Gujarat Energy Profit Rises 26% to Rs 489.77 Crore in September

Gujarat Energy Limited reported consolidated profit after tax of Rs 489.77 crore for the quarter ended September 30, 2026, 26% above the restated Rs 388.67 crore a year earlier, as revenue from operations rose 60% to Rs 9,857.33 crore. GEL’s half-year profit after tax increased 60% to Rs 1,497.17 crore.

What drove GEL’s September-quarter revenue increase?

GEL’s operating revenue increased by Rs 3,685.28 crore from the restated September 2025 quarter to Rs 9,857.33 crore in the quarter ended September 30, 2026. Total income rose to Rs 9,996.85 crore from Rs 6,301.29 crore, while total expenses increased to Rs 9,284.30 crore from Rs 5,791.80 crore.

Gas trading and city gas distribution recorded the largest year-on-year increases in segment revenue. Gas-trading revenue reached Rs 7,614.88 crore from Rs 4,155.69 crore, while city-gas-distribution revenue rose to Rs 6,771.12 crore from Rs 3,978.92 crore. Total segment revenue was Rs 14,926.36 crore, including Rs 5,069.03 crore of inter-segment revenue, which reconciled to operating revenue.

Why did GEL’s profit decline from the June quarter?

GEL’s profit after tax declined to Rs 489.77 crore in the September 2026 quarter from Rs 1,007.40 crore in the June 2026 quarter. Profit before tax fell to Rs 708.08 crore from Rs 1,337.11 crore as total segment results reduced to Rs 609.86 crore from Rs 1,150.56 crore.

Gas trading recorded a segment result of Rs 328.80 crore, down from Rs 724.37 crore in June, while city gas distribution reported Rs 317.48 crore against Rs 439.79 crore. Both segments remained above their September 2025 levels in revenue, but city gas distribution’s September 2026 segment result was also below Rs 332.89 crore reported a year earlier.

Other reported movements included a Rs 4.47 crore loss from equity-accounted investees, compared with a Rs 27.03 crore profit in June, and other income of Rs 139.52 crore against Rs 193.04 crore. Power reported a Rs 45.59 crore segment loss, wider than the Rs 31.84 crore June loss, while regasification moved to a Rs 3.81 crore loss from a Rs 20.61 crore profit.

How did GEL perform in the first half?

GEL reported half-year profit after tax of Rs 1,497.17 crore for the period ended September 30, 2026, compared with restated profit of Rs 935.62 crore a year earlier. Half-year revenue from operations rose to Rs 19,628.71 crore from Rs 12,217.93 crore, and profit before tax increased to Rs 2,045.19 crore from Rs 1,275.44 crore.

Gas trading generated a half-year segment result of Rs 1,053.17 crore, up from Rs 410.58 crore, while city gas distribution generated Rs 757.27 crore compared with Rs 738.57 crore. Exploration and production moved to a Rs 10.61 crore profit from a Rs 5.71 crore loss, whereas power’s segment loss widened to Rs 77.43 crore from Rs 50.58 crore.

GEL generated net cash from operating activities of Rs 2,452.11 crore in the half year, compared with restated operating cash flow of Rs 1,595.11 crore a year earlier. Changes in assets used Rs 2,124.22 crore, including increases of Rs 1,719.41 crore in trade receivables and Rs 1,538.47 crore in inventories, while changes in liabilities added Rs 2,349.96 crore.

What changed in GEL’s balance sheet?

GEL’s total assets stood at Rs 31,817.20 crore at September 30, 2026, compared with Rs 27,545.92 crore at March 31, 2026. Current assets increased to Rs 14,575.45 crore from Rs 10,107.59 crore, with inventories rising to Rs 2,660.06 crore from Rs 1,121.58 crore and trade receivables increasing to Rs 2,578.67 crore from Rs 1,752.37 crore.

Cash and cash equivalents rose to Rs 2,209.02 crore at September-end from Rs 978.36 crore at March-end. Total liabilities increased to Rs 12,268.99 crore from Rs 8,687.78 crore, while total equity rose to Rs 19,548.21 crore from Rs 18,858.14 crore.

How did the scheme and disclosed matters affect GEL?

GEL restated its September 2025 comparative results after the Ministry of Corporate Affairs sanctioned the composite scheme of amalgamation and arrangement on April 8, 2026. The scheme combined Gujarat State Petroleum Corporation Limited, Gujarat State Petronet Limited and GSPC Energy Limited with the former Gujarat Gas Limited, with an appointed date of April 1, 2024, and GEL adopted the Gujarat Energy Limited name on May 14, 2026.

The restatement changed September 2025 quarterly profit after tax to Rs 388.67 crore from the previously reported Rs 279.81 crore. The half-year September 2025 profit after tax was restated to Rs 935.62 crore from Rs 607.45 crore, making the restated figures the relevant comparison for the current period.

GEL disclosed disputed income-tax demands of Rs 1,685.54 crore as contingent liabilities at September 30, 2026. Vedanta Limited has stated claims exceeding Rs 1,200 crore in proceedings yet to commence, which GEL disputes, while GEL had already provided Rs 527.00 crore for cash calls receivable from Jubilant Offshore Drilling Pvt. Ltd. and recorded no additional impairment in the quarter.

Conclusion

GEL’s September-quarter profit rose year on year alongside a Rs 3,685.28 crore increase in operating revenue, led by larger gas-trading and city-gas-distribution revenue. However, quarterly profit and segment results in the two largest businesses fell from the June 2026 quarter, with gas trading showing the larger sequential reduction.

The next results will show whether gas-trading and city-gas-distribution segment results recover from their September-quarter levels. GEL is also evaluating the financial effect of harmonising employee compensation, leave, retirement benefits and other human-resources policies after the merger, while the disclosed tax, Vedanta and Jubilant Offshore Drilling matters remain unresolved.