Gujarat Gas Q3 Results Review - Healthy Unit Economics Help Offset Drop In Sales: Yes Securities

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .Yes Securities Report.Gujarat Gas Ltd.'s Q3 FY23 reported Ebitda at Rs 5.82 billion (+145% YoY; -9.4% QoQ), stood above our and street estimates on better than estimated gross margin at Rs 12.8/standard cubic metre, translating into, better than estimated Ebitda at Rs 8.7/scm, even as gas sales at 7.3 million metric standard cubic metre per day, stood in-line. In the nine months-FY23 so far, strong unit economics with average Ebitda per unit at Rs 8.1/scm, (9MFY22: 4.6), has helped offset weaker sales at 8.2 mmscmd (9MFY22: 10.9), as dependence on expensive liquefied natural gas dropped with lower sales. Unfavorable natural gas pricing vs propane resulted in significant volume shift in Morbi’s ceramic cluster. A cooloff in spot LNG prices to ~$19/metric million British thermal unit as we write (versus $31.2 in Q3 FY23) has rekindled the possibility of shift back to natural gas..Click on the attachment to read the full report:.More Research Reports On Gujarat Gas' Q3 FY23 Results Review.Volume Outlook Improves With Lower LNG Price: SystematixHigh Competitive Intensity Impact Outlook: Prabhudas LilladherMargin Strength Offsets Continued Morbi Woes: ICICI SecuritiesSubdued Volumes Although To Be Better In Coming Years: Motilal Oswal.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Gujarat Gas Q3 Results Review - Healthy Unit Economics Help Offset Drop In Sales: Yes Securities

During the quarter, Gujarat Gas added 12 CNG stations (total 750), 228 commercial and 49 industrial consumers.

Choose a plan