Indian Oil profit beats on inventory gains, lower expenses1 min read . Updated: 30 Oct 2020, 03:27 PM IST
- The company, with subsidiary Chennai Petroleum , controls about a third of India's 5 million bpd refining capacity
- Analysts on average had expected a profit of 28.20 billion rupees
Indian Oil Corp Ltd , the country's top refiner, reported an eleven-fold rise in second-quarter profit on Friday that beat analysts' estimates on inventory gains and lower expenses.
The company, along with subsidiary Chennai Petroleum , controls about a third of the country's 5 million-barrels-per-day (bpd) refining capacity.
Net profit for the state-owned company rose to 62.27 billion rupees ($842.14 million) in the three months ended Sept.30, from 5.63 billion rupees a year earlier.
Analysts on average had expected a profit of 28.20 billion rupees, according to Refinitiv data.
Shares of the company were up 2.1% as of 0554 GMT.
Total expenses fell 16.6%, while the change in inventories for finished goods, stock in trade and work in progress were at a gain of 16.37 billion rupees against a loss of 60.66 billion rupees a year ago.
For the April-September period, average gross refining margin, which is the difference between the cost of crude oil processed and the prices of refined products, rose to $3.46 per barrel from $2.96 per barrel.
This story has been published from a wire agency feed without modifications to the text.