Petronet Q2 net falls 5 percent on lower offtake

State-run liquefied natural gas importer Petronet LNG on Monday reported a 5.3 percent fall in net profit for the second quarter ended September at Rs.248.45 crore, as compared to Rs.262.81 crore for the corresponding period a year ago.

Revenues dropped to Rs.7,580.96 crore in the quarter in question, as against Rs.11,015.01 crore in the year-ago period.

"The primary reason for this decline in profit over corresponding quarter last year is lower recovery of costs on account of reduced offtake under the long term gas supply contracts with the offtakers," Petronet said in a stock exchange filing.

The company said it operated its 10 million tonne per annum Dahej LNG import terminal in Gujarat at around 120 percent of its capacity during July-September.

"Despite a reduction in the offtake under the long term quantities over the corresponding quarter last year, the total volume regasified at the Dahej Terminal during the quarter ended September 30 was 154 trillion British thermal units - highest ever volume processed in any quarter," the statement said.

The work for expansion of Dahej LNG terminal to 15 million tonnes is expected to be completed by the end of 2016, it added.

"The company has initiated the process for selection of EPC contractors for further expansion of the Dahej terminal to 17.50 million tons," the statement added.

Petronet stock closed on Monday at Rs.191.05 a share, up 1.45 points, or 0.76 percent, on the BSE.