Q1 2027 Petronet LNG Limited Earnings Call Transcript
Key Points
- Petronet LNG Ltd (BOM:532522) reported a 33% year-on-year growth in both standalone PBT and PAT, reaching INR1,514 crore and INR1,133 crore respectively, despite lower volumes.
- The company achieved its highest-ever consolidated PBT and PAT for any first quarter, at INR1,491 crore and INR1,137 crore.
- Strong financial performance was supported by trading gains of INR301 crore and inventory gains of INR193 crore, reflecting effective commercial and operational efficiencies.
- The Dahej terminal's capacity expansion from 17.5 MMTPA to 22.5 MMTPA positions the company for future growth, with utilization at 66% on the expanded base.
- New contracts with Deepak Fertilizers and ExxonMobil have commenced, bringing in additional volumes, with Deepak contributing two cargoes since May 2026.
- The petrochemical project is on track with 40% physical completion, and the company expects to finalize off-take contract renewals with Qatar within the next two to three quarters.
- LNG volumes processed declined to 207 TBTU from 220 TBTU year-over-year, and Dahej utilization fell to 66% from 92% due to the expanded capacity base.
- The ongoing Gulf conflict has disrupted long-term Qatar volumes, with force majeure declared month-on-month, creating uncertainty in supply and capacity utilization.
- Capacity utilization at the Kochi terminal remains low at 23.27%, indicating underutilization and potential operational challenges.
- The company's strong margins are partly dependent on trading and inventory gains, which may not be sustainable if market conditions normalize.
- Time charter operations have been suspended due to the Gulf crisis, impacting logistics and potentially increasing costs or reducing flexibility.
- The company faces uncertainty in sourcing alternative cargoes, with only two-thirds of the missing Middle East volumes being compensated by off-takers.
Ladies and gentlemen, good day, and welcome to Petronet LNG Limited Q1 FY27 earnings conference call, hosted by Dolat Capital Market Private Limited. (Operator Instructions) Please note that this conference is being recorded.
I now hand over the conference to Mr. Yogesh Patil from Dolat Capital. Thank you, and over to you, sir.
Thank you, and good day to everyone. It's my pleasure to welcome all the participants on this call, as well as the Petronet LNG senior management, for the first quarter FY27 results conference call.
We have Mr. Saurav Mitra, Director of Finance and CFO; Mr. Rakesh Chawla, Executive Director of Finance and Accounts; Mr. Gayendra Kumar Sharma, GGM and President Marketing; Mr. Vivek Mittal, GGM and President Marketing; Mr. Vikash Maheshwari, Vice President, Finance and Accounts.
(technical difficulty)
I request Mr. Saurav Mitra to deliver his opening remarks. Over to you, sir.
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
