Improved realisation for GAIL

CORPORATE SCORECARD

GAIL (India), the country's largest transporter and marketer of natural gas, has posted a 16 per cent growth in net profit in the first quarter of the current year on the back of higher per unit realisation from petrochemicals, and a 19 per cent increase in its LPG transmission business.

The net profit was higher even though its share in the LPG and kerosene subsidy was Rs 272 crore in the quarter, up from Rs 250 crore in the corresponding previous quarter.

The net profit increased to Rs 685 crore in the first quarter of the current financial year against Rs 592 crore in the corresponding previous year, while the turnover increased by 4 per cent to Rs 4,246 crore from Rs 4,078 crore in the first quarter of the previous financial year.

The company's profit before tax also increased by 14 per cent to Rs 969 crore in the first quarter against Rs 852 crore last year.

The gas utility's revenues from petrochemicals increased by 41 per cent to Rs 778 crore from Rs 550 crore in the corresponding period last year.

Revenues from LPG transmission increased by 30 per cent to Rs 92 crore against Rs 71 crore, while that from the LPG and liquid hydrocarbons business increased by 5 per cent to Rs 675 crore from Rs 641 crore in the corresponding previous period.

The natural gas transmission business, the company's core business area, however, suffered as revenues from trading fell to Rs 2,956 crore from Rs 2,978 crore in the last corresponding quarter. Revenues from transmission fell to Rs 540 crore from Rs 600 crore.

"The decrease in revenues from natural gas transmission was due to the reduction in tariff in the Hazira-Vijaipur-Jagdishpur pipeline and the Krishna-Godavari basin pipeline networks," the company said in a statement.

The company's polymer and LPG transmission businesses have performed well with polymer sales increasing 29 per cent to 105,000 million tonnes, from 81,000 tonnes in the previous quarter. LPG transmission also increased to 621,000 tonnes.