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Petronet LNG Ltd. Fundamental Analysis English

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Petronet LNG Fundamental Analysis

Petronet LNG Ltd’s fundamental analysis highlights key financial metrics: Market Cap of ₹56,317.50 crore, PE Ratio of 12.5, Debt to Equity of 17.28, and Return on Equity of 22.36%. These indicators reflect the company’s financial health and market valuation.

Petronet LNG Ltd Overview

Petronet LNG Ltd is an Indian company engaged in the sale of regasified liquefied natural gas (RLNG). It operates in the energy sector, primarily focusing on importing and processing liquefied natural gas (LNG).

The company is listed on both the NSE and BSE. With a market capitalization of ₹56,317.50 crore, it’s currently 1.33% away from its 52-week high and 95.85% away from its 52-week low.

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Petronet LNG Ltd Financial Results

Petronet LNG Ltd reported robust financial performance in FY24, with sales of ₹52,729 crores and operating profit of ₹5,205 crores. Net profit stood at ₹3,652 crores, with an EPS of ₹24. The company maintained its equity capital at ₹1,500 crores, while reserves grew to ₹15,910 crores.

1. Revenue Trend: Sales decreased from ₹59,899 crores in FY23 to ₹52,729 crores in FY24, showing a decline in overall revenue by approximately ₹7,170 crores.

2. Equity and Liabilities: Petronet LNG maintained its equity capital at ₹1,500 crores, with total liabilities increasing from ₹22,752 crores in FY23 to ₹25,523 crores in FY24.

3. Profitability: Operating profit rose from ₹4,854 crores in FY23 to ₹5,205 crores in FY24. The OPM improved to 9.76% in FY24, compared to 8.03% in FY23.

4. Earnings per Share (EPS): EPS improved to ₹24 in FY24, up from ₹22 in FY23, reflecting growth in net profitability.

5. Return on Net Worth (RoNW): The company showcased a steady return on its equity, driven by growing reserves and stable financial management.

6. Financial Position: Petronet LNG’s total assets increased to ₹25,523 crores in FY24, with current assets rising to ₹12,894 crores, indicating stronger liquidity compared to FY23’s ₹11,847 crores.

Petronet LNG Ltd Financial Analysis

FY 24FY 23FY 22
Sales52,72959,89943,169
Expenses47,52455,04537,920
Operating Profit5,2054,8545,249
OPM %9.768.0312.08
Other Income608523298
EBITDA5,8145,3775,546
Interest290331317
Depreciation777764768
Profit Before Tax4,7484,2824,461
Tax %25.7125.5625.13
Net Profit3,6523,3263,438
EPS242223
Dividend Payout %41.0745.1150.17

* Consolidated Figures in Rs. Crores

Petronet LNG Limited Company Metrics

Petronet LNG Ltd company metrics include a market capitalization of ₹56,317.50 crore, a book value per share of ₹113, and a face value of ₹10. With a debt-to-equity ratio of 17.28, a return on equity of 22.36%, and a 2.66% dividend yield, these figures underscore the company’s financial position and investment profile.

Market Capitalization:

Market Capitalization represents the total market value of Petronet LNG’s outstanding shares, amounting to ₹56,317.50 crore.

Book Value:

The book value per share of Petronet LNG is ₹113, indicating the value of the company’s net assets divided by its shares outstanding.

Face Value:

The face value of Petronet LNG’s shares is ₹10, which is the original cost of the shares as stated on the certificate.

Asset Turnover Ratio:

The asset turnover ratio of 2.21 measures how efficiently Petronet LNG uses its assets to generate revenue.

Total Debt:

The total debt of ₹3,008.1 crore represents the sum of all short-term and long-term debt obligations of Petronet LNG.

Return on Equity (ROE):

The ROE of 22.36% measures Petronet LNG’s profitability in generating income from its equity investments.

EBITDA (Q):

The quarterly EBITDA of ₹1,740.21 crore represents Petronet LNG’s earnings before interest, taxes, depreciation, and amortization.

Dividend Yield:

The dividend yield of 2.66% shows the annual dividend payment as a percentage of Petronet LNG’s current share price, indicating the return on investment from dividends alone.

Petronet LNG Ltd Stock Performance

Petronet LNG Ltd has demonstrated fluctuating returns over various periods. It delivered a strong return of 34.8% in one year, a moderate 12.2% over three years, and a relatively low 3.91% over five years, showcasing varied performance depending on the investment horizon.

PeriodReturn on Investment (%)
1 Year34.8 
3 Years12.2 
5 Years3.91 

Example: If you had invested ₹1,000 in Petronet LNG Ltd stock:

1 year ago, your investment would now be worth ₹1,348. 

3 years ago, your investment would have grown to ₹1,122. 

5 years ago, your investment would now be approximately ₹1,039.

Petronet LNG Peer Comparison

Petronet LNG Ltd has a market capitalization of ₹48,427.5 Crores and a P/E ratio of 12.46. It shows an ROE of 22.19% and a dividend yield of 3.1%. With a 1-year return of 34.75%, it outperforms peers like GAIL and Gujarat Gas in returns but trails Mahanagar Gas, which has an 84.33% return.

NameCMP Rs.Mar Cap Rs.Cr.P/EROE %EPS 12M Rs.1Yr return %ROCE %Div Yld %
GAIL (India)210.9213868212.2913.9717.1770.7214.662.61
Adani Total Gas776.285367.26123.8820.466.2721.8921.20.03
Petronet LNG322.8548427.512.4622.1925.9234.7526.413.1
Gujarat Gas619.542645.7735.0715.0318.2738.8220.510.91
Indraprastha Gas542.637982.0422.221.7624.4417.0428.761.66
Guj.St.Petronet402.4522706.6913.616.0630.1239.8921.461.24
Mahanagar Gas1915.2518918.4115.727.79122.0184.3336.61.57

Petronet LNG Shareholding Pattern

Petronet LNG Ltd’s shareholding pattern for June 2024 shows Promoters holding steady at 50%, unchanged from the previous two quarters. Foreign Institutional Investors (FIIs) own 25.58%, slightly down from March 2024. Domestic Institutional Investors (DIIs) hold 12.86%, while retail and others hold 11.56%.

All values in %Jun-24Mar-24Dec-23
Promoters50.0050.0050.00
FII25.5826.2226.82
DII12.8611.3710.95
Retail & others11.5612.4112.21

Petronet LNG Ltd History

Petronet LNG Limited (PLL) is a key player in India’s natural gas sector, specializing in the import and processing of liquefied natural gas (LNG). The company’s primary business revolves around the sale of regasified liquefied natural gas (RLNG), which consists mainly of methane and ethane, with some propane and butane.

PLL operates two major LNG terminals in India. The Dahej LNG terminal in Gujarat has an original nameplate capacity of approximately five million metric tons per annum. The Kochi LNG terminal in Kerala also has a nameplate capacity of about five million metric tons per annum and includes re-loading capabilities.

In addition to its LNG operations, Petronet LNG has diversified into solid cargo handling. Its Solid Cargo Port Terminal facilitates the import and export of bulk products such as coal, steel, and fertilizer. The company has also expanded its reach through subsidiaries like Petronet LNG Foundation, Petronet Energy Limited, and Petronet LNG Singapore Pte. Ltd.

How To Invest In Petronet LNG Share?

To invest in Petronet LNG shares, open a demat account with Alice Blue. Research the company’s fundamentals, financial performance, and position in the energy sector. Analyze historical stock data and compare it with industry peers.

Determine your investment strategy based on your financial goals and risk tolerance. Consider factors such as LNG demand, government policies on natural gas, and the company’s infrastructure development plans. Decide on the investment amount and timing.

Place your order through the broker’s platform. Regularly monitor your investment, staying updated on company news, quarterly results, and energy sector trends. Consider seeking advice from a financial advisor for personalized guidance and to ensure your investment aligns with your overall portfolio strategy.

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Petronet LNG Fundamental Analysis – FAQs

1. What Is The Fundamental Analysis Of Petronet LNG Ltd?

Petronet LNG Ltd fundamental analysis reveals a Market Cap of ₹56,317.50 crore, PE Ratio of 12.5, Debt to Equity of 17.28, and Return on Equity of 22.36%. These metrics provide insights into the company’s financial health, profitability, and market valuation.

2. What is the Market Cap of Petronet LNG?

Petronet LNG’s market capitalization is ₹56,317.50 crore. This figure represents the total value of the company’s outstanding shares in the stock market, calculated by multiplying the current stock price by the number of outstanding shares.

3. What Is Petronet LNG Limited?

Petronet LNG Limited is an Indian company specializing in importing and processing liquefied natural gas (LNG). It operates LNG terminals, engages in the sale of regasified LNG, and has diversified into solid cargo handling, playing a crucial role in India’s natural gas infrastructure.

4. Who owns Petronet LNG?

Petronet LNG is a public limited company with diverse ownership. Its promoters include major Indian oil and gas companies like GAIL, ONGC, Indian Oil Corporation, and Bharat Petroleum. The remaining ownership is distributed among various institutional and individual shareholders.

5. Who Are The Main Shareholders Of Petronet LNG Ltd?

The main shareholders of Petronet LNG Ltd include its promoter companies (GAIL, ONGC, Indian Oil Corporation, and Bharat Petroleum), along with institutional investors and public shareholders. For the most current information, refer to the company’s latest shareholding pattern disclosure.

6. What Type Of Industry Is Petronet LNG?

Petronet LNG operates in the energy industry, specifically in the natural gas sector. The company specializes in LNG import, processing, and distribution, playing a crucial role in India’s natural gas infrastructure and energy supply chain.

7. How To Invest In Petronet LNG Ltd Share?

To invest in Petronet LNG shares, open a demat account with Alice Blue. Research the company’s performance and energy sector trends. Decide on your investment strategy. Place your order through the broker’s platform. Regularly monitor your investment, staying informed about market conditions. Consider seeking financial advice for personalized guidance.

8. Is Petronet LNG Ltd Overvalued Or Undervalued?

Determining if Petronet LNG is overvalued or undervalued requires analyzing its financials, growth prospects, industry position, and peer comparison. Consider factors like PE ratio, future earnings potential, and natural gas sector trends. Consult recent analyst reports for expert opinions on the company’s valuation.

Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time. The securities quoted are exemplary and are not recommendatory.

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