Petronet LNG’s Profit Rises Despite 11% Revenue Fall In January-March

Petronet LNG Ltd reported a net profit of ₹10.70 billion for the quarter ended March, up more than 45% year on year and beating Street estimates of ₹7.90 billion. This growth followed a contraction in the December quarter, marking a return to profit growth since March 2023.

Consolidated revenue fell nearly 11% to ₹123.16 billion, slightly above analyst estimates of ₹120.84 billion, due to lower sales volumes despite a 49% rise in spot LNG prices boosting margins. Sequentially, net profit rose just over 23% while revenue grew about 1%.

Other income increased 27% to nearly ₹2 billion.

Total expenditure dropped nearly 15% to ₹110.70 billion. Cost of materials consumed, nearly 98% of expenses, fell 13% to ₹108.32 billion. Other expenses declined 6% to ₹1.58 billion, while finance costs fell 14% to ₹609 million.

The company reported a gain of ₹2.3 billion from impairment loss reversal linked to its recovery of 'use or pay' dues worth ₹14.22 billion for 2022-23 to 2024-25.

For 2024-25, net profit rose over 11% to ₹39.26 billion, while revenue dropped 3% to ₹509.80 billion. Petronet LNG will pay a final dividend of ₹3 per share for 2024-25.