PL First Cut - GAIL Q2FY24

PL First Cut – GAIL Q2FY24 – Swarnendu Bhushan – Co – Head of Research, Prabhudas Lilladher Pvt Ltd

GAIL Q2FY24 Results First Cut: Better than expected results

· GAIL reported higher than estimated result with an EBITDA of Rs 34.9 bn (up 44% QoQ, PLe: Rs 26.4 bn) while PAT came in at Rs 24 bn (up 70% QoQ, PLe: Rs 17.8 bn)

· Transmission volume stood at 120 mmscmd (up 3% QoQ, PLe: 118 mmscmd) and trading volumes were 97 mmscmd (down 2% QoQ, Ple: 103 mmscmd). Trading volumes declined due to decrease in overseas demand.

· Gas transmission EBIT at Rs 12.9 bn was up 26% QoQ

· Gas Trading EBIT at Rs 17.8 bn, was up 76.1% QoQ

· Petchem EBIT loss narrowed to Rs 1.6 bn (vs EBIT loss of Rs 3bn in Q1FY24)