GAIL Q3 profit rises multifold to ₹3,193 crore on cheaper LNG

New Delhi: State-run GAIL (India) on Monday reported a multifold jump in its consolidated net profit for the quarter ended December at ₹3,193.34 crore, buoyed by a fall in international prices of liquefied natural gas (LNG) and increase in transmission tariff.

During the same period of the last fiscal year, the company had reported a net profit of ₹397.59 crore. Higher gas trading margins also bolstered profits of the state-run gas utility, which imports LNG and supplies to consumers through pipelines. On Monday, GAIL (India) said it has concluded a long-term pact to buy around 0.5 million metric tonne per annum LNG from UAE’s ADNOC Gas.

The Delhi-based company’s total income, however, fell 3.31% on year to ₹35,181.78 crore in the quarter ended December, it said in a statement.

Amid a fall in gas prices, its total expenditure during the October-December quarter stood at ₹31,607.96 crore, nearly 13% lower than in the same period last year.

Sandeep Kumar Gupta, chairman & managing director (CMD) of GAIL (India) Ltd, said: “During the quarter, the physical performance has improved across all major business verticals and the petrochemical segment has turned profitable owing to plant efficiency, better capacity utilization & other optimization measures adopted.”

The company has made a capital expenditure of ₹6,583 crore in the first nine months of the current fiscal year, mainly in pipelines, petrochemicals, and equity investments in joint ventures, among others.

During the quarter, its average natural gas transmission volume stood at 121.54 million metric standard cubic meter per day (MMSCMD), against 120.31 MMSCMD in the previous quarter. Its gas marketing volume stood at 98.14 MMSCMD, against 96.96 MMSCMD in the previous quarter.

The company announced an interim dividend of ₹5.50 per equity share for FY24. On Monday, its shares ended at ₹171.70 apiece on BSE, up 3.81%.