Now Reading: IGL net profit plunges 48% on volatile LNG prices
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IGL net profit plunges 48% on volatile LNG prices
Indraprastha Gas Ltd (IGL) reported a 48% year-on-year fall in net profit to Rs 186 crore for the June quarter, blaming high and volatile liquefied natural gas (LNG) prices due to the…
The Story in Brief
Indraprastha Gas Ltd (IGL) reported a 48% year-on-year fall in net profit to Rs 186 crore for the June quarter, blaming high and volatile liquefied natural gas (LNG) prices due to the West Asia crisis. Revenue, however, rose 16% to Rs 5,028 crore. Daily sales volumes grew to 9.66 million standard cubic meters.
CNG sales rose 6% and piped natural gas sales grew 5% year-on-year. The Hindu reports the company's margins were squeezed by supply disruptions, while NDTV Profit noted a 33% sequential profit decline and 10% revenue growth to Rs 4,583 crore.
The Indian Opinion
Indian media is framing IGL's profit drop as a straightforward crisis, but the story is more nuanced. The Hindu is right that West Asia volatility crushed margins, yet sales volumes and revenue actually grew. The real test ahead: can IGL pass on higher LNG costs to consumers without losing CNG and PNG demand to alternatives? The first-quarter numbers are a one-off shock, not a trend. Watch how diesel and electric vehicle sales respond in Delhi-NCR by Diwali.
Sources (2): ndtvprofit.com, thehindu.com
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
