GAIL Q1 Results: Net profit falls 45% to ₹1,793 crore, revenue down 13% YoY
- GAIL Q1 Results: The leading gas distributer's revenue from operations during the first quarter of current fiscal fell 13 per cent to ₹32,848 crore, compared to ₹37,942 crore in the year-ago period.
GAIL Q1 Results: GAIL announced its April-June quarter results for fiscal 2023-23 (Q1FY24) on July 31, reporting a decline of 45 per cent in consolidated net profit at ₹1,793 crore, compared to ₹3,250 crore in the corresponding period last year. The leading gas distributer's revenue from operations during the first quarter of current fiscal fell 13 per cent to ₹32,848 crore, compared to ₹37,942 crore in the year-ago period.
Sequentially, GAIL's net profit surged 179 per cent in the June quarter, from ₹643 crore in the quarter ended March 2023 mainly on account of increased gas marketing and transmission volumes and increased transmission tariff realisation, said the state-owned gas firm in a stock exchange filing.
During the quarter-under-review, the natural gas transmission volume registered a growth of seven per cent to 116.33 million metric standard cubic meter per day (MMSCMD), compared to 108.23 MMSCMD in Q4 FY23. The gas marketing volume increased two per cent to 98.84 MMSCMD, compared to 96.46 MMSCMD in the preceding January-March quarter of fiscal 2022-23.
On the operating front, the company's EBITDA (earnings before interest and taxes, depreciation, and amortization) in the June quarter stood at ₹2,432.6 crore. The firm's petchemical segment reported a loss of ₹302 crore in the quarter-under-review, compared to a profit of ₹35 crore reported last year.
‘’The company has incurred a capex of about ₹2,391 crore during the current quarter, mainly on pipelines, petrochemicals, equity to joint ventures (JV), etc which is about 31 per cent of annual target of ₹7,750 crore,'' said Sandeep Kumar Gupta, Chairman & Managing Director, GAIL.
GAIL has been authorized to build Gurdaspur- Jammu Natural Gas pipeline having length of 160 km with capital expenditure of Rs. 522 crore, he added.
Gupta said during the quarter, the company acquired 100 per cent stake in erstwhile JBF Petrochemicals Limited, now GAIL Mangalore Petrochemicals Limited, by infusing Rs. 2,101 crore through Corporate Insolvency Resolution Process (CIRP).
Earlier this month, domestic brokerage firm Religare Broking gave a ‘accumulate’ rating on GAIL at a target price of ₹126, in a range of ₹110- ₹111.
‘’GAIL has been maintaining uptrend since 2004 however the pace of rise is gradual, with intermediate corrective phases. Unlike other corrective phase, it slipped sharply lower in 2019, after forming a distribution pattern around its record high i.e. 110 levels and tested monthly support zone around 36 levels in March 2020,'' said Religare Borking in its research report.
‘’However, it rebounded equally sharp in the following year and inched closer to the previous record high in June, 2021. It has been trading in a consolidation band of 80-110 levels for the last two years and currently hovering around the upper band of the same. Indications are in the favour of a breakout soon,'' added the brokerage firm.
On July 31, shares of GAIL settled 1.23 per cent higher at ₹119 apiece on the BSE.
Catch all the Business News , Corporate news , Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
Business NewsCompaniesCompany ResultsGAIL Q1 Results: Net profit falls 45% to ₹1,793 crore, revenue down 13% YoY
First Published:31 Jul 2023, 03:57 PM IST
- Top Gainers
- Top Losers
- 52 Week High