GAIL (India) (GAIL) Q4 99/00 earnings summary

Executive summary

• FY 1999-2000 sales rose to Rs. 7,710.17 crore from Rs. 6,193.11 crore, while profit after tax fell to Rs. 861.27 crore from Rs. 1,059.92 crore.

• Operations expanded across gas, LPG and petrochemicals; the Pata LPG plant was commissioned ahead of schedule, and major pipeline and supply-diversification projects advanced.

Financial highlights

• Sales were Rs. 7,710.17 crore; other income was Rs. 149.30 crore, down from Rs. 251.04 crore; profit before tax was Rs. 1,031.27 crore and PAT Rs. 861.27 crore.

• Operating EBITDA was Rs. 1,627 crore versus Rs. 1,492 crore; non-recurring income was Rs. 60 crore versus Rs. 174 crore.

• Depreciation/write-off rose to Rs. 489 crore from Rs. 339 crore, and interest to Rs. 167 crore from Rs. 92 crore.

• Cash from operating activities was Rs. 1,310.93 crore; cash and cash equivalents increased to Rs. 801.63 crore from Rs. 347.92 crore.

Outlook and guidance

• A proposed 10-year investment programme exceeds Rs. 100 billion, targeting gas-market development, network expansion, exploration, imports, telecom infrastructure and international opportunities.

• Telecom entry as a carrier’s carrier through bandwidth leasing was progressing; the first phase was expected to be commissioned during 2001.

• The Jamnagar-Loni LPG pipeline was expected to commission in phases from October to December 2000; the Gandhar LPG plant was expected by May 2001.

• Gas-supply plans included participation in two NELP blocks, a proposed Trombay LNG terminal with ultimate capacity of 6 MMTPA, and exploration of coal-bed methane and lignite gasification.