Gujarat State Petronet (GSPL) Q4 04/05 earnings summary

Executive summary

• Total income rose 44% YoY to Rs.205.50 crore; profit before tax increased 65% to Rs.29.38 crore.

• Grid build-out advanced to 448 km constructed and 433 km operational, with gas transported of 3,017.548 MMSCM during FY2004-05.

Financial highlights

• Total income was Rs.205.50 crore vs Rs.142.09 crore in FY2003-04; profit before tax was Rs.29.38 crore vs Rs.17.75 crore.

• Profit after tax was Rs.16.05 crore; gross margin was Rs.131.33 crore vs Rs.82.03 crore YoY.

• Net worth increased to Rs.403 crore from Rs.258 crore; gross fixed assets increased to Rs.872.73 crore from Rs.475.11 crore.

Outlook and guidance

• Planned a ~2,200 km Gujarat gas grid; five pipeline projects were under execution or planning, with stated commissioning targets from January to July 2006.

• Expansion funding requirement was estimated at Rs.1,450 crore; plans included raising funds from the market, including an IPO.

• Additional GTAs were expected in FY2005-06, following agreements covering ~13.67 MMSCMD of gas transportation.