GAIL INDIA Q2 results indicate a 7% increase in share value following the company’s announcement of a 10% rise in net profit for the September quarter. The net profit reached ₹2,689.67 crore, up from ₹2,442.18 crore during the same period last year.
The boost in profit was primarily driven by the gas transmission segment, which saw an 8% increase in pre-tax earnings, amounting to ₹1,402.81 crore. Additionally, a significant turnaround was observed in the petrochemicals sector, which reported earnings of ₹146.19 crore compared to a loss last year.
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Conversely, the marketing division of GAIL faced a decline, with earnings falling 27% to ₹1,253.64 crore. Despite this, the company’s overall revenue from operations remained almost unchanged at ₹33,981.33 crore.
GAIL reported natural gas transmission volumes at 130.63 MMSCMD and marketing volumes at 96.60 MMSCMD for the quarter. Sales of LHC and Polymers also saw an increase, with figures rising to 253 TMT and 226 TMT, respectively.
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The company has also been active in capital expenditure, spending ₹1,885 crore this quarter primarily on pipelines and petrochemical enhancements. This expenditure has contributed to a total capex of ₹3,544 crore for the first half of the fiscal year.
As a Maharatna PSU, GAIL stands as a leader in the Indian natural gas sector, integrating various facets of the natural gas value chain. This status highlights its significant role in India’s energy infrastructure.
