GAIL India Q4 Results: Profit Jumps On Deferred Tax Reversal
A GAIL India Ltd. logo sits on a sign during a news conference in New Delhi, India. (Photographer: Prashanth Vishwanathan/Bloomberg)

GAIL India Q4 Results: Profit Jumps On Deferred Tax Reversal

GAIL (India) Ltd.'s quarterly profit more than doubled due to a deferred tax reversal.

Net profit of the gas distributor stood at Rs 3,018.2 crore in the quarter ended March compared with Rs 1,250.6 crore in the preceding three months, according to an exchange filing. That compares with the Rs 1,245-crore consensus estimate of analysts tracked by Bloomberg.

The company's bottom line was aided by a deferred tax reversal worth Rs 1,588.1 crore. A 64% jump in other income at Rs 513.2 crore, too, lifted earnings. It, however, reported an impairment loss of Rs 101.6 crore during the quarter.

GAIL's revenue remained flat at Rs 17,755 crore, compared with the Rs 16,912-crore forecast.

The company's earnings before interest, tax, depreciation and amortisation rose 19% sequentially to Rs 2,475.5 crore. Analysts had pegged the Ebitda at Rs 1,899 crore. Its margin expanded to 13.9% from 11.7% in the three months ended December, aided by lower expenses and employee costs.

GAIL’s Segmental Performance

(quarter-on-quarter)

  • Revenue from the natural gas segment remained flat at Rs 1,554.2 crore.
  • LPG segment revenue, too, was flat at Rs 171.86 crore.
  • Natural gas marketing segment revenue rose to Rs 14,744 crore from Rs 14,662 crore.
  • Petrochemicals segment revenue fell to Rs 1,217.4 crore from Rs 1,482.8 crore.

Shares of GAIL gained as much as 5.1% after the results were announced, compared with a 0.3% drop in the Nifty 50 Index.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.