GAIL net rises, pays 15%

NEW DELHI, June 1: With net profit rising to Rs 620 crore as against Rs 516 crore in the previous year, the board of directors of the publi...

NEW DELHI, June 1: With net profit rising to Rs 620 crore as against Rs 516 crore in the previous year, the board of directors of the public sector Gas Authority of India Limited (GAIL) has recommended a dividend of 15 % for the 1996-97 financial year against 10 % in 1995-96.

The board took the decision in its meeting here on Saturday as the profit was up despite the provision for taxation rising from Rs 25 crore in the previous year to Rs 209 crore.

According to the final figures released by GAIL, it finished the year with net sales of Rs 4,541 crore against Rs 4,409 crore and a profit before tax of Rs 829 crore against Rs 540 crore, representing an increase of 54 %. Internal generation during the year rose to Rs 856 crore against Rs 724 crore.

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The company said its operation and performance registered all-round growth. Gas sales increased from 16,495 MMSCMD to 16,798 MMSCMD and LPG production from 549,563 MT to 599,161 MT.

The company currently has on hand projects worth over Rs 4000 crore which include the UP Petrochemical Complex in Pata in Etawah district of UP, LPG plants at Lakwa in Assam and Usar in Maharashtra and compressors for the GREP.

Apart from this, GAIL said projects worth Rs 3000 crore are currently awaiting final government approval.