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State-run Petronet LNG on Wednesday reported a 40 per cent Y-o-Y growth in consolidated net profit at around ₹1,101 crore in Q1 FY25, aided by stable liquefied natural gas (LNG prices) and better capacity utilisation. On a sequential basis, the net profit of India’s largest LNG importer was higher by 50 per cent.
Petronet’s consolidated total income during April-June of FY25 stood at ₹13,593 crore, compared to ₹13,947 crore and ₹11,801 crore in Q4 FY24 and Q1 FY24, respectively.
Its total expenses during the quarter under review stood at ₹12,114 crore, compared to ₹12,955 crore in Q4 FY24 and ₹10,741 crore in Q1 FY24.
“The company was able to achieve higher throughput and robust financial results owing to stable LNG prices, better capacity utilisation of its terminals and efficiency in its operations,” Petronet LNG said.
During the quarter ended June 30, 2024, Dahej terminal processed its highest ever 248 trillion British thermal units (tBtu) of LNG as against 219 tBtu during Q4 FY24 and 217 tBtu during Q1 FY24, witnessing growth of 13 per cent and 14 per cent, respectively. Capacity utilization at the terminal was 109 per cent in Q1 FY25, as against 97 per cent in the Q4 FY24 and 96 per cent in Q1 FY24.
The overall LNG volume processed by the company in Q1 FY25 was 262 tBtu, as against the LNG volume processed in Q4 FY24 and Q1 FY24, which stood at 234 tBtu and 230 tBtu, reporting growth of 12 per cent and 14 per cent, respectively.
Recovering dues
The trade receivables include ‘Use or Pay (UoP)’ dues of ₹1,786.75 (net of provision ₹1,300.15 crore) as at June 30, 2024, arising due to lower capacity utilisation by customers pursuant to the relevant provisions under long-term regasification contracts entered into by the holding company (Petronet LNG) with the customers, the company said in its results filing with the BSE.
Such UoP dues pertain to FY22 (Calendar Year 2021), FY23 (CY 2022) and FY24 (CY 2023), amounting to ₹378.55 crore, ₹798.20 crore and ₹610 crore, respectively, it added.
“During FY24, the board of directors of the holding company approved a recovery mechanism for these UoP dues for CY 2021 and CY2022, pursuant to an agreement with the customers. The holding company has obtained bank guarantees from the customers to secure the recovery of UoP dues for these two years,” Petronet said.
The customers have not given balance confirmation towards UoP dues, the company said, adding that the management is confident that the payment would be recovered or settled in due course, being a contractual obligation, it added.
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