Adani Gas powers Q3 profit by 13% on strong volume growth

New Delhi: Adani Gas reported a 13 per cent rise in consolidated net profit to Rs 47.21 crore for the December 2018 quarter, on the back of strong volume growth in its city gas distribution business. It had posted a consolidated net profit of Rs 41.81 crore in the corresponding quarter a year ago, the company said in a statement.

Revenue from operations rose to Rs 484.84 crore from Rs 348.74 crore in the third quarter of the previous fiscal. The company, part of the Adani Group, listed on stock exchanges in November last year in a bid to become the largest city gas distribution (CGD) company in India and unlock its value for the existing shareholders.

As part of the listing process, it allotted equity shares to the existing shareholders of Adani Enterprises Ltd in the ratio of 1:1. Following the listing, promoters will hold 74.92 per cent stake in Adani Gas, whereas retail and institutional investors will hold 3.36 per cent and 21.72 per cent, respectively.

During the April-December 2018 period, the company reported a net profit of Rs 152.94 crore on a revenue of Rs 1,329.32 crore. It had a net profit of Rs 122.32 crore on a revenue of Rs 990.26 crore in the corresponding period of the previous fiscal.

This was mainly due to "strong volume growth in both piped natural gas (PNG) and CNG distribution," the statement added.

"Our CNG volume has grown by 11 per cent to 204 million standard cubic meters (mmscm) against 184 mmscm in comparative period. Our volume of PNG distribution has also increased by 18 per cent to 195 mmscm."

In the quarter, the volume growth in CNG was 12 per cent and that of PNG was 14 per cent, the statement said. Adani Gas said as per Indian Accounting Standard Ind AS 103 'Business Combinations', the previous period figures have been restated to include the effect of composite scheme of arrangement from April 1, 2017.

"Accordingly, total income for the year ended March 31, 2018, nine months and quarter ended December 31, 2017 is restated to include total income of Rs 144 crore, Rs 48 crore and Rs 23 crore, respectively. Profit before tax for these periods are also lower by Rs 8 crore, Rs 7 crore and Rs 3 crore, respectively," it added.

Meanwhile, Adani Transmission said on Thursday that its December 2018 quarter net profit soared 89 per cent after considering profits in the corresponding period of the previous fiscal after removing a one-time gain.

The company's net profit without factoring in the one-time gain dropped 77.52 per cent to Rs 189.22 crore in the quarter ended on December 31, 2018.