India's Adani Gas Q1 Profit Slumps

Indian gas retailer Adani Gas, a part of the Adani group, reported a 42% yr/yr drop in net profit during the three months to June 20 (Q1) owing to a decline in the volumes of gas sold, it said on August 5.

The company’s net profit was rupees 460mn ($6mn) versus rupees 790mn in the same period of last year. The gas sales volume during the quarter dropped 53% yr/yr thanks to the nationwide lockdown. Compressed natural gas sales dropped 66% yr/yr while piped natural gas sales declined 40% yr/yr. Adani Gas’ revenue from operations stood at rupees 2.07bn, down from rupees 4.79bn in the corresponding period of last year.

Last year, the company won additional geographical areas (GA) in the ninth and tenth rounds of city gas distribution (CGD) bidding. It is now authorised for 19 GAs and its joint venture with state-run 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.