Views on Petronet LNG 3QFY2014 results - Angel Broking

Views of Mr. Bhavesh Chauhan (Sr. Research Analyst - Oil & Gas, Angel Broking) on Petronet LNG 3QFY2014 results:

Petronet LNG net profit below street estimates

"Petronet LNG reported disappointing results for 3QFY2014. Although the company's net sales increased by 11.4% yoy to Rs. 9,382cr (due to higher price of LNG), its cost of LNG re-gasified increased by 14.2% yoy to Rs. 8,917cr. This which resulted in EBITDA declining by 33.8% yoy to Rs. 350cr. Other income grew by 44.9% yoy to Rs. 22cr. However, Interest and depreciation expenses increased by 168.7% and 115.7% yoy to Rs. 78 and Rs. 102cr, respectively, due to capitalization of Kochi terminal. Consequently, net profit declined by 57.4% yoy to Rs. 136cr (street estimate was Rs. 150cr). We keep our rating and target price on the stock under review."

Petronet LNG 3QFY2014 Result Review (CMP: Rs. 345/ Target Price: NA/ Recommendation: Under review)

Source : Equity Bulls

Keywords