IOC Q1 profit falls 45% to Rs4,549 crore, beats estimates
State-run Indian Oil Corp. said June quarter profit declined 45% to Rs4,549 crore from a year ago despite handsome gains in operating revenue as expenses including of crude oil rose and refining margin narrowed sharply.
Revenue from operations rose 20% in the first quarter of this fiscal to Rs1.28 trillion from a year ago on higher refinery throughput and export of petroleum products, Indian Oil told stock exchanges on Thursday.
Expenses, including crude oil cost, employee benefits, inventory changes and interest payments rose 28.3% in the April-June period to Rs1.2 trillion.
Indian Oil said that refinery margin stood at $4.32 a barrel in the first quarter compared to $9.98 a year ago.
The company reported an 84% jump in exports to 1.8 million tonnes during the quarter from a year ago. Refinery throughput rose 9.5% during the period under review to 17.5 million tonnes.
The company is on a massive expansion drive, increasing the capacity of its refineries and investing in liquified natural gas (LNG) import terminals, liquified petroleum gas (LPG) bottling plants and long distance petroleum product transportation pipelines.