Fundamentals

GUJARAT GAS LTD. 

Ticker : 539336
BUY: Rs. 187.90
Target: Rs. 210



Gujarat Gas (formerly Gujarat Gas Company) is engaged in processing, transmission and distribution of natural gas. It supplies gas to industrial, commercial and domestic customers. On the consolidated financial front, the company’s revenue for Q1FY20 came in at Rs 2670.82 crore, up by 42.27 per cent versus Rs 1813.53 crore posted in Q1FY19. The PBIDT in Q1FY19 came in at Rs 466.49 crore, up by 87.67 per cent from Rs 248.57 crore posted in the same quarter of the previous year. The PAT came in at Rs 233.68 crore in Q1FY20 as compared to Rs 92.73 crore posted in Q1FY19. Industrial sales volume was up by 57 per cent on a YoY basis and 68 per cent on a QoQ basis. On the back of robust financial performance, the company could witness substantial movement on the bourses. We thus recommend a BUY.