Gujarat State Petronet Limited (GSPL) operates in the natural gas sector. The company is a natural gas infrastructure and transmission organisation engaged in oil and gas exploration, production and distribution based in Gujarat, India. It’s the country’s only State-owned oil and gas company with the Gujarat government holding nearly 95% equity stake. The company’s stock is listed in the National Stock Exchange of India (NSE) and Bombay Stock Exchange (BSE) for trading.
Gujarat State Petronet Ltd. market capitalisation, as of 20 August 2018, is a little more than Rs.10,900 crore.
Company’s Wealth and Recent Performance
- The company reported Q4 FY18 results in-line with the estimates on revenue and EBITDA. Revenue for the said quarter increase by 43.2% year-on-year to Rs.350.39 crore compared to Rs.244.63 crore in the same period during the previous financial year.
- EBITDA increased by 44% year-on-year to Rs.289.20 crore with the EBITDA margin growing by 25bps year-on-year to 82.5%.
- The net profit increased by 23.9% to Rs.157.39 crore compared to Rs.126.99 crore last fiscal.
- In its recent performance, Gujarat State Petronet Ltd Q1 FY19 results missed estimates when its revenue inclined by 32% year-on-year to Rs.391.25 crore compared to Rs.296.34 crore in Q1 FY18.
- EBITDA for Q1 FY19 grew by 24.6% year-on-year to Rs.343.85 crore compared to Rs.275.97 crore last year, while its margin declined by 5.3% year-on-year to Rs.144.46 crore compared to Rs.152.52 crore during the previous fiscal. The company stated that due to higher finance cost, the estimate of Rs.164 crore was missed.
- Revenue contribution came from the gas transportation segment which grew by 33.7% year-on-year to Rs.378.57 crore compared to Rs.283.19 crore last year.
- However, the sale of electricity declined by 3.9% year-on-year Rs.13.83 crore and the company’s finance cost increased during the said quarter.
Gujarat State Petronet Ltd. Stock Trends in 2018
- When the stock market opened for trading on the 1st of January 2018, the stock price stood at Rs.224.70 and declined towards the end of the month to close at Rs.202.85.
- On the 1st of February, the price of the stock stood at Rs.200.40 and dropped to Rs.189.45 on the 5th of the month before recovering to stand at Rs.207.05 on the last day of the month.
- On 1 March, it stood at Rs.201.70 and fluctuated during the first and second before dropping significantly to stand at Rs.177.70 on the 20th, but grew to end the month at Rs.189.50.
- On the 2nd of April when the stock market opened for trading, the company’s share price stood at Rs.188.05 and fluctuated over the month before declining to close at Rs.178.45 on the last day of the month.
- The stock price on the 1st of May stood at Rs.178.45 and slipped significantly to Rs.167.70 on the 23rd and ended the month at Rs.179.35.
- On the 1st of June, the stock opened for trading at Rs.180 and fluctuated during the course of the month to end at Rs.179.95 on the last day of the month.
- When the market opened on the 2nd of July for trading, the price stood at Rs.179.85 and moved upwards significantly to end the month at Rs.198.
Gujarat State Petronet Ltd. Stock Trends in 2016 and 2017
- The stock market opened for trading on the 1st of January 2016, the company’s stock price stood at Rs.142.20 and ended the month at Rs.138.90. On the 1st of February, the price opened at Rs.140.55 and dropped by more than 15 points by the end of the month. On the 1st of March, it stood at Rs.133.70 and grew to end the month at Rs.141.70.
- On the 1st of April, the price stood at Rs.135.30 and fluctuated over the course of the month before it ended at Rs.137.70 on the last day. On 2nd May, the price of the stock stood at Rs.139.50 and declined to close at Rs.132.50 on the last day of the month. The share price on the 1st of June stood at Rs.133.90 and grew by 10 points to end the month at Rs.143.30.
- When the stock market opened on the 1st of July for trading, the price stood at Rs.138.15 and declined over the course of the month to close at Rs.132.60. On the 1st of August, it stood at Rs.130 and inclined considerably to end at Rs.151.80 on the last day. The stock price stood at Rs.150.35 on the 1st of September and ended the month at Rs.156.25.
- The market opened for trading on the 3rd of October when the price was at Rs.154.55 and rose to touch Rs.166.70 on the 25th before ending the month at Rs.158.60. On the 2nd of November, the stock price stood at Rs.160.00 and dropped to stand at Rs.153.90 on the last day of the month. In December, the stock price opened at Rs.147.60 before it fell to stand at Rs.139.75 on the last day.
- On the 2nd of January 2017, the share price of the company was Rs.140.15 before rising to Rs.155.05 on the 24th and closed at Rs.152.25 on the last day of the month. The price of GSPL share stood at Rs.155.70 on the 1st of February and moved upwards to Rs.167.30 on the 14th before declining to Rs.154.45 on the last day. On the 1st of March, the price stood at Rs.155.90 and ended the month at Rs.161.50 with not many variations over the course of the month.
- On the 3rd of April, the company’s share price stood at Rs.164.65 and touched Rs.199.25 on the 24th of the month and ended the month at Rs.181.00. On the 1st of May it opened for trading at Rs.181 and ended the month by less than 11 points. On the 1st of June, the stock price opened for trading at Rs.177.85 and dropped to Rs.158.90 on the 26th before closing the month at Rs.176.55.
- On the 3rd of July, Gujarat State Petronet share price opened for trading at Rs.178.05 and dropped by more than 13 points on the 12th of the month before recovering significantly to end at Rs.194.75 on the last day. On 1st of August, the stock price stood at Rs.190 and dropped by 12 points on the 10th of the month before recovering to end the month at Rs.191. The price on the 1st of September stood at Rs.187.10 and inclined to stand at Rs.207.60 when the company declared dividends and closed the month at Rs.200.30.
- On the 2nd of October, the share price stood at Rs.200.30 and ended the points by more than four points. When the market opened on the 1st of November, the price stood at Rs.204.10 and touched Rs.219.85 on the 6th and closed the month at Rs.210.15. On the 1st of December, the stock opened at Rs.211 and inclined significantly to touch Rs.227.50 on the last day of the month.
Should You Invest in Gujarat State Petronet Ltd?
- The company has reported a rise in its Q4 FY18 standalone net profit by 23.94% year-on-year to a Rs.157.39 crore, in-line with its estimates.
- The standalone revenue stood at Rs.350.39 crore, up by 43.23% year-on-year for Q4 FY18.
- Also, the EBITDA stood at Rs.289.20 crore, up by 43.7% year-on-year.
- In the recent Q1 FY19 results, despite missing estimates, the company reported its standalone net profit down by 5.28% year-on-year to Rs.144.46 crore.
- The standalone revenue for Q1 FY19 stood at Rs.391.25 crore, up by 32.03% year-on-year, while its EBITDA stood at Rs.343.85 crore, up by 24.60% year-on-year.
- Despite missing estimates in the recent quarter, the company's revenue sectors have been performing well.
- The management team of the company are well capable of taking strategic decisions to steer the company’s performance.
Gujarat State Petronet Ltd. is a natural gas transmission and infrastructure company operating in the gas exploration, production and distribution business. The company is based out of Gujarat in India and is the only State-run oil and gas company with an equity stake of nearly 95%. The company also generates electricity by windmills and it develops energy transportation infrastructure and connects natural gas supply such as liquefied natural gas (LNG) terminals are several markets. The company has set up a 52.5 MW wind power project in Miyana, Gorsar, and Ansar. GSPL India Gasnet Limited and GSPL India Transco Limited are subsidiaries of the Gujarat State Petronet Ltd.
Incorporated as Gujarat State Petrochemical Corporation (GSPC) in 1979, the entity was entrusted with the development of the energy sector in the State. In 1994, it was re-incorporated as Gujarat State Petroleum Corporation. The company obtained its Certificate of commencement of business in 1999. In 2001-2002, the company completed and commissioned the Hazira-Mora pipeline, their first pipeline, and their grid was 14 km long. In 2015, GSPC Gas and Gujarat Gas Company Ltd. merged to form the country’s largest city gas distribution company - the Gujarat Gas Ltd.
Management of the Company
Manmohan M. Srivastava
Mr. Manmohan M. Srivastava, IAS, is the Chairman of Gujarat State Petronet Ltd. and has been the Principal Secretary of Energy and Petrochemicals Department for the Government of Gujarat since 2008. He comes with over 30 years of experience with key positions in various departments in the Gujarat government as well as the Government of India. He was the Member of Finance in the erstwhile Gujarat Electricity Board. He has been the Chairman of the company since 2012. Mr. Srivastava is a senior IAS Officer of the 1978 batch and holds a Master’s Degree in Science and Master’s Degree in Business Administration.
Jagdip Narayan Singh
Dr. Jagdip Narayan Singh, IAS, is the Managing Director of Gujarat State Petronet Ltd. since 2016 and serves as Additional Chief Secretary of Finance Department and Additional Chief Secretary to the Government of Gujarat. Dr. Singh has an extensive experience in infrastructure and finance sectors having power, telecom, industrial infrastructure, information technology, water, highways, among others. Dr. Singh is an IAS officer from the 1983 batch and has a Master’s in International Studies and Management Masters from the Asian Institute of Management, Manila, Philippines. Also, he has a PhD in Political Economy from the M.S. University.
Dr. T. Natarajan, IAS, is the Joint Managing Director of the company since 2016. Prior to this position, he served as the Joint Managing Director of Gujarat Narmada Valley Fertilisers and Chemicals Ltd. since 2006. Dr. Natarajan also held positions in the Government of Gujarat including that of a Commissioner, Technical Education, Commissioner, Geology and Mining and as Secretary, Economic Affairs, Finance Department. He holds a B.E in Mining Engineering and an MBA in Finance and Marketing as well as a Doctorate in Management.
Gujarat State Petronet Ltd. in NSE, BSE and Listings
The equity shares of Gujarat State Petronet Ltd. is available for trading on both the National Stock Exchange of India (NSE) and Bombay Stock Exchange (BSE). The codes for Gujarat State Petronet Ltd. are as follows:
- NSE Code - GSPL
- BSE Code - 532702
- BSE Group - A
- ISIN - INE246F01010
- Sector - Oil Drilling and Exploration
The stock market indices of Gujarat State Petronet Ltd. are as follows:
- S&P CNX 500
- CNX Midcap
Gujarat State Petroleum Corporation Limited
Behind Udyog Bhavan, Sector - 11,
Gandhinagar-382 010, Gujarat, INDIA.
Tel: +91 79 6670 1005
Fax: +91 79 2323 6375
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