GAIL India to do Rs 10,000 crore capital expenditure in FY 24

19 May 2023 , 10:51 AM

GAIL India’s Chairman and MD has announced that the company intends to allocate Rs 10,000 crore for capital expenditure during the fiscal year 2023-24.

In a conference held after the results, Gupta highlighted that in order to fund the capex, the company will explore what kind of internal generations could be there in the coming fiscal year. He further added that as the company is in a sweet spot regarding its debt-equity ratio, there seems no problem in raising fresh funds.

GAIL India’s capex for the financial year ended March 2023 stood at Rs 9,100 crore. The said expense was mainly on pipelines, CGD (city gas distribution) projects, petrochemicals, and other operational capex including equity contribution.

The company imported a standalone net profit of Rs 603.52 crore in Q4FY23, reporting a decline of 78% y-o-y against the previous corresponding period.

For FY23, the company reported a net profit of Rs 5,301.51 crore, significantly lower than Rs 10,363.97 crore in the previous year.

The company said that the decline in profits could be attributed to elevated natural gas prices caused by the conflict between Russia and Ukraine, as well as disruptions in supply from GMTS (Gazprom Marketing and Trading Singapore).

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