Petronet LNG, the largest natural gas importer in India, has reported an 18.1 percent year-on-year (YoY) decrease in its standalone net profit for the fourth quarter of fiscal year 2022-23. The net profit for the quarter was Rs 614.3 crore, compared to Rs 791 crore in the same period last year. The company’s revenue from operations during this quarter stood at Rs 9,732.1 crore, which is a YoY increase of 15.7 percent from Rs 8,405.4 crore. As per a CNBC-TV18 Poll, analysts had estimated a profit of Rs 665 crore for this quarter; however, higher costs of raw materials and operating expenses resulted in lower profits for Petronet LNG.
Additionally, the spread between domestic and international prices of liquefied natural gas (LNG) decreased, leading to lower profit margins. Despite these challenges and declining net profits, Petronet LNG’s board of directors have recommended a final dividend of Rs 3.50 per equity share for the financial year ending March 31st, subject to approval by shareholders.
This brings the total dividend for the year to Rs 7 per share inclusive of an interim dividend payment earlier. Petronet LNG owns and operates LNG import and regasification terminals throughout India while supplying natural gas to power plants and fertilizer plants as well as city gas distribution networks owned by several state-owned oil and gas companies such as Indian Oil Corporation Bharat Petroleum Corporation GAIL (India) Ltd among others.