GAIL profit dips 9% in Q2 on gas marketing woes

GAIL India Ltd, the nation’s biggest gas company, on Tuesday reported a 8.5 per cent drop in September quarter net profit after losses on gas marketing offset gain made in the gas transportation business.

Consolidated net profit of Rs 1,068.16 crore, or Rs 2.47 per share, in July-September, is compared with Rs 1,167.58 crore, or Rs 2.59 a share, net profit in the year-ago period, GAIL said in a filing to stock exchanges.

Turnover slipped 23.7 per cent to Rs 14,104.80 crore largely due to lower gas prices during the quarter.

GAIL reported a pre-tax loss of Rs 334.55 crore on its natural gas marketing business as the pandemic impacted demand. The loss was however lower than Rs 614.06 crore pre-tax loss in April-June. The business had Rs 241.72 crore of pre-tax profit in July-September 2019.