GEECL FY20 profit falls 30% on lower coal bed methane sales

By: |
Published: June 3, 2020 12:40 AM

The company, listed on the London Stock Exchange, sold 10.38 million standard cubic feet per day (mmscfd) CBM gas in the fiscal, down 9.6% annually.

The average price of gas sold by GEECL in FY20 was $10.27/mmbtu, 1.5% lower than the preceding fiscal.The average price of gas sold by GEECL in FY20 was $10.27/mmbtu, 1.5% lower than the preceding fiscal.

Great Eastern Energy Corp (GEECL), which produces coal bed methane (CBM) gas in West Bengal, reported a 29.6% year-on-year (y-o-y) fall in its net profit to $6.99 million in FY20, as it sold lesser volumes of gas at a lower prices in the fiscal compared to FY19. The company, listed on the London Stock Exchange, sold 10.38 million standard cubic feet per day (mmscfd) CBM gas in the fiscal, down 9.6% annually. The average price of gas sold by GEECL in FY20 was $10.27/mmbtu, 1.5% lower than the preceding fiscal.

The company’s earnings before interest, taxes, depreciation and amortisation (Ebitda) fell 24.8% y-o-y to $20.95 million. GEECL’s net debt at FY20-end stood at $56.1 million, 19.4% lower annually. The debt-to-equity ratio was at 0.65, lower than the level of 0.81 at the end of FY19. “With the steps being taken by the government to accelerate the growth of the Indian economy, demand for hydrocarbons in India will continue to grow, as is evident from the rising imports,” GEECL’s CEO Prashant Modi said.

The company is betting on GAIL’s upcoming Jagdishpur-Haldia-Bokaro- Dhamra pipeline, which is seen to expand its customer base by connecting the market of Kolkata and other parts of West Bengal. The company is also in the process of starting its shale gas exploration programme.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Business activity falls again, for first time after opening up; Nomura, Google data, jobs report show this
2Gurgaon-Palwal project: Sterlite Power refinances Rs 800-crore loan
3NFL reports record fertiliser sale in Q1