Indraprastha Gas Ltd (IGL), the largest CNG distribution company of the country, on Wednesday reported a 12 percent rise in March quarter net profit on the back of higher gas sales. Net profit of Rs 252.63 crore in January-March compared with Rs 224.72 crore in the same period a year back, the company said in a statement.
The firm, which retails CNG in Delhi and neighbouring cities of Noida, Greater Noida, Ghaziabad, Muzaffarnagar, Rewari, Gurugram and Karnal, saw overall sales volume rise to 567 million standard cubic metres in Q4 of 2019-20 from 564 mmscm a year back.
Turnover was marginally higher at Rs 1,697 crore.
The company's gross turnover rose to Rs 7,131 crore in FY20 from Rs 6,337 crore in FY19, showing an increase of 13 percent.
Net profit in FY20 was up 44 percent to Rs 1,135 crore from Rs 786 crore in FY19, driven by higher volumes and reduction in corporate tax rates, it said.
During 2019-20, total sales volume grew by 9 percent over the previous year, with CNG recording 7 percent growth in volumes and piped natural gas posting volume growth of 12 percent.
The average daily gas sale during the year has gone up to 6.44 million standard cubic metres per day from 5.91 mmscmd in the previous year.
IGL board recommended a dividend of 140 percent for consideration of the members in the Annual General Meeting.
IGL has well laid out its city gas distribution infrastructure in Delhi, Noida, Greater Noida, Ghaziabad, Rewari, Gurugram, Karnal and Muzaffarnagar which consists of over 13,000 kms of pipeline network. It supplies CNG to over 11 lakh vehicles in NCR through a network of over 550 CNG stations.
IGL also supplies piped cooking gas to nearly 14 lakh households in these cities.
The pipeline network is being further expanded by IGL to cover Ajmer, Pali and Rajsamand in Rajasthan, Shamli, parts of Meerut, Fatehpur, Hamirpur and parts of Kanpur in Uttar Pradesh and Kaithal in Haryana, the statement added.
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