HDFC Securities: GAIL India Posts Muted Q1
GAIL India building. (Image: Company website)

HDFC Securities: GAIL India Posts Muted Q1

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

HDFC Securities Report

GAIL India Ltd.’s 1QFY21 EBITDA/APAT was 47/52% below estimates as the company reported an operating loss of Rs 5bn in the NG marketing business vs our expectation of a profit of Rs 4bn.

Takeaways from the earnings call: Capacity utilisation in 1Q declined across segments: natural gas transmission 45% (vs. 53% QoQ), petchem 76% (vs. 86% QoQ), LPG transmission 99% (vs. 109% QoQ), polymers 66% (vs. 103% QoQ), liquid hydrocarbon 76% (vs. 85% QoQ). Demand for gas has recovered in 2Q.

Click on the attachment to read the full report:

HDFC Securities GAIL (India) Q1FY21 Results Update.pdf

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