Gujarat Gas Ltd shares declined nearly 7 percent on Thursday as the June quarter results of the city gas distributor missed street estimates.
The company's revenue declined 4 percent for the quarter to Rs 3,781.5 crore, which was lower than the CNBC-TV18 poll of Rs 4,019 crore.
Other parameters like EBITDA, margin and net profit also missed street expectations. Net profit compared to the March quarter declined 41 percent.
The company’s volume stood at 9.5 mmscmd in the June quarter as against the poll estimate of 9.9 mmscmd for the period. EBITDA/scm was at Rs 4.6 against the estimate of Rs 5.
While the CNG volume was up 7 percent on a yearly basis, household volumes rose by 9 percent compared to the year-ago period. Commercial volume dropped by 11 percent on year.
Gujarat Gas also approved an equity investment of up to Rs 100 crore in GSPC LNG Ltd. The company’s holding in GSPC LNG would be at 7.87 percent.
GSPC LNG is the operating company of 5 MTPA Mundra LNG terminal. This is a related party transaction.
Shares of Gujarat Gas are off the day's low but are trading 3.4 percent lower at Rs 456.10. The stock is trading near its 52-week low at Rs 429.70.
