- 30 May 2022
- ICICIdirect Research
Gail posts Q4FY22 numbersGAIL - 104 Change: 0.00 (0.00 %)
News: Revenue increased 73.4% YoY to Rs 26961.9 crore in Q4FY22. Gas transmission volume was 107.6 mmscmd, down 2% YoY while trading volume stood at 94.7 mmscmd, up 3.6% YoY. Gas trading and petchem segment reported higher than expected profitability whereas LPG profitability was lower than expected. Subsequently, EBITDA stood at Rs 3714.5 crore, up 44.8% YoY leading to PAT of Rs 2683.1 crore, up 40.6% YoY
Views: Results were largely in line with expectations on profitability front. Gail's gas transmission volumes during Q4FY22 declined YoY and steady growth is expected going ahead with partial easing of spot LNG prices. Petchem segment's performance was better than anticipated mainly due to lower costs. Although spot LNG prices have witnessed decline QoQ, prices are still trading at higher level and we expect gas trading segment to report profits in near term. Higher earnings from gas trading segment along with steadily growing gas transmission and CGD business will be key monitorable for the company.