GAIL’s Profit after Tax up by 180% for Q2 of FY 2016-17

 GAIL’s Profit after Tax up by 180% for Q2 of FY 2016-17 on year-on-year basis

PBT Rs. 1,375 crore up, by 151%; Gross Margin Rs. 1,851 crore, up by 61%

New Delhi, November 15, 2016: GAIL (India) Limited registered a 180% increase in Profit after Tax (PAT) in the second quarter of Financial Year 2016-17, boosted by a turnaround in its Petrochemical business and reduction in interest costs. The Company’s PAT for the quarter ending 30th September, 2016 rose to Rs. 925 crore from Rs. 330 crore in the corresponding quarter of the last fiscal. GAIL’s Profit before Tax (PBT) for the second quarter increased by 151% to Rs. 1,375 crores against Rs. 548 crore in the corresponding quarter of the last fiscal.

On half yearly basis, GAIL’s PAT (excluding gain from stake sale in Mahanagar Gas Limited) is Rs 1,771 crore,signifying an increase by 146%.

GAIL’s PAT in the second quarter of FY 2016-17 rose by 9% vis-à-vis the first quarter (excluding the gains from stake sale in Mahanagar Gas Limited) of current financial year, from Rs. 846 crore to Rs. 925 crore largely on account of better performance in Natural Gas Transmission and Petrochemical segment. During the quarter, GAIL’s Petrochemical business has seen a turnaround with sales jumping 61%  on year on year basis. This has resulted increase in revenue in this segment by 53% to Rs. 1,358 crore and the profit stood at Rs. 104 crore in this quarter as against loss of Rs. 364 crore in the corresponding quarter of the previous year.

The increase in net profit during Q2 of Financial Year 2016-17 on year-on-year basis, was also supported by increase in Natural Gas Marketing & Transmission volumes by 8% and 12% respectively and Liquid Hydrocarbon Sales by 9%.

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