Gandhinagar

India’s second largest natural gas infrastructure and transmission company Gujarat State Petronet Limited (GSPL) posted quarterly profit of Rs. 99.7 crore for the fourth quarter of fiscal 2016, reporting a steep rise of 49 percent vis-a-vis the same period last year.

For financial year ending March 2016, GSPL’s net profit grew 8 percent to Rs. 444.47 crore, compared to a net profit of Rs. 410.36 crore last year. The EPS for financial year 2015-16 increased to Rs. 7.89 per share from Rs. 7.29 per share in financial year 2014-15.

The Gas transmission volumes of GSPL have increased to 8966.39 MMSCM in the year 2015-16, from 8395.17 MMSCM in the year 2014-15.

In view of the impressive results posted by GSPL in the financial year 2015-16, the subsidiary of Gujarat State Petroleum Corporation Limited has recommended a dividend of Rs 1.5 per share, which amounts to a payout ratio of 23% including dividend tax.

The company, which owns and operates India’s 2nd largest Gas transmission network, also reported over 9% increase in its net worth at Rs. 3968 crore in FY 2015-16.

“The last financial year has been quite successful for us. Increased Gas Transmission Volumes and better cost optimization have been two key drivers of higher margins,” stated Dr. J.N. Singh (IAS), Managing Director of GSPL.

He also stated that with a benign LNG price regime and increase in LNG import facilities, gas consumption seems poised to increase multifold in the coming years, which would directly benefit gas transmission companies like GSPL, which already have in place extensive pipeline infrastructure. Further with the cross country pipelines being implemented in JV Companies, most of the volumes on those pipelines would also pass through GSPL network thereby further boosting GSPL business.

– DeshGujarat