Indian Oil Corporation Limited said its standalone profit reached ₹21,630.03 crore in July-September, reversing an April-June loss as crude prices eased during part of the quarter and petrochemical and gas margins remained robust.
The board approved unaudited standalone and consolidated results for the quarter and half-year ended Sept. 30 on Oct. 30. Standalone net profit was up 184.2% from ₹7,610.45 crore in the year-earlier quarter. Standalone revenue from operations increased 29.5% to ₹2,62,935.58 crore, from ₹2,02,992.34 crore.
The company had posted a standalone net loss of ₹2,661.37 crore in April-June. Its petroleum-products segment reported a result of ₹24,935.01 crore before tax, interest income, finance costs, dividends and exceptional items, compared with ₹11,268.80 crore a year earlier. The equivalent gas-segment result rose to ₹1,237.67 crore from ₹243.49 crore.
Indian Oil included ₹7,243.02 crore in government compensation for domestic liquefied petroleum gas under-recoveries in operating revenue for April-September; it did not disclose a July-September amount. The government approved ₹14,486 crore in compensation, to be paid in monthly installments. The company said its cumulative net negative LPG buffer balance was ₹32,505.69 crore at Sept. 30. The buffer tracks pricing shortfalls when market-determined cylinder prices are below the effective cost to customers, for later adjustment.
Indian Oil also reported consolidated net profit of ₹22,502.62 crore. Of that, ₹21,407.87 crore was attributable to equity holders of the parent.
The company said further crude-price declines as the situation in the Middle East normalizes could leave it with inventory losses that weigh on earnings in coming quarters. The filing’s limited-review reports gave unmodified conclusions. They also noted that Indian Oil lacked the required minimum number of independent and non-executive directors, and that its Audit, Nomination and Remuneration, CSR and other mandatory committees had not been reconstituted by the reporting date.
