Gail Q1FY25 results: PAT jumps 77.5% to Rs 3,183.35 cr on high gas margin

Higher domestic natural gas marketing volumes pull up revenue to Rs 34,822 crore

State-run gas supplier Gail on Tuesday reported a 77.5 per cent rise in consolidated net profit at Rs 3,183.35 crore in the first quarter (January-March) of 2024-25 (FY25) against Rs 1,793 crore in the year-ago period. Sequentially, Gail's net profit rose 28.6 per cent, up from Rs 2,474 crore.

The latest rise in net profits was due to increased domestic natural gas marketing volume, profits from which rose 95 per cent to Rs 2,036 crore in Q1, up from Rs 1,045 crore in Q1 FY24. Gail said the growth was also due to higher gas transmission volumes.

The growth was accompanied by a 6 per cent rise in consolidated revenue from operations to Rs 34,821.9 crore in Q1, up from Rs 32,848.8 crore in Q1 FY24. The loss in the petrochemicals sector came down to Rs 49.3 crore, down from Rs 301.75 crore in Q1 FY24.

Meanwhile, the company's expenses remained steady at Rs 31,392.8 crore, marginally up by less than 1 per cent. This included purchases of Rs 25,732 crore worth of stock in trade in Q1, 3.48 per cent higher than the Rs 24,865 crore worth of purchases made in Q4 FY24.

"The company has incurred capital expenditure of about Rs 1,659 crore during the current quarter, mainly on pipelines, petrochemicals, equity to JVs, etc., which is about 21 per cent of the annual target of Rs 8,044 crore," Sandeep Kumar Gupta, chairman and managing director, GAIL, said. He added that GAIL has advanced its Net Zero carbon target for scope-1 and scope-2 emissions to 2035 from the earlier 2040.