Energy stocks are trading mixed with Chennai Petroleum Corporation Ltd and Gujarat Gas Ltd leading the gainers and Petronet LNG Ltd. and Gujarat State Petronet Ltd. trading the weakest. Petronet LNG has announced results for financial year 2011-2012 (FY12). The company has reported a 72% year on year (YoY) increase in the topline. The company imported and regassified 135 trillion British thermal units (TBTUs) against 126 TBtus in the corresponding quarter last year. Operating profits growth slowed down to 20.4% YoY during the quarter (15.9% QoQ decline) with margins at 6.6% (as compared to 8.8% in 4QFY11). For FY12, the operating profit was up 50.4% YoY, with margins coming at 8.1% (versus 9.2% last year). The Board has suggested a dividend of Rs 2.5 per equity share subject to approval of the members of the company at the forthcoming annual general meeting. Net profits for the quarter were up 18.8% YoY with net profit margins at 3.8% versus 5.1% last year. For FY12, the bottomline registered a whopping increase of 70.7% YoY, with margins coming at 5% (versus 3.8% last year).
Barring Gujarat NRE Coke and Sesa Goa Ltd. Mining stocks are trading in the red led by Ashapura Minechem Ltd. As per a leading financial daily, Coal India has set coal production target at 468.7 m tonnes (MT) for FY12-13. In FY11-12, the company's coal output at 435.8 MT fell short of its target by 11 MT. As per the report of the Working Group on Power, the power generation capacity target in the plan period (FY12-17) would have to be cut from 76,000 MW to 45,000 MW if under-production by CIL continues to limit fuel supply to power plants. The report has stated that 842 MT of coal would be required to meet the proposed generation requirement of 76,000 MW during the period. Out of the total coal requirement, 54 MT is to be imported and 653 MT is to be provided by CIL. But CIL has committed supply of only 415 MT. Although the coal shortfall can be met by imports, the same may not be feasible as existing boilers used in power generation support 15% of blending of imported coal.