Great Eastern Energy Corp (GEECL), which produces coal bed methane (CBM) gas in West Bengal, reported a 29.6% year-on-year (y-o-y) fall in its net profit to $6.99 million in FY20, as it sold lesser volumes of gas at a lower prices in the fiscal compared to FY19. The company, listed on the London Stock Exchange, sold 10.38 million standard cubic feet per day (mmscfd) CBM gas in the fiscal, down 9.6% annually. The average price of gas sold by GEECL in FY20 was $10.27/mmbtu, 1.5% lower than the preceding fiscal.
The company’s earnings before interest, taxes, depreciation and amortisation (Ebitda) fell 24.8% y-o-y to $20.95 million. GEECL’s net debt at FY20-end stood at $56.1 million, 19.4% lower annually. The debt-to-equity ratio was at 0.65, lower than the level of 0.81 at the end of FY19. “With the steps being taken by the government to accelerate the growth of the Indian economy, demand for hydrocarbons in India will continue to grow, as is evident from the rising imports,” GEECL’s CEO Prashant Modi said.
