Indraprastha Gas hits record high

Indraprastha Gas hit a record high today at Rs.786.10 with some 8 times surge in volumes.

This renewed buying on the counter is thanks to its exuberant performance for Q1Fy17, with a lot of brokerage houses putting out a buy call. The company reported a 44% (YoY) jump in net profit at Rs.148 crore, driven mainly by a 13% jump in gas volumes despite flat revenue growth at Rs.900 crore. The topline was status quo on account of lower natural gas price. This to a large extent was offset by increased demand from industrial sector.

The company said that it was a gainer of the anti-pollution drive in Delhi, following the odd-even mode of transport. This has driven volumes with its CNG volumes, which is sold to households for cooking purpose, rising 10% to 222 million kg.  EBITDA margin rose 620 bps to 28.86%, up from 22.65%. EPS for the quarter was at Rs.10.57 v/s Rs.7.32 (YoY).