GAIL (India) gains after strong Q1 results

GAIL (India) rose 1.37% to Rs 401.95 at 9:25 IST on BSE after net profit jumped 244.03% to Rs 1335.18 crore on 9.98% decline in total income to Rs 11457.20 crore in Q1 June 2016 over Q1 June 2015.

The result was announced after market hours yesterday, 7 September 2016. Meanwhile, the S&P BSE Sensex was down 3.50 points or 0.01% at 28,922.86.

On BSE, so far 60,000 shares were traded in the counter as against average daily volume of 2.32 lakh shares in the past two weeks. The stock hit a high of Rs 407 and a low of Rs 400 so far during the day. The stock had hit a 52-week high of Rs 407.80 yesterday, 7 September 2016. The stock had hit a 52-week low of Rs 272.75 on 7 September 2015.

The large-cap company has equity capital of Rs 1268.48 crore. Face value per share is Rs 10.

GAIL (India) attributed the sharp surge in its bottom line in Q1 June 2016 to turnaround in its petrochemical business and partial sale of stake in Mahanagar Gas. The company's profit after tax (PAT) excluding gain from stake sale in Mahanagar Gas rose 118% to Rs 846 crore in Q1 June 2016 over Q1 June 2015. The company's bottom line growth during the quarter was also supported by increase in natural gas sales and transmission volumes.

Meanwhile, shares of GAIL (India) turned ex-dividend today, 8 September 2016, for final dividend of Rs 3 per share for the year ended 31 March 2016 (FY 2016). Before turning ex-dividend, the stock offered a dividend yield of 0.75% based on the closing price of Rs 396.50 on BSE yesterday, 7 September 2016.