GAIL was hit by lower gas sales due to supply disruption. (file)
Bengaluru:
The country’s largest gas distributor GAIL (India) Ltd on Monday reported a nearly 93% drop in quarterly profit, hit by lower gas sales due to supply disruptions.
The state-owned gas company’s standalone profit fell to 2.46 billion rupees ($30.14 million) in the quarter ended December 31, from 32.88 billion rupees a year earlier.
GAIL’s revenue from operations grew over 37% to Rs 353.80 billion, driving value addition to customers.
The company reported a natural gas marketing loss of Rs 860.2 million as against a profit of Rs 17.50 billion a year ago.
Profit before tax in the natural gas transmission segment fell by more than half to Rs 4.26 billion.
The state-owned firm is grappling with the impact of Russia-owned Gazprom Marketing and Trading’s failure to deliver some liquefied natural gas (LNG) cargoes following Western sanctions on Moscow over its invasion of Ukraine last year. .
GAIL signed a 20-year agreement with Gazprom Marketing and Trading Singapore (GMTS) in 2012 for annual purchase of liquefied natural gas (LNG) at an average of 2.5 million tonnes.
GMTS was a unit of Gazprom Germania, now called SAFE, but the parent left the business last April following Western sanctions.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
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