GAIL Q2 profit slips 10% on LPG subsidy

Higher fuel subsidy outgo as well as fall in gas transmission volumes affect profit

GAIL India Ltd, the nation's biggest gas firm, on Friday reported a 10 per cent drop in its second-quarter net profit after a steep rise in its LPG subsidy outgo. Net profit dropped to Rs 985 crore in July-September compared to Rs 1,094 crore a year earlier, Chairman and Managing Director B C Tripathi said. "Our profit is down primarily because of a 39 per cent rise in outgo to LPG subsidy," he said, adding the company paid Rs 786 crore to subsidise cooking gas as compared to Rs 567 crore a year ago.