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The company stated that the price increase has been necessitated by rising input costs and prevailing market conditions. The revision is expected to place additional financial pressure on daily commuters across the Mumbai Metropolitan Region, where CNG serves as a primary fuel for auto rickshaws, taxis, and several public transport vehicles.
Following the announcement, auto rickshaw unions have intensified demands for a fare revision. Union representatives have sought at least a Rs 1 increase in the base fare, arguing that repeated increases in CNG prices have significantly reduced driver earnings and escalated operational costs. They have urged the authorities to take an urgent decision, stating that the current fare structure has become increasingly unsustainable for drivers.
Earlier this month, the government had stated that the country maintains adequate stocks of petroleum products and that domestic liquefied petroleum gas supplies remain stable.
In its financial disclosure, Mahanagar Gas Limited reported a 46.3 percent year-on-year decline in consolidated net profit at Rs 130 crore for the fourth quarter of financial year 2026, compared with Rs 241 crore in the corresponding quarter of the previous year. Revenue from operations rose 4.5 percent year-on-year to Rs 2,052 crore in the January to March quarter, up from Rs 1,964 crore a year earlier.
However, earnings before interest, taxes, depreciation, and amortisation fell 34.2 percent year-on-year to Rs 260 crore in the fourth quarter of financial year 2026 from Rs 395 crore in the same period of the previous year. The EBITDA margin contracted to 12.7 percent from 20.1 percent year-on-year.
The company also recommended a final dividend of Rs 18 per equity share with a face value of Rs 10 each for financial year 2026, subject to shareholder approval. This follows an interim dividend of Rs 12 per share declared in February 2026, bringing the total dividend payout for the year to Rs 30 per equity share.
In stock market movement, shares of Mahanagar Gas Limited rose nearly 3 percent during morning trade on Thursday, touching an intraday high of Rs 1,072 on the Bombay Stock Exchange. The stock recorded a 52-week high of Rs 1,586 and a 52-week low of Rs 902. It closed at Rs 1,067, gaining 23.60 points or 2.26 percent from the previous close.
The developments underscore mounting cost pressures in the urban gas distribution sector and their cascading impact on public transport economics and corporate financial performance across the region.
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