Petronet LNG (PETRONET) Q1 24/25 earnings summary

Executive summary

• Dahej terminal achieved record throughput of 248 TBTU, up 13% sequentially and 14% year-over-year, with utilization at 109% for Q1 FY2025.

• Total throughput across all terminals reached 262 TBTU, reflecting 12% sequential and 14% year-over-year growth.

• Unaudited standalone and consolidated financial results for the quarter ended 30 June 2024 were approved by the Board on 24 July 2024.

• Limited review reports from auditors were unmodified, with no material misstatements identified.

• Strong financial performance driven by higher throughput, stable LNG prices, and operational efficiency.

Financial highlights

• Standalone revenue from operations for Q1 FY25 was ₹13,415.13 crore, up from ₹11,656.05 crore in Q1 FY24.

• Standalone profit after tax for Q1 FY25 was ₹1,141.58 crore, up 45% year-over-year.

• PBT for Q1 FY2025 was INR 1,520 crore, the highest ever for a first quarter, up 53% sequentially and 43% year-over-year.

• Inventory gain for the quarter was INR 261 crore, and trading margin was INR 58 crore.

• Regas service income was INR 851 crore for Q1.

Outlook and guidance

• Dahej terminal capacity expansion to 22.5 million tons expected by March 2025, with INR 570 crore CapEx.

• FY2025 CapEx target is around INR 3,500 crore, with higher CapEx anticipated in subsequent years due to the petrochemical project.

• Kochi terminal utilization expected to rise to 50-60% after connection to the National Gas Grid by March 2025.

• Optimism for continued high utilization and volume growth, supported by moderate LNG prices and robust demand.

• Management remains confident in the recoverability of "Use or Pay" (UoP) dues, supported by contractual obligations and bank guarantees for certain years.