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GAIL (India) Limited (GB:GAID)
LSE:GAID
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GAIL (India) (GAID) AI Stock Analysis

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GB:GAID

GAIL (India)

(LSE:GAID)

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Neutral 62 (OpenAI - 5.2)
Rating:62Neutral
Price Target:
$12.00
▲(7.14% Upside)
Action:N/A
Date:06/18/26
The score is primarily driven by mixed financial performance: solid balance-sheet leverage is offset by FY26 margin compression and inconsistent cash generation. Technicals add modest support due to an upward bias in moving averages and a positive MACD, while valuation is average with a reasonable P/E but no dividend yield.
Positive Factors
Controlled leverage / robust balance sheet
Sustained mid-0.2x debt-to-equity implies low leverage for a utility-style gas midstream operator. This durable financial flexibility supports capital spending on pipelines, cushions commodity shocks, preserves credit standing and lowers refinancing risk across the 2–6 month horizon and beyond.
Negative Factors
FY26 margin compression and weaker profitability
Meaningful margin deterioration in FY26 signals structural pressure from costs, feedstock or adverse pricing that can persist beyond a quarter. Sustained margin compression reduces internally generated funds, constrains reinvestment, and undermines long-term returns unless operational or contractual remedies are implemented.
Read all positive and negative factors
Positive Factors
Negative Factors
Controlled leverage / robust balance sheet
Sustained mid-0.2x debt-to-equity implies low leverage for a utility-style gas midstream operator. This durable financial flexibility supports capital spending on pipelines, cushions commodity shocks, preserves credit standing and lowers refinancing risk across the 2–6 month horizon and beyond.
Read all positive factors

GAIL (India) (GAID) vs. iShares MSCI United Kingdom ETF (EWC)

GAIL (India) Business Overview & Revenue Model

Company Description
GAIL (India) Limited is an Indian state-owned enterprise primarily involved in the processing and distribution of natural gas, with the Government of India holding a majority ownership stake. Its principal business functions include the commercial...
How the Company Makes Money
GAIL primarily makes money through a mix of regulated/contracted infrastructure earnings and commodity-linked marketing and manufacturing margins. (1) Natural gas transmission: GAIL earns tariff-based revenue by transporting natural gas through it...

GAIL (India) Earnings Call Summary

Earnings Call Date:Nov 05, 2024
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Jul 30, 2026
Earnings Call Sentiment Neutral
GAIL's earnings call reflected a robust first half of FY '25 with record profits and strong marketing margins. However, the second quarter witnessed a decline in gas marketing volumes and financial metrics compared to the first quarter, alongside challenges in LNG sourcing and increased operational expenses.
Positive Updates
Record-Breaking Profit Before Tax (PBT) and Profit After Tax (PAT)
GAIL registered its highest ever PBT and PAT of INR 7,095 crores and INR 5,396 crores, respectively, for the first half of the financial year '25.
Negative Updates
Decline in Gas Marketing Volumes
Gas marketing volume decreased to 96.60 MMSCMD in Q2 FY '25 from 99.47 MMSCMD in Q1 FY '25, mainly due to reduced gas consumption by the power sector.
Read all updates
Q2-2025 Updates
Negative
Record-Breaking Profit Before Tax (PBT) and Profit After Tax (PAT)
GAIL registered its highest ever PBT and PAT of INR 7,095 crores and INR 5,396 crores, respectively, for the first half of the financial year '25.
Read all positive updates
Company Guidance
In the Q2 FY '25 earnings call for GAIL India Limited, the company reported significant financial metrics, including a stand-alone gross turnover of INR 32,814 crores, EBITDA of INR 3,453 crores, and PAT of INR 2,672 crores. On a consolidated basis, GAIL's turnover reached INR 33,861 crores with a PBT of INR 3,470 crores and PAT of INR 2,694 crores. The gas marketing volume for the quarter was 96.60 MMSCMD, while natural gas transmission volume stood at 130.63 MMSCMD. The average capacity utilization was 62%, with LPG transmission throughput at 1,124 TMT and a capacity utilization of 98%. The company incurred CapEx of INR 1,885 crores in Q2 and plans to achieve a marketing margin of at least INR 4,500 crores for the fiscal year, having already earned INR 3,287 crores in the first half of FY '25. Additionally, GAIL targets to increase its gas transmission volume by approximately 10 to 12 MMSCMD year-on-year over the next 2 to 3 years.

GAIL (India) Financial Statement Overview

Summary
Financials are mixed: the balance sheet is a relative strength with moderate, controlled leverage, but profitability weakened in FY26 (margin compression) and cash flow quality is a key concern given weaker cash conversion and volatile free cash flow.
Income Statement
62
Positive
Balance Sheet
74
Positive
Cash Flow
48
Neutral
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue1.42T1.42T1.33T1.46T925.32B571.52B
Gross Profit252.82B261.65B181.83B168.37B191.97B109.03B
EBITDA194.02B206.43B170.33B104.23B180.86B100.63B
Net Income116.36B124.50B98.99B56.16B122.56B61.36B
Balance Sheet
Total Assets0.001.33T1.25T1.08T965.59B813.85B
Cash, Cash Equivalents and Short-Term Investments27.21B38.72B14.64B29.27B25.22B22.97B
Total Debt0.00215.95B217.94B178.16B92.16B78.73B
Total Liabilities-852.40B479.08B475.21B426.74B322.54B281.05B
Stockholders Equity852.40B849.98B769.97B649.27B641.14B531.82B
Cash Flow
Free Cash Flow0.0078.05B845.50M-56.26B26.57B32.96B
Operating Cash Flow0.00157.35B125.86B32.05B96.29B89.93B
Investing Cash Flow0.00-67.38B-82.73B-76.40B-56.46B-46.93B
Financing Cash Flow0.00-89.41B-34.57B29.72B-39.16B-34.71B

GAIL (India) Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
£2.60B28.593.94%2.78%-11.94%-84.94%
66
Neutral
$17.65B18.105.60%3.62%6.62%11.55%
63
Neutral
£693.88M8.7127.40%7.01%5.60%5.05%
62
Neutral
$11.67B14.858.73%6.52%-4.46%-41.51%
60
Neutral
£62.55B19.058.47%4.15%-3.76%8.20%
59
Neutral
£7.85B12.881.68%2.86%-2.11%-104.48%
56
Neutral
£30.01B24.399.45%2.98%0.54%-2.65%
* Utilities Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:GAID
GAIL (India)
10.65
-1.95
-15.50%
GB:CNA
Centrica
172.20
19.91
13.07%
GB:DRX
Drax Group plc
770.50
99.92
14.90%
GB:SSE
SSE
2,460.00
592.50
31.73%
GB:TEP
Telecom Plus
888.00
-1,022.85
-53.53%
GB:NG
National Grid
1,236.00
204.95
19.88%

GAIL (India) Corporate Events

Business Operations and StrategyFinancial DisclosuresRegulatory Filings and Compliance
GAIL Board Approves and Publishes Audited FY 2026 Financial Results
Positive
May 21, 2026
GAIL (India) Limited announced that its Board has approved the audited standalone and consolidated financial results for the quarter and financial year ended 31 March 2026. The company has made these results available to investors and stakeholders...
DividendsFinancial Disclosures
GAIL Board to Review FY 2025-26 Results and Consider Final Dividend
Positive
May 18, 2026
GAIL (India) Limited has announced that its Board of Directors will meet on May 21, 2026, to approve the financial results for the quarter and full financial year ended March 31, 2026. At the same meeting, the board will also consider recommending...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 18, 2026