamp out the CNG vehicle industry. Number two, the fresh registrations for auto rickshaws or two-wheelers will not be given in Delhi if the vehicle is not an electric vehicle.
These have actually created negative perceptions around IGL. I really think, sir, it is part of the duty of IGL to put out facts in the public domain to dispel fears of this kind. Point number one, why should there be licenses for CGD businesses given to 300 cities if gas is meant to be discouraged? Number two, how can India meet its commitments to Paris Agreement if gas is not used extensively? Number three, what is the present level of new vehicle registrations in Delhi and NCR for CNG vehicles? Number four, why will gas continue to be a transition fuel for at least 15 years more, if not longer? Number five, what is the company doing to diversify its geographic presence? IGL's ability to compete in the marketplace is beyond doubt.
Being reticent about your own strengths is not what is required now. That is my observation, sir. Thank you for the opportunity.
Yeah. Thank you for valuable advice. I would say first suggestion is very well taken, and in that line, in fact, we have created one advocacy group, because we need to reach out to many, many people, including the investing community. That part we are doing. As far as electric is concerned, there have been some positive developments because recently Haryana has notified an EV policy, in which the CNG for aggregator. Now aggregator only CNG and EV have been allowed. It's similar to what the Delhi policy was earlier. That is a very positive development. Second is that now the aggregator part in the Delhi EV policy. The debate is clear that CNG would be allowed in that aggregator part, the four-wheeler part. Only the challenge would be three-wheeler. That also we are submitting. We have done a study.
We have commissioned a study. The report is yet to come, with TERI, and now we are also doing some tests with ICAT and ARAI. Those, if they are shared with the decision makers, I think that will give a confidence to them also that CNG is a cleaner fuel as compared to the perception right now they have or the some of the lab readings that they have got. We don't know the source of those readings. Those are the things that we are working on, and we don't see gas as a transition fuel. We believe it is a destination fuel simply because now all the future or renewable fuels like CBG, hydrogen, the future fuel, so they can be blended in the existing infrastructure that can be used to blend those.
Similar to the ethanol story, if CBG, say, mandate is today 5%, IGL has taken 10%, going forward that can also be increased to 20%, 25%. Add to that if you blend hydrogen into that network, it becomes a future-ready network. In that sense, our network is very resilient, and if you can blend some of these future fuels or the renewable fuels into natural gas, that should support us. Your other questions were related to new GAs. We have given acceptance for Haryana and Gurgaon and Faridabad, those are two new geographical areas that we'll be working on.
In addition to that, now that the push of PNG is more and some of the players, the weaker players may opt to go out, and then those opportunities would be available to us. We are open to those. Yeah.
The third one which you said on the registration of the CNG vehicles. Some data, some statistics I would like to share with you. Like I mentioned in my opening remarks also, around 23,000 on an average monthly basis, the new addition of CNG vehicle is happening across IGL, Delhi, and entire other GAs. Out of which your Delhi contribution is coming roughly around 40% and 60% Noida, Ghaziabad, and other GAs it is happening. If we see in the latter half of the year, it touched to almost 26,000 also after the GST 2.0 came and it got reduced from 28%- 18%. Secondly, if we see the segment-wise data.
CNG last year contributed to almost 34%, and petrol vehicles contributed to the addition was 35%. Diesel was 20%. Yes, EV is picking up. As MD also said, it was around 8%- 10%. I think CNG, it's going on very, very healthy numbers.
Thank you for the feedback. My only, you know, request is that, you know, let's make it a regular exercise that you put out these numbers and these details in the public domain through either a presentation on your own website, et cetera, so that we need not have to wait for an analyst meet or something like that to ask these questions. That's the, you know, only request I have.
Yeah, yeah. I think, your point is well taken, and we'll come out with certain mechanisms so that timely, more effective communication and something on the website will be also published.
Okay. Thank you, sir. Thank you for your time.
Thank you.
Thank you. Next question is from the line of Akash Mehta from Canara HSBC Life. Please go ahead.
Hi, sir. Thank you for taking my question. My first question is on the Haryana policy bit. I mean that was there in the news. I mean, in terms of MD implementation and just going through, what would be the next steps that you, I mean, will kind of happen in terms of the adopting cleaner fuels in Haryana? That's my first question.
Okay. As I think MD also just shared that, I think yesterday only some EV policy and CNG policy of Haryana it has come. Where in the aggregator's case they have preferred to go for CNG and EV on a tandem basis, and further curtailment of petrol vehicles and all. Since we have also gone ahead with the acceptance of the GA Haryana, in particularly Faridabad and Gurgaon, I think it will be beneficial, this thing for IGL.
In terms of volumes, any number that you can kind of share that could kind of, I mean, increment terms of incremental volume, any assessment that you have done that how much volume you can?
I think, whatever area we have presently of Gurgaon, it's, we have a very limited area, 1/3 of the area. Going forward, I think another 1/3 we'll be getting. The Gurgaon, I think a lot of potential is there in terms of vehicular addition. Going forward, it is almost, we are selling around 2.5 lakh of CNG per day, whereas our competitors with the other CGD entities, they are almost touching around 8 lakh to 1 million. With this, because in CNG what happens if you have a CNG station at the bordering areas and with the price competition and other services, I think you can attract a lot of volume from the competitors also.
If I may supplement that. When we were looking at the vehicle conversion, GA-wise, we find that Gurgaon is one of the promising one where, you know, after Delhi, the number of conversion there are on the higher side, like 6,000, as against 10,000 in Delhi. The conversion rate in Gurgaon is also very high, and that we feel would benefit us.
If we talk about the penetration, Gurgaon has one of the highest penetration in amongst our GAs. It is around 47%. All the new vehicles which are sold in Gurgaon, 47% is on CNG. We already see high penetration there. Given the continuance of the CNG in the new policy as an aggregator fuel, I think it supports our current position, and probably it will help us in higher growth in Gurgaon.
Sure. That's quite helpful. Just on the margin bit, if you can just help us with the incremental gas price hike that would be needed on basis of the current gas cost for us to kind of maintain the EBITDA per SCM. If you could just give us some indicative number and your gas cost split as of now in terms of sourcing.
Yeah. In terms of sourcing, you can say it's a 50/50 mix. The 50% is RLNG and 50% is domestic. Out of that, 6%-7% would be HPHT gas, and 43%-44% is APM and new well, and that keeps on changing the mix. You can say 60% is APM, 40% is new well. Based on that, the situation is very, very dynamic. What we feel is that, we have taken a price hike of INR 3. That should help the EBITDA margin. Going forward, we are watching the situation, and based on our assessment, we'll take a call on any price increase if required.
sure, sir, I think another INR 4-INR 5 would be needed. I mean, this is how things are going.
I can only share that the input cost has increased by around 25% as of now. Tomorrow, if the situation improves, the crude comes down to say 70, 80 levels, then I think this will get improved. The input cost will get improved. In that sense, as of now, we can't tell you how much is needed for us to maintain 7%-8% for the entire year. The year has just started and because our strategy has always been to have a balance between growth and EBITDA margin. Margin guidance 7%-8% is a very reasonable expectation that we feel. Growth, you know, the conversion numbers are very, very robust at in the last quarter, that was around 27,000. Year average was around 23,000.
If we have to maintain that momentum, I think that would be one factor which will weigh on our minds.
Just to add, just not take the EBITDA number at a particular point of time. Rather, let us see as an average, quarterly average or annual average. In that sense, whatever Kamal has said, that 7%-8% is something which we are looking at. Over a period of one year, we'll be able to achieve that.
Sure, sir. Thanks a lot. Yeah, that's it from my side.
Thank you. A request to all the participants, kindly limit yourself to two questions per participant. Next question is from line of Yogesh Patil from Dolat Capital. Please go ahead.
Thanks for an opportunity, sir. You just mentioned that input gas cost on overall level has gone up by 50% or 15%, sir?
25%.
Okay. Is it, is it right to assume, gas cost per unit in a Q4 was approximately 36.8 per SCM that has gone up by 25%? Is that the right understanding?
No, no, it is not in the last quarter, but I was talking from the pre-war levels. 32 kind of number.
Okay. Okay. Fair enough, sir. Second question, sir. Considering INR 3 per kg CNG price hike and exchange rate remains the same at the current level, can we expect EBITDA in the range of INR 6+ in a Q2?
Well, actually we are watching the situation, especially with respect to alternate fuels, competing fuels also. You know, that has been our endeavor that whatever we were at 5.4 in the first, we finished at 5.4. Whatever is needed to reach 7, we will take those measures.
Okay, sir. Few data keeping questions. How many DTC buses phase out during the Q4? What was the CNG consumption of DIMTS buses during the Q4?
You see now DTC is only 25 buses are remaining with us, and DIMTS around 17, 19. What is the number? 17, 19 buses are there.
Any consumption number of DIMTS buses, CNG consumption number during the Q4?
DIMTs. DIMTS number, yes. Just a second.
Could be around one point.
1.5, yeah.
1.5. DIMTS we are selling now, around 1.9.
1.9.
INR 19.19 lakh.
DIMTS is 1.9.
Sorry, INR 1.3 lakh.
1.3.
INR 1.3 lakh.
Yeah, 1.3, exactly. 1.3 and DTC is now almost left hardly 1,000 kgs per day.
DTC is all gone. DIMTS still it is there. It is reducing, but, almost 1.3 lakhs per day it is there.
Oh, okay. Yes, sir. Yes, sir. The last one, sir, we have seen a sharp jump in operating expenses sequentially. Was it include any one-off expense?
Sir, no, operational expenses per SCM, if you calculate, that would be I think a better metric.
Sequentially, CSR expenditure.
booked in the last quarter. That is the reason it has gone up.
If you see as compared to previous year, like MD also said, rupees per SCM will be the correct measure to understand. We have reduced by around INR 0.08-INR 0.10 in our OpEx expenses per SCM this year.
Okay. Sir, one fundamental question.
Sorry to interrupt you, Yogesh. Can I request you to come back, please?
Sure, sure.
Thank you. A request to all the participants, please limit yourself to two questions per participant. Next question is from the line of Maulik Patel from Equirus. Please go ahead.
Yeah, hi. Thanks for the opportunity. Sir, two questions. One is that, what is the growth you have achieved in this three different? One is in Delhi, second is in the NCR region, third is in a new GA for the CNG segment, if you can give the specific number.
The like, we mentioned in the opening also, Delhi is flat in CNG. It's almost 1% only. We have to take care of the DTC volumes lost also. Noida, Ghaziabad is around 6%-8%, and other GAs have grown by 16%-17%. If we knock off the historical volumes of the DTC, then the entire IGL, at IGL level, it is around 9.8%-10% growth.
Got it. The second question, in terms of supplier mix, did you had got any of this force majeure during the quarter because of whatever has happened related to the Ras Laffan volume? Did we had any force majeure? If it's there, how we have replaced that?
Okay. As you are aware that, after the Middle East issues in February end, there was a force majeure imposed by QatarEnergy at Qatar after the Ras Laffan attacks and all. Then immediately first government has come up with a reform. They have come up with the gazette notification for prioritizing domestic PNG and CNG as priority number one and subsequently to fertilizer. First thing, they have given on the basis of the last six months' average sales, we have been getting almost 100% allocation in terms of consumption. That is the priority number one. The PNG 105% and CNG maybe around 35%-40%.
There has been a pooled gas mechanism which has, government has come out and, the GAIL is offering on that pooled gas, mechanism pricing is there. That is there. For industrial and commercial, some spot back-to-back, we have made some arrangements. It was like that.
Got it. Got it. Thank you, sir.
Thank you. Next question is from the line of Nitin Tiwari from PhillipCapital. Please go ahead.
Hi, sir. Good evening. Thanks for the opportunity. Just a few bookkeeping ones from my end, sir. What was the CNG sales in kg in this quarter?
CNG sales in kg, 50 lakh 20,000, in, if, by the average for the year. For quarter, 51 lakh 30,000.
51 lakh 30,000 . Um, can you just-
kg per day.
Right. Thank you. Sir, my second question was with respect to the industrial and commercial consumers. What was our pricing for these consumers in the previous quarter, and what's the pricing right now? Related to that, sir, also if you could highlight what was our average LNG procurement cost in the previous quarter, and what it is now? I'm talking about spot LNG.
Spot LNG, if you see, some quantities which we had specifically bought for a few of the customers on back-to-back basis, that came at around $17 during that crisis when it started, it was around $21, and then subsequent months, it was at around $17.5. That was the pricing in terms of the fore forex component of, for the gas cost.
Right.
The entire cost has been passed on to the customers. Given that the alternate fuels are also not available to them, they are basically coming back to PNG and lots of demand is there at this point of time.
Demand has not gone down.
Okay.
That was your, uh-
Yeah, that was what I was trying to get at. What is the price that we charged in the previous quarter and what we are charging right now to industrial and commercial consumers? If you can throw some light on that.
Maulik, I tell you, around 35%- 40% increase in prices have taken place over two, three months.
How can you have that, sir?
35%-50% you said, sir
30%, around 35%-40%.
35%- 40% increase. That's the trend that we are continuing, right?
If it is on back-to-back spot basis, then it is almost 50%, 60%.
Okay. Lastly, sir, what's the CapEx number for 27?
For 27 we expect to be around INR 1,500 crores, given the push on PNG by the government. Last year we had a total CapEx of INR 1,172 crores. We expect that to go up and reach probably around INR 1,500 crores for core segment of the business.
Sure. Thank you so much.
Activity we expect to happen.
Thank you. Next question is from the line of Pratyush from InCred Capital. Please go ahead.
Good afternoon, sir. Sir, just two questions. First, regarding, you know, your sourcing of natural gas. So, you know, after the crisis, you know, government pooled the gas and, you know, kind of tried to allocate the gas. Since the CGDs were put in the priority list one, I suppose that you would be getting about 100% of the gas. Just wanted to understand of the pricing mechanism, you know, on the basis of which you get the gas for at least your priority sectors like CNG and PNG domestic. Second, regarding the industrial segment consumers, since they pay the, you know, the propane wasn't available. I'm assuming that, you know, the margins would have got elevated at least for this quarter.
How are you seeing the Q1 of FY 2027 as far as, you know, PNG industrial is concerned?
Okay. We'll start with the APM. You know, that it is based on Kirit Parikh committee pricing mechanism.
Now it is increasing year-on-year basis. Now currently it is if the CBG loading is also there, $7.7 per MMBtu is the APM price, first. The second part is the new well gas, which is on at a premium of 20% of the Indian crude basket. Indian crude basket has already gone up, so it is almost touching now $13 per MMBtu, that is the new well gas. The third, I also earlier mentioned that there has been a new working on the pooled gas, because the government has given a mandate of priority one to PNG and CNG. There is a different mechanism of pooled gas and that is being also sourced at around $14-$15.
Apart from that, spot is there. Spot depends, like it is now 17-18. apart from that, on the industrial, as we mentioned earlier, whatever we are sourcing additional, that is given on a back-to-back basis with a little bit of markup, and that is passed to the customer.
Got it, sir. Am I correct in understanding that, you know, for example, if 100% is a requirement and if about 60 per 50% is getting fulfilled by, let's say, by APM and SCPT, then whatever rest 50%, at least for your CNG and PNG domestic, you know, fulfillment, that would be that gas would be, you know, you'll be given through the pooled gas mechanism and the pricing which the government has decided. Am I right in assuming that?
Yes, you can. It is almost like that.
Got it, sir. There was one media circulation regarding the PNG the unavailability of the plumbers, due to which the CGD companies are not able to meet the requirement of the, you know, PNG connections, which government has mandated about 1 lakh connections per day. It is, you know, said that only 10,000-12,000 connections is being made. You know, I just wanted to understand your view on it. Is it correct as far as IGL is concerned, or it's not that relevant for IGL?
Actually you are right that for the industry this is one of the issues. For IGL, this is not an area of concern because we were already doing 2.5 lakh to 3 lakh connect bill connections and 3.5 lakh, 3.7 lakh last year we did infrastructure-wise, if you say. We were already doing, and there is a small increment in that. That sense, and being also the national capital, so there is some advantages. We are not facing the plumber issue as compared to other entities that are facing this issue.
Got it, sir. Thanks a lot for answering the question.
Thank you. Next question is from the line of Raj Gandhi from SBI Mutual Fund. Please go ahead.
Hi, sir. Thanks for the opportunity. Here you mentioned that the gas cost has increased by 25% on a base of INR 32 pre-war cost. Means that, you know, your gas cost has gone up by INR 8, whereas you've taken a INR 3 per kg hike as yet, which is about INR 1.4 per SCM. Even to maintain this Q4 margin, maybe OPEX normalize and all, I'm just wondering, maybe even in Q1 and all it'll require a significant high increase, right? Just to pass on what is already there.
No, actually industrial and commercial segment, we have been able to increase the prices because the competing fuels were substantially higher. There we have no issues. The domestic segment is covered through APM, that also is not an issue.
We had taken a INR 1.7 increase in last month, for this, I mean, increase in this APM price. That has been factored in. Only the CNG portion, that we believe that if the situation improves then the cost comes down. Because slowly we are seeing that the Henry Hub quantities that were curtailed due to this force majeure, they are getting restored. If that is done, because that is one gas where we have not seen much volatility. The Henry Hub has remained between $2.6 or $2.5-$3. If that is given 100%, then that will solve some of our problems.
Okay. On the industrial and commercial side, where you said most, more price hikes have been taken and you've been able to pass through there, any breakdown if you can give, how are margins in that segment versus pre-war?
Margins we have almost kept flat. We reduced a little bit, we are able to maintain the same level of pro-profitability on those units.
Sure. Thanks a lot.
Gas cost has been passed, profitability is maintained. That's what we can say at this point.
Okay. Sure. Thanks.
Thank you. Next question is from line of Sarthak from Nomura. Please go ahead.
Good afternoon, sir. My first question is across IGL portfolio, what % of CNG volume goes to the cab aggregators and delivery services?
Cab aggregator, our mix has been that, 48% is the private vehicles and cab aggregators around 12%, 13% is there.
12%, 13%.
9 % is auto.
Okay. 12%, 13% of total.
There is no scientific way in which this data is available. 12%-13% is what we arrive at from different methods. Directly it's not available.
Okay. Secondly, can you please tell us the total CNG volume that comes from Haryana?
From Haryana.
From Haryana.
Yes.
CNG volume you are talking about?
Yeah, volume.
Yes, CNG volume.
The total volume from Haryana is 0.81 million, 0.65 million of CNG and 0.16 million of LNG.
Okay. Thank you, sir.
Haryana had a overall growth of, around 11-12%.
Over the period?
We have around 4 GAs there in Haryana. Karnal, Kaithal, Rewari, and Gurugram. Overall it had around 11 to 12% growth.
Okay. Thank you, sir.
Year- on- year. On a average annual basis.
Okay.
Thank you. Next question is from line of [Kishan Mundra] from DAM Capital Advisors. Please go ahead.
Hi, sir. Just one question, data keeping question actually. So if you could provide the detailed breakup of gas procurement that we have done in 4Q, bifurcated into APM, NWG, HPHT, Henry Hub, and Brent linked contracts. If possible in MMSCMD terms. Then also if you could compare it to what we are getting currently after the gas pooling mechanism.
Okay. I'll give you of Q4. Is it okay?
Sure. Yeah, that's okay.
Okay. As we mentioned, domestic gas is around 55%. The breakup of this 55%, APM is around 37% domestic gas, 8% new well gas, CBG 1%, HPHT is 4%. Then, we get some from IGX also, we take around 3%. Then, coal-bed methane 1%. This is on the domestic. RLNG front, short-term is almost 7%, and the long-term contract what we have is around 38%. This is the roughly breakup in terms of percentage.
This is the overall mix, not for the priority segment.
Yeah.
Okay. Sir, if you could help us just revise how many long-term contracts do you have currently in MMSCMD terms? What is the split between Brent linked and Henry Hub linked?
We have 4.8 million, and 2/3 of that is Henry Hub linked.
Are you looking to, I mean, are you scouting for more, long-term contracts, RLNG contracts?
Yes, because some of our contracts are expiring in 2028, so we are looking at long-term contracts beyond 2029. 2029 onwards, we are in discussion with various suppliers.
Okay. Understood. Thank you.
Thank you. Next question is from the line of Tanay Kotecha from Nuvama, please go ahead.
Hi. I only had a bookkeeping question. What are the number of industrial and commercial customers that IGL has as of the end of the quarter?
End of the quarter. We have around 7,500 commercial customers and around 5,500 industrial customers.
Okay. Thank you.
Thank you. Next follow-up question is from line of E.A. Sundaram from Bugle Rock. Please go ahead.
Yeah. Thank you, sir. Just regarding the question that you had earlier answered from another gentleman. You said that, you know, you have 1/3 of Gurgaon, and you're expecting to get another 1/3. Can you give more details, please?
No, we never said that we have 1/3 and we are expecting another 1/3. What we meant was that whatever authorization is with us is 1/3 of the Gurugram area.
Okay. It will remain 1/3. Is that what was meant?
Yes, because We have not accepted the authorization.
because the case was sub judice and still it is sub judice. With the conditional, with some conditions, we have given our acceptance for starting the work.
Okay. Is it the intention to gain more territory in Gurugram? Is that the intention of IGL?
I think there is no option like that available. If it is available, we'll definitely. Right now there is no option because once you get an authorization, you have a exclusivity for 25 years. That option is not there with us.
Okay. Okay, fine. Thank you.
Thank you very much. Ladies and gentlemen, we will take that as our last question. I will now hand the conference over to the management for closing comments.
Thank you, everyone. Thank you for joining this call, annual earnings call for IGL. Thank you for taking time out from your busy schedule. Of course, this was a challenging year in terms of the gas cost, and it is still continuing. Hopefully, when we meet next time, this geopolitical situation will be behind us and we'll be meeting you with better numbers. On this note, I would just like to also share that I'll be going back to my parent organization, BPCL. Mandeep will be taking over as CFO and from 21st onwards, he will be the point of contact for you all. Thank you so much.
See you, probably, meet you somewhere in, by next assignment. Thank you so much.
Thank you. Thank you.
Thank you very much. On behalf of ICICI Securities Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines. Thank you.