Reviews

INDRAPRASTHA GAS LTD.

Ticker : 532514
BUY: Rs. 2
52-Week H/L : Rs.350.20/215.20



We had recommended Indraprastha Gas Ltd. in volume no. 35, issue no. 33 (dated June 10, 2019), when the scrip was trading at Rs 348. Indraprastha Gas is involved in the distribution of CNG and PNG in Delhi to consumers belonging to domestic, transport and commercial sectors. In the national capital region, the company is the sole supplier of CNG to automobiles. In Q4FY19, the company posted strong performance with growth in revenue by 25.4 per cent to Rs. 1,701.09 crore from Rs. 1,356.68 crore in Q4FY18. The PBDT for Q4FY19 stood at Rs. 382.49 core, an increase of 20.47 per cent as compared to Rs. 317.49 crore for Q4FY18. In Q4FY19, the net profit significantly increased by 29.06 per cent to Rs. 225.50 crore as against Rs. 174.72 crore in Q4FY18. The Type 3 CNG Cascade, which is light-weight cylinder cascade introduced by the company in collaboration with Tata Motors, is beneficial for providing cost-effective gas transportation. We recommend a HOLD.