GAIL

Financial Performance

Q1 FY26 Results: GAIL announced its financial results for the first quarter of the fiscal year 2025-26. Consolidated Profit: The consolidated net profit for Q1 FY26 was ₹2,369 crore, marking a decline from ₹3,182.93 crore in the same period last year. This 25.5% year-on-year drop was largely attributed to a significant decline in profit before interest and tax (PBIT) from its Natural Gas marketing segment. Revenue: The consolidated revenue from operations for the quarter was ₹35,429 crore. Capital Expenditure: Despite the dip in quarterly profit, the company is moving forward with significant capital expenditure. It has a planned capex of ₹10,700 crore for FY26, with a focus on: Pipeline infrastructure Petrochemical projects Net Zero/Renewables initiatives Equity investments in joint ventures Infrastructure and Business Strategy Pipeline Expansion: The Petroleum and Natural Gas Regulatory Board (PNGRB) has authorized GAIL to expand the capacity of its Jamnagar-Loni LPG pipeline. This project, with an estimated capex of ₹5,000 crore, aims to double the pipeline's capacity from 3.25 MMTPA to 6.5 MMTPA. The expansion is expected to be completed within three years and will contribute to reducing CO2 emissions. LNG Sourcing: GAIL is actively expanding its long-term liquefied natural gas (LNG) portfolio. The company has signed a 10-year gas sales and purchase agreement (GSPA) with Vitol Asia Pte Ltd to import 1 million tonnes of LNG annually starting from 2026. This is part of GAIL's strategy to secure its LNG supply to meet growing demand. The company is also exploring additional long-term LNG deals.