GAIL Q1 Results: Profit Rises 77%, Beats Estimates

GAIL (India) Ltd.'s consolidated net profit rose 77.5% in the first quarter of financial year 2025, beating analysts' estimates.

The integrated natural gas company's net profit increased to Rs 3,183 crore in the quarter-ended June, according to an exchange filing on Tuesday. Analysts tracked by Bloomberg had set a consensus estimate of Rs 2,148.5 crore.

The rise in net profit was mainly on account of increased gas transmission volume, domestic natural gas marketing volume, and improved natural gas marketing margin, the company said.

• Revenue up 6% to Rs 34,738 crore versus Rs 32,789 crore (Bloomberg estimate: Rs 32,892.7 crore).

• Ebitda up 80% to Rs 4,790 crore versus Rs 2,660 crore.

• Margin expands to 13.8% versus 8.1%.

• Net profit up 77.5% to Rs 3,183 crore versus Rs 1,793 crore (Estimate: Rs 2,148.5 crore)

Sandeep Kumar Gupta, chairman and managing director at GAIL (India), said that the company incurred Rs 1,659 crore of capex during the quarter, which is 21% of the FY25 capex target of Rs 8,044 crore.

Capex was mainly spent on pipelines, petrochemicals, and equity to joint ventures, said Gupta.

The company's natural gas transmissions services, which accounted for 6.7% of total revenue, saw the highest revenue growth of 7.3% sequentially.

The company's natural gas marketing segment, which accounts for 78% of total revenue, saw 5.1% revenue growth.

Both the petrochemical and LPG and liquid hydrocarbon segments saw revenue decline of 27.7% and 17.9%, respectively.