Petronet LNG Q2 Results: Profit Jumps 53% to ₹1,235 Crore; ₹7 Dividend

Petronet LNG reported a 53% year-on-year rise in net profit to ₹1,235 crore for the September quarter and declared an interim dividend of ₹7 per share, despite continued supply disruption from Qatar.

The Petronet LNG Q2 results, announced on November 2, compare with a profit of ₹806 crore in the same quarter last year, according to ANI. The company described it as its highest-ever second-quarter profit after tax.

Profit before tax rose 53% to ₹1,659 crore from ₹1,083 crore. For the first half of FY27, net profit climbed 43% to ₹2,368 crore from ₹1,656 crore a year earlier.

Petronet LNG Q2 results: costs fall faster than revenue

Revenue from operations stood at about ₹7,200 crore, down 34.6% year-on-year, according to Whalesbook. Cost of materials consumed fell more steeply, by 45.5% to ₹5,145.51 crore, which lifted earnings even as sales declined.

EBITDA came in at ₹1,663 crore, up 8.6% from ₹1,532 crore in the June quarter. The company attributed the improvement in profit to commercial and operational efficiency.

Total LNG throughput rose to 231 trillion British thermal units (TBTU) from 228 TBTU a year ago and 207 TBTU in the previous quarter. The Dahej terminal handled 216 TBTU, compared with 211 TBTU last year.

Utilisation at Dahej dropped to 73% from 92% because of a larger capacity base. The terminal’s regasification capacity is being expanded from 17.5 million tonnes per annum to 22.5 million tonnes per annum.

Petronet LNG dividend and supply picture

The board approved an interim dividend of ₹7 per equity share of face value ₹10 for FY 2026-27. The record date will be communicated separately, the company said.

Supplies under Petronet’s 7.5-million-tonne long-term contract with Qatar, valid until December 2048, have been disrupted by tensions in the Strait of Hormuz since February 2026. The company said alternative arrangements helped keep LNG available at its terminals.

A separate ExxonMobil Asia Pacific contract for 1.2 million tonnes, with supplies running from 2026 to 2040-41, is currently being met at 50% of the contracted volume. Offtakers with booked capacity have signed long- and medium-term deals covering about 10–12 million tonnes over the past year to 18 months.

Asked about American cargoes, Managing Director and CEO Akshay Kumar Singh said, “We don’t source any LNG from the US.” He added that the company’s long-term capacity holders do bring US LNG through its terminal.

Disputes and dues to watch

Three of the company’s primary LNG vessels, Disha, Raahi and Aseem, remain largely sidelined. Their owners have raised claims of ₹625.42 crore against Petronet, which the company disputes under its time charter agreements and is contesting in arbitration.

Outstanding “use-or-pay” dues from customers stand at ₹408.23 crore. Petronet has made a provision of ₹230.72 crore against these dues but said it expects to recover the full amount.

Why it matters for Indian business

Petronet operates India’s largest LNG import terminal at Dahej in Gujarat, and its throughput is a direct gauge of gas availability for fertiliser plants, city gas networks, power producers and refiners. Steady volumes despite the Gulf disruption suggest that India’s gas supply chain has found workable alternatives for now.

The strong Petronet LNG net profit also comes as other state-linked energy companies report sharp swings in earnings. Oil marketing companies such as HPCL, in its Q2 results, have flagged a widening gap on LPG.

Petronet shares closed 3.96% higher at ₹300.95 on November 2, ahead of the results. The market’s reaction to the numbers will play out in Tuesday’s session.

What happens next

Following the Petronet LNG Q2 results, investors will watch the timing of a full restoration of Qatari supplies, utilisation at the expanded Dahej terminal and the outcome of the vessel arbitration. Recovery of use-or-pay dues will also influence earnings in the second half of the year.

More details are available on Petronet LNG’s official website. For more earnings coverage, visit our business news section.