How did you see the quarterly results of GAIL India for the Dec-21 quarter?
Answer
Answer
Gail reported strong growth in the top line. For the Dec-21 quarter, sales were up 66.99% at Rs.26,176 crore. GAIL reported flat revenues from gas transmission services at R.s1,673 crore but revenues from LPG transmission were marginally lower. However, natural gas marketing revenues surged 68.8% at Rs.25,118 crore on the back of strong natural gas prices. Revenues from the city gas business also doubled for GAIL on a yoy basis.
GAIL India Ltd
Rs in Crore
Dec-21
Dec-20
YOY
Sep-21
QOQ
Total Income (Rs cr)
₹ 26,176
₹ 15,675
66.99%
₹ 21,788
20.14%
EBITDA (Rs cr)
₹ 4,019
₹ 1,678
139.47%
₹ 3,018
33.18%
Net Profit (Rs cr)
₹ 3,781
₹ 1,884
100.72%
₹ 2,883
31.13%
Diluted EPS (Rs)
₹ 8.51
₹ 4.18
₹ 6.49
EBITDA Margin
15.35%
10.71%
13.85%
Net Margins
14.44%
12.02%
13.23%
Let us look at operating performance of GAIL. For the Dec-21 quarter, operating profits were up 139.5% at Rs.4,019 crore. The big boost came from natural gas marketing vertical where EBIT turned around from Rs-158cr to a positive EBIT of Rs.1,966 crore. EBIT growth also came from the LPG and liquid hydrocarbons business where EBIT tripled to Rs.855 crore. Operating margins improved handsomely from 10.71% in Dec-20 to 15.35% in Dec-21 Q3.
In terms of the bottom line for the Dec-21 quarter, net profits were up 100.7% yoy at Rs.3,781 crore on robust operating performance transmitted to the net profits. Much of the profit growth during the quarter came as a result of a sharp spike in prices of natural gas. PAT margins improved from 12.02% in Dec-20 quarter to 14.44% in the Dec-21 quarter. The PAT margins were also higher on a sequential basis by 121 bps. Overall, GAIL reported impressive numbers for Q3.