GAIL's Q2 Standalone EBITDA Surpasses Estimates at Rs 3,976 Crore, Marketing Segment Shines

GAIL (India) Limited , the country's largest gas transmission and distribution company, has reported a robust performance in the second quarter, with its standalone EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) exceeding market expectations.

Financial Highlights

GAIL's standalone EBITDA for Q2 stood at Rs 3,976 crore, surpassing analyst estimates by 5%. This performance underscores the company's operational efficiency and resilience in a dynamic market environment.

Segment Performance

While the gas transmission segment's EBIT (Earnings Before Interest and Taxes) fell short of brokerage estimates by 6%, the marketing segment delivered a strong performance, contributing significantly to the overall results.

Key Financial Metrics

Let's take a closer look at GAIL's key financial metrics for Q2:

Metric	Q2 (Rs Crore)	YoY Change
Revenue	35,800.60	+6.47%
EBITDA	3,983.10	-10.66%
Net Profit	2,217.20	-17.02%
EPS (Rs)	3.37	-17.00%

Despite the year-on-year decline in EBITDA and net profit, GAIL has managed to increase its revenue, indicating resilience in its core operations.

Half-Year Performance

GAIL's performance in the first half of the fiscal year has been noteworthy. The company's H1 EBIT represents approximately 50% of its full-year guidance of Rs 45 billion, putting it on track to meet its annual targets.

Market Outlook

Motilal Oswal, a leading brokerage firm, maintains a 'Buy' rating on GAIL's stock. The firm cites potential tariff hikes and volume uplift as key catalysts for the second half, suggesting a positive outlook for the company's future performance.

Conclusion

GAIL's Q2 results demonstrate the company's ability to navigate challenging market conditions while maintaining operational efficiency. The strong performance of the marketing segment and the potential for tariff hikes and volume growth in the coming quarters position GAIL favorably for sustained growth.

Investors and market watchers will be keen to observe how GAIL capitalizes on these opportunities and manages potential headwinds in the evolving energy landscape.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.13%	+1.77%	+2.83%	-5.01%	-7.43%	+226.83%

GAIL (India) Limited , the country's largest gas transmission and marketing company, has provided insights into its future financial performance and operational outlook. The state-owned entity has projected a significant profit before tax (PBT) in its gas marketing segment while adjusting its transmission volume expectations for the fiscal year 2026.

Profit Projections and Volume Guidance

GAIL's management has shared optimistic projections for its gas marketing segment, forecasting a profit before tax in the range of ₹4,000 to ₹5,000 crore. This projection underscores the company's confidence in its marketing operations despite the dynamic nature of the gas market.

However, the company has also announced a downward revision in its transmission volume guidance for FY26. The updated figures are as follows:

Metric	Previous Guidance	Revised Guidance
FY26 Transmission Volume	Not specified	123-124 MMSCMD

MMSCMD stands for Million Metric Standard Cubic Meters per Day, a common unit of measurement in the gas industry.

Factors Influencing the Revision

GAIL has cited two primary factors for the adjustment in its transmission volume guidance:

Pipeline Issues: The company mentioned challenges related to its pipeline infrastructure, which could impact its ability to transport gas at previously anticipated volumes.
Lower Demand: A reduction in expected demand for gas transmission services has also contributed to the revised outlook.

These factors highlight the complex operational environment in which GAIL operates, where infrastructure capabilities and market demand play crucial roles in shaping business projections.

Recent Corporate Communications

In related news, GAIL recently held its Earnings Conference Call for Q2 FY 2025-26 on October 31, 2025. The company has made the audio recording of this call available to the public, demonstrating its commitment to transparency and investor communication. This action is in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The availability of such recordings allows investors and analysts to gain deeper insights into the company's performance and future strategies directly from the management.

As GAIL navigates through these operational adjustments and market dynamics, stakeholders will be keenly watching how these projections and revisions translate into actual performance in the coming quarters.