Gujarat Gas Q3 Results: Earnings meet weak expectations but stock falls over 3%

Shares of Gujarat Gas Ltd. fell on Tuesday, January 20, in response to its December quarter results, that matched the company's already weak expectations.

Gujarat Gas reported a volume decline of 5.6% during the December quarter, marginally better than the 7% to 8% decline that the street feared.

On a sequential basis, Gujarat Gas' revenue fell by 3.2% to ₹3,658 crore from ₹3,781 crore, while its Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) remained unchanged at ₹447 crore from ₹448 crore in the December quarter.

Operating profit margin for the quarter expanded by 30 basis points from the previous quarter to 12.2% from 11.9% during the September period.

Net profit at the end of the December quarter stood at ₹267 crore, a decline of 4.6% compared to the September quarter figure of ₹280 crore.

Gujarat Gas reported a 11% growth in its CNG segment volume on a sequential basis to 3.45 mmscmd, while Industrial volumes fell 19.7% from the previous quarter to 3.93 mmscmd.

Shares of Gujarat Gas have slumped to the lows of the day, currently trading 2.8% lower at ₹395.95.