GAIL reports Q4 FY25 net profit of ₹2,049 crore amid revenue surge and strong annual performance

THEBUSINESSBYTES BUREAU

NEW DELHI, MAY 13, 2025  

GAIL (India) Ltd., the state-owned natural gas distribution major, posted a standalone net profit of ₹2,049 crore for the fourth quarter ended March 31, 2025, marking a 6% year-on-year decline compared to ₹2,176.97 crore in the corresponding quarter of the previous fiscal. Despite the dip in profit, the company delivered a strong operational performance, underscored by a sharp increase in revenue and earnings before interest, taxes, depreciation, and amortization (EBITDA).

The company’s revenue from operations for Q4 FY25 stood at ₹35,707 crore, reflecting a robust 10.4% rise from ₹32,334.50 crore in the same period last year. EBITDA for the quarter jumped 13.3% year-on-year to ₹3,216 crore, signaling improved operational efficiency. Total income also witnessed an uptick, reaching ₹36,273.87 crore, up from ₹32,972.10 crore in the year-ago quarter.

However, the company’s expenses rose to ₹33,572.80 crore during the quarter, largely attributed to higher purchases of stock-in-trade amounting to ₹28,943.92 crore. Consequently, profit before tax for the quarter stood at ₹2,701.07 crore.

For the full financial year 2024–25, GAIL reported a significant 28% increase in net profit, clocking ₹11,312.32 crore, compared to ₹8,836.48 crore in FY24. Annual revenue from operations reached ₹1,37,287.56 crore, up from ₹1,30,638.11 crore the previous year, highlighting steady growth in the company’s core business.

The third quarter (October–December 2024) had been particularly strong for GAIL, which recorded a consolidated net profit of ₹4,084 crore — a 28% increase over the ₹3,193 crore reported in the same period of the previous fiscal. Revenue from operations during Q3 also rose by 6.23% to ₹36,937 crore from ₹34,768 crore last year.

One of the key contributors to GAIL’s Q3 performance was an exceptional income of $285 million (approximately ₹2,440 crore) received from SEFE Marketing and Trading Singapore Pte. Ltd. This came as part of a settlement agreement dated January 15, 2025, resolving arbitration proceedings related to non-supply of LNG cargoes during FY 2022–23.

“Consequent upon settlement agreement… the company has recognised ₹2,440.03 crore (USD 285 million) as an exceptional income during the quarter and nine months ended December 31, 2024,” said Sandeep Kumar Gupta, Chairman and Managing Director of GAIL.

Despite the slight dip in Q4 profit, the company’s overall performance for FY25 underlines strong fundamentals, operational resilience, and strategic gains from international settlements. Analysts view the performance as a testament to GAIL’s robust positioning in India’s energy sector, with positive outlooks for the coming fiscal.