In May 2022, Maharatna company GAIL India Limited filed draft papers for the purpose of buyback up to 5,69,85,463 fully paid-up equity shares with a face value of Rs. 10/- each at a cost of Rs. 190/- each equity share for a total consideration of Rs. 1082,72,37,970.00/-. The government earned Rs 497 crore from GAIL buyback, while other shareholders received Rs 586 crore from buyback, for which the last day to bid for GAIL’s shares was June 7, 2022.
According to a tweet by the Department of Investment and Public Asset Management (DIPAM), “Govt has received Rs 497 crore from GAIL buyback. Out of the buyback, Rs 586 crore has been received by other shareholders.”
In its meeting on May 27, 2022, the Board of Directors proposed a final dividend of 1.00 per equity share with face value 10 each for the financial year 2021-22, subject to approval by the members of the company. This is in addition to interim dividend 9.00 per equity share paid by the company during the financial year. GAIL paid total dividend 3,994.26 crore as compared to Rs 3,994.26 crore for the financial year ending March 31, 2022 2,237.11 crore for the same quarter in 2021.
GAIL (India) Limited has recently set up a dedicated pipeline to provide fuel to HPCL Mittal Energy Limited (HMEL) Refinery at Bathinda. Dedicated pipeline, which will deliver 1 mmscmd of gas to HMEL, cost 142 crore to set up. The 44.26 km 12 inch diameter pipeline (total capacity – 5 mmscmd) is a branch line of the 500 km Dadri-Bawana-Nangal Pipeline (DBNPL). GAIL (India) Limited reported a growth of 62 per cent in revenue from operations. 91,646 crore in FY22 as compared to Rs. 56,738 crore in FY 2011, showing a growth of 113 per cent in Profit Before Tax (PBT) to Rs. 13,590 crore in FY22 as compared to Rs. 6,386 crores in FY 2011, and a 112 per cent increase in Profit After Tax (PAT) to Rs. 10,364 crore in FY22 as against Rs. 4,80 crores in FY21, GAIL’s annual revenue, PBT, and PAT are the highest ever.
As per Mr. Manoj Jain, CMD GAIL, “GAIL has capex of Rs.7,738 crore mainly on Pipelines, Petrochemicals, Equity to JV etc. GAIL’s expenditure in CSR during the year is 3 as against mandate expenditure of 2%. GAIL has paid dividend of Rs.3,996 crore (Rs.9/share) in addition to that, GAIL Board has recommended a final dividend @ Re.1/share subject to the approval of the shareholders, for the financial year 2021-22. 4,440 crore, which is the highest ever by GAIL.”
He further added, “The company is also adding new gas sources to meet the emerging gas demand in the domestic market and to continue its footprint in the international market. which are of national importance and are likely to provide a transition for the future.
GAIL India shares closed today 140.10, down 0.28 percent from the previous close of 140.50 GAIL (India) is now trading below the 5-day, 20-day, 50-day, 100-day and 200-day moving averages depending on the previous traded price.