India's Petronet LNG reports 3% drop in annual profit

Petronet LNG, India’s biggest LNG importer, on May 3 reported a 3.3% year/year drop in profit for the 12 months to March 31 (FY2023) due to the impact of foreign exchange loss.

The company’s standalone net profit in FY2023 was 32.4bn rupees ($400mn) versus 33.52bn in the previous fiscal year. Due to foreign exchange volatility, the lease liability has an accounting impact of foreign exchange loss amounting to 2.58bn rupees in FY202 as against 0.91bn in the previous financial year.

During the three months to March 31 (Q4FY2023), Petronet LNG’s net profit was down 18% to 6.14bn rupees. In Q4FY2023 the Dahej terminal processed 172 trillion Btu of LNG versus 154 trillion during Q3FY2023 and 178 trillion Btu a year ago.

The overall LNG volume processed by the company in Q4FY2023 was 185 trillion Btu, as against 190 trillion Btu a year ago.

During FY2023 the Dahej terminal processed 704 trillion Btu of LNG against 793 trillion Btu in FY2022. The overall LNG volume processed by the company in the year was 752 trillion Btu compared with 847 trillion Btu in the previous year.

The company currently operates two land-based LNG import and regasification terminals on the west coast of India at Dahej in the state of Gujarat and Kochi in the state of Kerala. Last year, it signed a term sheet with Gopalpur Ports regarding a floating LNG import terminal in the eastern Indian state of Odisha.

Petronet LNG plans to connect the proposed 4mn metric tons/year terminal to state-owned gas transportation company Gail’s trunk line which is about 36 km away. The company may convert the floating terminal to a land-based terminal later.