Petronet LNG (PETRONET) Q2 26/27 earnings summary

Executive summary

• Best-ever Q2 and H1 PBT and PAT; Q2 LNG throughput was 231 TBTU, up 12% QoQ and 1% YoY.

• Q2 standalone PAT was ₹1,235.40 crore and consolidated PAT after JV share was ₹1,256.43 crore; the board declared an interim dividend of ₹7 per share.

Financial highlights

• Q2 standalone PBT was ₹1,659.10 crore and PAT ₹1,235.40 crore, up 53% YoY; QoQ, PBT rose 10% and PAT 9%.

• H1 standalone PBT was ₹3,173.53 crore and PAT ₹2,368.12 crore, both up 43% YoY.

• Q2 standalone revenue from operations was ₹7,200.35 crore; H1 revenue was ₹12,754.49 crore versus ₹22,888.99 crore in H1 FY26.

• Regasification service revenue was ₹1,272 crore; operational and commercial efficiency gains were ₹658 crore, versus ₹494 crore in Q1 and ₹41 crore in Q2 last year.

• Lease-accounting forex loss was ₹27 crore, separate from operational and commercial efficiency gains.

Outlook and guidance

• FY27 CapEx target is ~₹9,000 crore; H1 spend was ₹1,626 crore, with higher H2 financial progress expected as major orders are placed and projects remain on schedule.

• FY28 CapEx is expected at a similar level to FY27, with a gradual decline beginning in FY29.

• Dahej’s additional 5 mtpa capacity has no signed offtake agreements or commitments; long-term tie-ups are preferred and discussions are ongoing.

• April 2028 contract renewal discussions are ongoing; management expects arrangements to be finalized before commencement.

• Kochi-Bangalore pipeline connection to the national grid is expected within FY27; management gave a more conservative timeline than GAIL’s indication of December.