Gail posts 23% drop in Q1 net at Rs 1,026 cr

Company said profit after tax of Rs 1,026 cr in the quarter saw growth of 21% on a y-o-y basis

State-run Gail (India) Ltd has posted a 23 per cent drop in net profit for the first quarter of the financial year ended on June 30 this year to Rs 1,026 crore, as against Rs 1,335.18 crore during the April to June quarter of 2016-17.

Meanwhile, the company’s revenue from operations zoomed 6.8 per cent to Rs 11,570.38 crore for the quarter under review, compared to Rs 10,832.12 crore during a year ago period.  “During the quarter, the company registered growth in physical performance in liquid hydrocarbon sales, natural gas transmission and LPG transmission by 16 per cent, 4 per cent and 26 per cent respectively as compared to corresponding period of the previous year,” the company said in a statement today.

The company said that its profit after tax of Rs 1,026 crore in the quarter has seen a growth of 21 per cent on a year-on-year basis, after excluding one-time gains of Rs 489 crore from stake sale in Mahanagar Gas Ltd during the first quarter of 2016-17. “This growth has been led by the better performance of gas transmission and LHC segment, better price realisation in LHC segment and a decrease in cost of production and finance cost,” the statement said.