Gujarat Gas - Showing strength - Views on News from Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks


Login Failure
(Please do not use this option on a public machine)
  Sign Up | Forgot Password?  

Gujarat Gas - Showing strength

Oct 3, 2000

Gujarat Gas Company Limited (GGCL) is a 65% subsidiary of British Gas Limited and is engaged in the distribution of natural gas in the state of Gujarat. The company primarily services small and medium size industrial customers. It has a pipeline network of over 1,200 km.

(Rs m)2QFY992QFY00Change
Operating Profit (EBDIT)12924186.0%
Operating Profit Margin (%)25.1%34.5% 
Profit after Tax/(Loss)8915473.6%
Net profit margin (%)17.2%22.0% 
No. of Shares (eoy)1313 
Earnings per share*2848 
The company has undertaken a business improvement plan to control costs and boost the top line. These initiatives have resulted in the company significantly increasing its operating profit margin.

Gujarat Gas has commissioned the 73 km Hazira Ankleshwar pipeline in May 1999. The company has started supplying additional gas through the pipeline to customers in both Ankleshwar and Bharuch.

The company has an extensive distribution network and caters to more than 107,000 domestic customers, 372 industrial customers and 1,468 commercial customers. It is also servicing vehicular customers using compressed natural gas (CNG).

The company has entered into a strategic tie up with Thermax Limited to provide customers with a one-stop solution to their energy requirements. A group company, Gujarat Gas Financial Services, also a part of the alliance, will provide finance facility to the customers.

The company has divested from the LPG business at a profit of Rs 2.8 m. The company has also ceased the operations of Petroleum Infrastructure Ltd. (PIL). The company has made a provision of Rs 75 m to this effect in FY98.

Gujarat Gas is expected to receive additional gas supplies of 250,000 cubic meters per day in FY00. However, sales growth continues to be dependent on gas availability and therefore, it faces the risk of failure in gas supply.

Equitymaster requests your view! Post a comment on "Gujarat Gas - Showing strength". Click here!


More Views on News

5 Green Energy Stocks to Watch as India Readies for a Revolution (Views On News)

Oct 13, 2021

The excitement around green energy stocks has opened up a huge contrarian opportunity in the traditional energy space.

Top Performing PSU Stocks over the Past One Year (Views On News)

Oct 1, 2021

After a decade of underperformance, PSU stocks have woken up. Here are the best performing PSUs of past twelve months.

Linde India Shares Hits New High. Up 230%+ in One Year (Views On News)

Aug 26, 2021

Linde India shares have surged sharply in the past few trading sessions. What's causing the rally?

ONGC Logs Massive Jump in Net Profit as Crude Oil Prices Double (Views On News)

Aug 16, 2021

Rising crude oil prices compensate ONGC's fall in production.

HPCL Shares Under Pressure After Profit Declines in June Quarter (Views On News)

Aug 5, 2021

Rising crude oil prices and forex woes weigh on HPCL's quarterly numbers.

More Views on News

Most Popular

Infosys vs TCS: Which is Better? (Views On News)

Nov 26, 2021

In the post pandemic era, the top two IT companies in India are fighting to capture the growing demand for IT.

This Multibagger Stock Zooms 20% After Dolly Khanna Buys Stake (Views On News)

Nov 24, 2021

Shares of this edible oil company zoomed over 50% in three days after ace investor bought around 1% stake.

6 Popular Stocks that Turned into Penny Stocks (Views On News)

Nov 27, 2021

A look at popular stocks that crashed big time and never recovered, i.e. which went from 'Multibaggers to Multibeggers'.

MobiKwik IPO Opens for Subscription Soon. Key Things to Know Before Subscribing. (Views On News)

Nov 20, 2021

The Rs 19 bn issue is set to hit the market soon.

5 Indian Companies Embracing Blockchain Technology (Views On News)

Nov 23, 2021

Blockchain adoption in India was slow in the past. Now, the technology is being well received.


Become A Smarter Investor
In Just 5 Minutes

Multibagger Stock Guide 2022
Get our special report Multibagger Stocks Guide (2022 Edition) Now!
We will never sell or rent your email id.
Please read our Terms


May 26, 2015 (Close)


  • Track your investment in GUJARAT GAS COMPANY with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
  • Add To MyStocks