Indraprastha Gas Ltd (IGL) will be reporting its June-quarter earnings on Wednesday and analysts expect the company to report a decent set of results.
- In terms of consolidated numbers, revenue growth is seen around 5 percent at Rs 1,621 crore, EBITDA is expected to grow by 5 percent at Rs 347 crore while margins, however, are likely to be flat.
- In terms of the internals, the analysts are expecting that the price revision and the INR appreciation should lead to an EBITDA per unit of Rs 5.9 that is absolutely flat on a quarter-on-quarter (QoQ) basis and also on a year-on-year (YoY) basis.
- The company took a price hike in the first week of April both in the piped natural gas (PNG) domestic and the compressed natural gas (CNG) segment of around 2 percent.
- The stock is already up 17 percent year-to-date and the valuations are not very cheap. It trades at almost 21 times FY21 EPS.