Adani Gas' Q2 Profit More Than Doubles
Indian gas retailer Adani Gas, a part of the Adani group, November 12 reported a 137% year on year in profit after tax for the three months to September 30 (Q2 2020) thanks to the reduction in tax expenses.
Company’s Q2 profit after tax was rupees 1.2bn ($17mn) as against 510mn in the same period last year. Revenue from operations during Q2 increased 12% year on year to rupees 5.03bn.
"Increase in PAT [profit after tax] reflects the reduction in tax expenses on account of changes made vide Taxation Laws Amendment Ordinance 2019 as applicable to the company," Adani Gas said.
Adani Gas’s compressed natural gas volume increase 9% to 75mn m3 while piped natural gas volume rose 6% year on year to 71mn m3, the company said. Overall gas sales volume grew by 7% to 146mn m3.
During the six months to September 30 (H1 2020) profit after tax increased by 89% year on year to rupees 1.99bn while revenue from operations increased 16% to rupees 9.82bn, Adani Gas said.
The company recently won additional geographical areas (GA) in the ninth and tenth rounds of city gas distribution (CGD) bidding. With these wins, Adani Gas is now authorised for 19 GAs and its joint venture with Indian Oil is now authorised for 19 GAs for natural gas network development and distribution, making it one of the leading CGD players in the country.
Adani Gas operates CGD networks in five locations: Ahmedabad, Baroda, Faridabad, Khurja and Palwal. Its joint venture with Indian Oil is running CGD networks at Prayagraj, Chandigarh, Panipat, Udham Singh Nagar, Daman, Dharwad, Ernakulam and Bulandshahr.