Gujarat Gas jumped 5% to Rs 567.20 after the city gas distributor reported 42.3% rise in standalone net profit to Rs 349.93 crore on a 28.6% increase in net sales to Rs 3,428.92 crore in Q4 FY21 over Q4 FY20.
Profit before tax in Q4 FY21 stood at Rs 468.21 crore, up by 44.9% from Rs 323.05 crore in Q4 FY20.
The company's average gas sales volume for the quarter was at 12.13 million metric standard cubic meter per day (mmscmd), up by 22% compared to corresponding quarter previous year. In industrial and CNG category, the gas sales volume is up by 24% and 16% respectively, compared to corresponding quarter previous year.
The company recorded 6.9% growth in standalone net profit to Rs 1,275.50 crore on 4.3% decline in net sales to Rs 9,854.25 crore in FY21 over FY20.
During the year ended on 31 March 2021, the company added 150 new CNG stations, the highest by any City Gas Distribution (CGD) company in lndia. The company also added more than 1,00,000 households, 350 industrial customers and laid pipeline network of over 4600 kms including commissioned as well as ongoing projects.
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The company continues to hold the leadership position in CGD industry in terms of size and scale of operation, with more than 1.55 million households, over 13,000 commercial customers, 559 CNG stations, over 4,000 industrial units and close 30,000 kilometre of natural gas pipeline network, as on 31 March 2021.
The restrictions imposed to curb the outbreak of recent COVID-19 wave had an impact in the natural gas demand mainly from CNG, industrial and commercial categories. As restrictions are being lifted gradually in many of company's operating areas, natural gas demand is likely to improve. The company's gas sales volume till date in the FY22 stands close to 10 mmscmd as against average gas sales of 9.39 mmscmd in FY21.
Separately, the company's board of directors has approved the acquisition of city gas distribution business for Amritsar and Bhatinda geographical areas from Gujarat State Petronet for Rs 163.31 crore. The acquisition is expected to be completed within 45-60 days.
Gujarat Gas is engaged in natural gas distribution business, which involves distribution of gas from sources of supply to centres of demand and to the end customers.
On a year-to-date (YTD) basis, the stock has added 49.18% while the benchmark Sensex has added 8.45% during the same period.
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