Aegis Logistics H1 profit more than doubles on LPG scale

Aegis Logistics Limited reported H1 FY27 profit after tax of Rs 866 crore, up 108% year on year from Rs 417 crore, as liquefied petroleum gas (LPG) distribution volume rose 54% and its margin stayed above Rs 7,000 per tonne. Revenue increased 14% to Rs 4,570 crore, while normalized segment earnings before interest, tax, depreciation and amortisation (EBITDA) rose 97% to Rs 1,184 crore.

How did Aegis Logistics perform in H1 FY27?

Aegis Logistics delivered record H1 FY27 profitability, with profit after tax more than doubling to Rs 866 crore and earnings per share rising 140% to Rs 21.23 from Rs 8.86 in H1 FY26. The result followed a 97% increase in normalized segment EBITDA to Rs 1,184 crore, compared with Rs 602 crore a year earlier, despite revenue growing at the lower rate of 14%.

The Q2 FY27 result also showed higher profit despite lower revenue. Quarterly revenue was Rs 2,213 crore, versus Rs 2,294 crore in Q2 FY26, but normalized segment EBITDA rose 32% to Rs 456 crore and profit after tax increased 32% to Rs 321 crore. Earnings per share grew 45% to Rs 7.42, indicating that the half-year profit increase was not solely the result of first-quarter conditions.

What drove Aegis Logistics’ LPG earnings growth?

Aegis Logistics’ Gas Division generated H1 FY27 EBITDA of Rs 900 crore, a 137% year-on-year increase, led by LPG distribution growth and supply-chain efficiencies. Distribution volume reached 5.18 lakh metric tonnes in the first half, up 54% year on year, while Q2 volume increased 25% to 2.41 lakh metric tonnes. Management linked the expansion to customer additions, broader geographic reach and capacity added in the previous year.

Management said LPG distribution EBITDA per tonne was slightly above Rs 7,000 in Q2 FY27, even after global supply conditions had normalised. It contrasted this with a historical margin of about Rs 4,000 per tonne in 2024 and 2025, attributing the change to larger storage, larger-vessel unloading, lower freight and demurrage, supplier partnerships, and distribution assets. Management described Q1’s higher margin as more price-led amid geopolitical disruption, whereas it characterised Q2 as a normal quarter.

LPG logistics throughput was 1.34 million metric tonnes in Q2 FY27, 5% below Q2 FY26 but 19% above the preceding quarter. Management said Q1 throughput was affected by geopolitical disruption and global uncertainty. Sourcing volume was 0.9 lakh metric tonnes in Q2 and 2.1 lakh metric tonnes in H1 FY27, with lower volumes attributed to expired contracts; management noted that sourcing does not include its own distribution volumes.

How did Aegis Logistics’ Liquid Division compare with the Gas Division?

The Liquid Division produced Rs 284 crore of H1 FY27 EBITDA, up 28% year on year, on revenue of Rs 366 crore, up 22%. Its reported EBITDA margin was 78%, while the Gas Division supplied Rs 900 crore of the group’s Rs 1,184 crore normalized segment EBITDA. The comparison shows that Gas delivered the larger absolute increase, while Liquid remained a material contributor through storage-led revenue.

Aegis Logistics said its Liquid Division holds 2 million cubic metres of storage capacity and generated revenue realization of more than Rs 3,600 per cubic metre in H1 FY27. Management attributed higher returns partly to about 60,000 cubic metres commissioned in Mumbai and 101,000 cubic metres at Jawaharlal Nehru Port Authority (JNPA), both described as higher-realisation locations. It said product mix also affects returns.

Which projects could extend Aegis Logistics’ operating growth?

Aegis Logistics has added capacity that management identified as central to LPG distribution growth: a 48,000-metric-tonne cryogenic terminal at Pipavav and an 82,000-metric-tonne facility at Mangalore were commissioned in the prior year. Mangalore opened a new distribution geography, while larger terminals allow the company to unload larger LPG cargoes. Management said the company was on course to reach 1 million metric tonnes of LPG distribution volume in FY27 if the H1 run rate continued.

At JNPA, Aegis Logistics commissioned a 35,000-metric-tonne annual LPG bottling plant on October 15, 2026. It expects the first 100,000 cubic metres of a larger liquid-storage expansion to be commissioned in Q3 FY27; the full project includes 318,000 cubic metres of liquids and about 77,286 metric tonnes of LPG storage. Separately, the Pipavav ammonia terminal has 36,000 metric tonnes of storage and a 15-year take-or-pay agreement with Hindustan Zinc, which management said would start later in FY27.

The Kandla-Gorakhpur LPG pipeline was approximately 96% physically complete, according to the CRISIL Ratings report cited by management, with its 1,958-kilometre main trunk pipeline laid. Aegis Logistics expects the pipeline and a Pipavav connection to improve hinterland evacuation. The company also has a 94,148-cubic-metre Kandla liquid-terminal project targeted for commissioning in the next financial year and a 49,577-cubic-metre Kochi expansion expected in early FY28.

Conclusion

Aegis Logistics’ H1 FY27 outcome combined a 108% increase in profit after tax with operational progress in both LPG and liquids. The 54% rise in distribution volume and Q2 margin above Rs 7,000 per tonne support management’s argument that new terminals, vessel economics and customer reach, rather than a temporary supply-market benefit, contributed to earnings growth.

The next operational tests are the planned Q3 FY27 commissioning of 100,000 cubic metres at JNPA, the later-FY27 start of the Hindustan Zinc take-or-pay arrangement, and completion of the Kandla-Gorakhpur pipeline. Management also expects its acquisition of 89.8% of Tristar Holdings Limited for US$809 million to close in Q4 FY27, subject to approvals and customary conditions, and said it would discuss transaction benefits after completion.