INDRAPRASTHA GAS (IN), a company active in the Gas Distribution industry, now shows a lower overall rating. The independent financial analyst theScreener confirms the fundamental rating of 2 out of 4 stars. However, the market behaviour deterioration triggered a risk requalification, which can be thus described as moderately risky. theScreener believes that increased risk justifies the general evaluation downgrade to Neutral. As of the analysis date November 26, 2021, the closing price was INR 4...
INDRAPRASTHA GAS: Rewarding 2QFY22, although risk-reward unfavorable (IGL IN, Mkt Cap USD4.7b, CMP INR494, TP INR520, 5% Upside, Neutral) Indraprastha Gas (IGL) reported EBITDA ahead of our estimates. This was led by better-than-estimated volumes (CNG volumes now 8% above pre-COVID peak) and higher-than-estimated EBITDA/scm (INR8, primarily supported by a CNG price hike of INR1.8/kg during the quarter). With an overwhelming quarterly performance, the challenges ahead for IGL are overwhel...
INDRAPRASTHA GAS: In-line results; real challenge from APM and EVs ahead (IGL IN, Mkt Cap USD5b, CMP INR535, TP INR510, 5% Downside, Neutral) Indraprastha Gas (IGL) reported EBITDA in line with estimate, with volumes marginally below estimate (-5% est., at 5.32mmscmd). On the other hand, EBITDA/scm was marginally better than estimated (+5% est., at INR7.9). IGL reported flat EBITDA margins QoQ, while peers MAHGL and GUJGA reported margin expansion QoQ on account of a higher mix of spot L...
Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
INDRAPRASTHA GAS: EBITDA/scm normalizes; stronger crosswinds ahead (IGL IN, Mkt Cap USD4.8b, CMP INR512, TP INR480, 6% Downside, Neutral) IGL reported a mixed bag result, with lower than our estimate EBITDA/scm (at INR8) and higher than our estimate volumes (at 6.8mmscmd) – translating to in line EBITDA at INR4.9b (+31% YoY). CNG volumes rose 8% YoY, although down v/s pre-COVID levels of 4.92mmscmd (in 2Q-3QFY20). EBITDA/scm was lower than our estimate due to higher opex, despite the compan...
INDRAPRASTHA GAS: Strong volume growth continues; beat on EBITDA/scm (IGL IN, Mkt Cap USD3.9b, CMP INR393, TP INR355, 10% Downside, Neutral) High volume growth, combined with an expansion in EBITDA/scm, resulted in an EBITDA jump of 27% YoY to INR3.9b (our estimate: INR3.7b) for 2QFY20. PBT stood at INR3.7b with a DTL reversal of INR81.6m. PAT was at INR3.8b (v/s INR1.9b in 2QFY19). The company has recognized provision for income tax on the revised rates, resulting in a reduction in curr...
INDRAPRASTHA GAS: Strong volume growth continues; Lower LNG prices support margins (IGL IN, Mkt Cap USD3.1b, CMP INR316, TP INR327, 3% Upside, Neutral) High volume growth combined with expansion in EBITDA/scm, resulted in IGL's EBITDA increasing 21% YoY to INR3.6b (v/s est. INR3.4b). Much higher depreciation and interest cost combined with lower-than-expected other income resulted in PAT growing 24% YoY to INR2.2b (in-line). Strong CNG/PNG volume growth: Total volumes were at 6.3mmscmd...
Indraprastha Gas: Increased volumes offset by lower EBITDA/scm (IGL IN, Mkt Cap USD3.2b, CMP INR314, TP INR360, 15% Upside, Buy) EBITDA increased 20% YoY (+4% QoQ) to INR3.3b (our estimate of INR3.4b) in 4QFY19, led by higher volume growth. However, EBITDA/scm declined marginally to INR5.9 (our estimate: INR6.3, 4QFY18: INR5.7; 3QFY19: INR5.9) due to higher costs. Notably, IGL did not take any price hike in the quarter. Increased other income, though, led to higher-than-expected PAT of IN...
Indraprastha Gas: Far away from the electric shock (IGL IN, Mkt Cap USD3b, CMP INR297, TP INR389, 31% Upside, Buy) The Delhi Cabinet aims to introduce 1,000 electric buses by Jun'20. This is in addition to CNG buses (500 low-floor and 500 normal). We note that Energy Efficiency Services Ltd (EESL) has not progressed much with the earlier order of 10,000 electric cars. More so, the recent tender of additional 10,000 cars has been quashed indefinitely. Multiple medium term triggers exist ...
Q3FY19 result highlights Indraprastha Gas (IGL) EBITDA/PAT of Rs3.2bn/Rs2bn, grew 20.8%/19.3% yoy respectively, in line, with strong volume growth of 12.2% yoy to 5.9 mmscmd (IDFCe 5.8 mmscmd). IGL’s reported gross margins of Rs11.1/scm was marginally below IDFCe of Rs11.2/scm, however EBITDA of Rs5.9/scm was lower than estimates of Rs6.2/scm due to higher staff cost of Rs347mn vs est Rs305mn. CNG/PNG volume growth at 13.2/9.5% yoy to 291 mn kg/138 mmscm. Within PNG, domestic PNG grew 10.7%...
(IGL IN, Mkt Cap USD2.9b, CMP INR298, TP INR381, 27% Upside, Buy) CNG/PNG segments grew by 13%/10% YoY in 3QFY19. PNG domestic grew by 11% YoY and industrial/commercial by 13% YoY. High volume growth, combined with marginal expansion in EBITDA/scm, resulted in EBITDA of INR3.2b (our estimate: INR3.1b; +21% YoY, +3% QoQ). PAT of INR2b (+19% YoY, +6% QoQ) came in marginally below our estimate due to a higher effective tax rate of 35.3% in the quarter. Strong CNG/PNG volume growth continues:...
Indraprastha Gas: The engine running well on CNG (IGL IN, Mkt Cap USD2.6b, CMP INR262, TP INR381, 46% Upside, Buy) We recently met Indraprastha Gas’ (IGL) management to get an update on the company’s business trajectory. Key takeaways: Volumes traction remains strong IGL’s volumes grew ~13% YoY in 1HFY19, supported by a healthy rate of vehicle conversions to CNG (at ~4,000 4Ws per month). Management expects volume growth to sustain over the near-to-medium term. Notably, ~5,000 CNG LCVs...
Q2FY19 result highlights Indraprastha Gas (IGL) recurring PAT of Rs1.87bn, up 11% yoy, (IDFCe Rs1.9bn), with strong volume growth of 13% yoy to 5.9 mmscmd (IDFCe 5.8 mmscmd). Higher LNG, costs, weaker rupee drove Gross margins and EBITDA/scm to Rs10.7/5.7 per scm, down 4/3% qoq. Absolute EBITDA of Rs3.1bn (+9% yoy) was broadly in line with estimates of Rs3.05bn. CNG/PNG volume growth at 13/13% yoy to 290 mn kg/136 mmscm. Within PNG, while domestic segment grew 4%, commercial volumes grew m...
Indraprastha Gas: EBITDA marginally below estimate; strong volume growth continues (IGL IN, Mkt Cap USD2.7b, CMP INR284, TP INR371, 31% Upside, Buy) Net operating income for the quarter stood at INR14.2b (est. 13.3b, +26% YoY, +10% QoQ). Gross margins stood at INR10.7/scm v/s INR11.1/scm in 2QFY18 and INR10.8/scm in 2QFY19. IGL reported EBITDA of INR3.1b (est. INR3.2b, +9% YoY, +4% QoQ), marginally below our estimate. EBITDA/scm stood at INR5.7 (est. INR5.9; INR5.9 in 2QFY18, INR5.8 in 1Q...
EVENT – Finally, Gurgaon to come under IGL control In an order (link here - ), the Supreme Court has given its nod to a mutually agreed solution between Haryana City Gas (HCGL) and Indraprastha Gas (IGL). Under the same, IGL will take over supply of gas in the entire Gurgaon District from incumbent HCGL. Compensation to be paid for the same is to be decided by an independent valuation to be done by Deloitte, Haskins & Sells no later than Nov 30, 2018. Impact – Material growth opens up for IGL ...
Indraprastha Gas: EBITDA in-line; strong volume growth continues (IGL IN, Mkt Cap USD3.0b, CMP INR299, TP INR383, 28% Upside, Buy) IGL reported EBITDA of INR2.95b (+6% YoY, +7% QoQ), in line with our estimate. EBITDA/scm stood at INR5.8 (v/s our estimate of INR5.9; INR5.7 in 4QFY18, INR6.2 in 1QFY18). PBT rose 9% YoY (+1% QoQ) to INR2.7b (in-line). Adjusted PAT was INR1.75b (our estimate: INR1.8b; +9% YoY, +7% QoQ). Strong CNG/PNG volume growth continues: CNG volumes grew 12% YoY (+4% Qo...
YTD sideways congestion for the MSCI ACWI ex-US and an intact downtrend for the MSCI EM index continue to point to a risk-off environment for international equity markets, and supports our neutral outlook (at best)... see page 2. We continue to recommend avoiding broad indexed exposure in favor of selectivity. In today's report we highlight actionable country- and Sector-specific themes: • Norway and India are leadership. Norway's Oslo OBX and India's SENSEX remain global leaders. Overweight ...
Q4FY18 result highlights Indraprastha Gas (IGL) reported PAT of Rs1.75bn, up 30% yoy, (IDFCe Rs1.7bn), with strong volume growth of 11% yoy to 5.4 mmscmd (IDFCe 5.3 mmscmd) and adjusted gross margins of Rs11.2/scm (+10% yoy, IDFCe 10.9/scm). IGL earnings supported by Rs160mn of provision reversal of OMC trade margins. Reported gross margins of Rs11.5/scm jumped 13% yoy Resultant EBITDA/scm of Rs5.7/scm jumped 17% yoy even as absolute EBITDA of Rs2.9bn (IDFCe Rs2.7bn) rose 37% yoy. CNG/PN...
Indraprastha Gas: EBITDA in-line; strong volume growth continues (IGL IN, Mkt Cap USD2.7b, CMP INR263, TP INR384, 46% Upside, Buy) IGL reported EBITDA of INR2.8b (+20% YoY, +11% QoQ), in line with our estimate. During the quarter, the company reversed a provision of INR160m on account of negotiation with OMCs for trade margin payable to them for sale of CNG for the earlier period. Adjusting for that, EBITDA/scm increased to INR5.7 (v/s our estimate of INR5.6; INR5.4 in 3QFY18, INR5.6 in 4...
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