State-owned GAIL India on Wednesday reported a 11 per cent rise in net profit at Rs 985 crore for the April-June quarter over the same period a year ago, as the monopoly gas shipper transported more volumes.
During the corresponding period a year ago, the company 's net profit stood at Rs 887 crore, GAIL Chairman and Managing Director BC Tripathi said.
"The increase is largely on account of trading and increase in transmission of natural gas and liquefied natural gas (LNG)," he said.
Profits rose despite 53 per cent rise in GAIL's share towards LPG subsidy to Rs 682 crore.
GAIL, which last year on an average imported one cargo of LNG from spot market every quarter, imported four cargoes in April-June quarter, he said.
The increased imports were to fill in for fall in output at Reliance Industries' KG-D6 gas field to around 47 million standard cubic meters per day from 60 mmsmcd production level last year.
"In July, we imported 2 cargoes from spot market. Similar volumes have been tied-up for August and we intend to repeat it in September," he said.
GAIL will invest Rs 8,270 crore in capex this fiscal. Of this, Rs 3,775 crore will be borrowed money, he said adding that Rs 1,700 crore loan has already been tied-up and another Rs 2,000 crore will be raised through overseas loan and rupee bond issue.