Gail's 2Q Profit Up

India’s largest gas distributor Gail registered a 50% year-on-year increase in net profit for the three months to September 30 (2Q 2019) thanks to better performance by gas marketing, liquid hydrocarbon and petrochemicals segments, it said November 5.

Gail profit after tax for the quarter was rupees 19.63bn ($270mn), compared with rupees 13.10bn in the same quarter last year. The increase in net profit was supported by increase in natural gas marketing volumes by 14%, LPG transmission by 11%, petrochemicals sales by 4% and liquid hydrocarbon sales by 1%, Gail said, adding that better performance of the gas transmission segment followed higher tariffs by India's regulator for some of the pipeline network with effect from April 1, yielding rupees 1.94bn. This affected the Dahej-Uran-Dabhol-Panvel Pipeline; the Dukli-Maharajganj-Agartala regional network and the Gujarat regional network; and a one-time take or pay settlement of rupees 1.33bn with one of the gas customers, Gail added.

For the first half, profit after tax was rupees 32.22bn, up 38% on year.