New Delhi: Essar Oil today reported over four-fold increase in net profit in the first quarter of current year at Rs169 crore on back of foreign exchange gains.
“Last year we had a foreign exchange loss of Rs258 crore but in Q1 of the current year we had a net foreign exchange gain of Rs166 crore. So there was a gain of Rs424 crore,” Essar Oil CEO and managing director Naresh Nayyar said.
Essar Oil Ltd has reported strong financial results against the backdrop of volatile crude prices and weak product margins.
The company has reported a 104% rise its EBITDA for the first quarter of 2009-10 compared to the first quarter of the last financial.
The EBITDA for Q1 FY 2010 stood at Rs667 crore compared to Rs326 crore during Q1 of FY 2009. The Profit After Tax (PAT) during the same period stood at Rs169 crore compared to Rs30 crore, up by more than 450%.
Gross turnover for the first quarter of FY 2010 stood at Rs7,895 crore.
The company earned $6.74 on processing every barrel of crude oil against a gross refining margin of $9.15 a barrel in Q1 of previous year.
Nayyar said the company’s Vadinar refinery in Gujarat is currently operating at 14 million tonnes, capacity utilisation of 133%. It also has 1,252 petrol pumps on ground.