Press Releases
[New Delhi, July 27, 2005]
GAIL Consortium bags Two Exploration blocks
PAT up by 43 % in the first quarter of FY 2005-06
· Gross Margin up by 25 %
· Turnover up by 14 %
· EPS: Rs. 5.72 vs Rs. 4.01
· Natural Gas Transmission up by 14 %
· LPG Transmission up by 16 %
New Delhi, 27.07.2005. GAIL (India) Limited today announced the consistent growth in the first quarter of the current financial year. Turnover of the company (excluding Excise Duty) has increased by 14 % to Rs. 3288 crores in the first quarter of 2005-06 as against Rs. 2874 crore in the first quarter of the previous financial year. Gross margin is also up by 25 %. The company’s Physical Performance has registered improvements in Natural Gas Trading , Natural Gas/LPG Transmission, and LPG & Other Liquid Hydrocarbons business segments.
Profit After Tax has increased to Rs. 483 crore from Rs. 339 crore in the corresponding quarter, which is up by 43 per cent. A provision of Rs. 153 crore has been made from Sales towards under recoveries of sensitive petroleum products in terms of the instructions from Ministry of Petroleum and Natural Gas as compared to Rs. 226 crore in the corresponding quarter of previous year.
Highlights of the Financial and Physical performance are as under:
Financial Performance: Q1 FY ’06 (April to June ’05) vs. Q1 FY 05 (April to June 04)
· Turnover (excluding excise duty) up by 14 % to Rs. 3288 crore as against Rs. 2874 crore.
· Natural Gas Trading registered an increase of 15 % to Rs. 2205 crore from Rs. 1922 crore.
· Profit After Tax has increased to Rs. 483 crore from Rs. 339 in the corresponding quarter, which is up by 43 per cent.
· Interest and Financing Charges declined by 27 % to Rs. 30 crore from Rs.41crore.
· EPS is also increased to Rs. 5.72 as against Rs. 4.01
Physical Performance: Highlights of Q1 FY ’06 (April to June ’05) vs. Q1 FY 05 (April to June 04)
· Natural Gas Transmission increased to 78.93 MMSCMD as against 69.10 MMSCMD, an increase of 14 %.
· Transmission of LPG increased to 487 KMT as against 421 KMT, an increase of 16%.
· LPG and Liquid Hydrocarbons production increased by 2 % to 329 KMT from 323 KMT.
Commenting on the first quarter financial results of 2005-06, Shri Prashanto Banerjee, Chairman & Managing Director, GAIL (India), said, “I am happy that we could show an increase of 43 per cent in PAT primarily on account of a reduction in subsidy burden by 32 per cent.”
About GAIL (India) Limited
GAIL, a natural gas major, is focused on all aspects of the gas value chain including Exploration and Production, Gas Marketing and Transmission, Gas Processing, LPG Production, Petrochemicals and telecom. The company has also extended its presence in power, LNG re-gasification, city gas distribution and E & P through Equity/JV participations. Under its globalization initiatives, GAIL has already taken equity participation in three retail gas companies in Egypt i.e Fayum Gas Company, NATGAS and Shell CNG, Egypt and acquired around 9 per cent equity in China Gas Holdings in China. GAIL is pursuing business opportunities in countries like Egypt, China, Iran, Myanmar, Russia, Kazakastan, Bangladesh, Turkey, and Romania in the areas of exploration and production, gas transmission, CNG and city gas distribution, LNG and petrochemicals. GAIL is also playing a key role in the area of Cross Border Pipelines in bringing Pipeline gas into India. For the first time, GAIL is making a foray in Crude Oil Transmission, by pursuing an opportunity in establishing a Pipeline from Samsun to Ceyhan in Turkey. GAIL has set up a wholly- owned subsidiary company viz GAIL Global (Singapore) Pte Ltd in Singapore. The company has recorded growth in all key physical as well as financial parameters in the Financial Year 2004-05. Turnover (excluding internal consumption and net of excise duty) in the year 2004-05 went up by 15 per cent to Rs. 12,412 crore from Rs. 10,827 crore in FY 2003-04. The Profit After Tax during the year 2004-05 was up by 5 per cent to Rs. 1,954 crore from Rs. 1,869 crore in the previous year.
Recent Developments
· GAIL Consortium has bagged 2 blocks under NELP-V, one Deep Water Block (AN-DWN-2003/2) in Andaman with ENI India Limited and ONGCL and the other Onland Block (CB-ONN-2003/2) in Cambay, Gujarat with GSPCL, Jubilant Capital Pvt. Ltd and Geo Global Resources and expects to get at least one more. .
· GAIL (India) Limited has received the coveted NPMP award in recognition of excellence in Enterprise Category for Dahej-Vijaipur Pipeline Project.
· The Board of Directors of GAIL has approved an equity contribution of Rs. 500 crore in the Ratnagiri Gas and Power Private Limited (RGPPL), a company which was incorporated on the 8th of July 2005 as a 50:50 joint venture between GAIL and NTPC for taking over the assets of the Dabhol Project. The investment will be made after the approval by the Cabinet Committee on Economic Affairs.