GAIL (India) up 7% post December quarter results; analysts maintain ‘buy’
Shares of GAIL (India) surged 7 per cent to Rs 130 on the BSE on Tuesday after most of the brokerage firms maintained ‘buy’ rating on the stock following earnings improvement in the December quarter (Q3FY20).
The company’s profit before tax (PBT) witnessed quarter on quarter (QoQ) growth of 22 per cent at Rs 1,872 crore in Q3FY20. Net profit, meanwhile, jumped 18 per cent to Rs 1,251 crore from Rs 1,064 crore reported in Q2FY20. The company said rise in profit is mainly due to better physical performance, better margins in the gas marketing and liquid hydrocarbons (LHC) segment.
The company said its turnover in the quarter was maintained at Rs 17,735 crore, as against Rs 18,010 crore in Q2FY20 with volume growth mainly in gas transmission, gas trading, liquefied petroleum gas (LPG) transmission, and LHC businesses neutralizing, the drag in prices of petrochemicals and natural gas.
