New Delhi: State-run Indian Oil Corp. Ltd on Thursday reported an 83% increase in its consolidated net profit to ₹6,808.12 crore, up from ₹3,722.63 crore in the year-ago period.
Speaking to reporters, Arvinder Singh Sahney, the chairman and managing director of Indian Oil, highlighted higher sales, both domestic and export and refinery throughput. The company reported the highest-ever quarterly sales volumes of 26.3 million metric tonnes. In the same period last fiscal, the company had reported 25.2 million metric tonnes of sales.
"We achieved the highest-ever quarterly sales (in Q1). Petroleum sales, POL (petroleum, oil and lubricants) is up by 4% (quarter-on-quarter basis) at 22.4 million tonnes. Petchem (petrochemical) sales witnessed an increase of 10% in Q1 at 0.8 million tonnes. Exports increased by 14% at 1.36 million tonnes," Sahney said, while adding that exports by the company largely include diesel and naptha.
A company statement said that during the period under review, refineries' throughput for Q1 FY25-26 was 18.683 million metric tonnes with 107% capacity utilization as compared to 18.168 million metric tonnes in Q1 FY24-25.
The public sector oil marketing company's net total income for the first quarter of the ongoing fiscal (FY26) was ₹2.22 trillion, nearly 1% higher than ₹2.20 trillion in the year ago period.
Amid ease in crude oil prices, IndianOil's total expenses fell 0.6% to ₹2.15 trillion in the April-June quarter, compared to ₹2.16 trillion in the first quarter of the last fiscal (FY25).
"Improvement in net profit is mainly on account of higher refining and marketing margins being set off to some extent by inventory losses in Q1 25-26 as compared to inventory gains in Q1 24-25," a company statement said.
Russian imports
On the issue of import of Russian oil amid US tariffs, the CMD said that import of crude from Russia and other sources is business as usual for the company and there is no deliberate plan to decrease import from Russia.
"We are buying crude as per the economics. We are not making any extra effort for either increasing or decreasing the Russian crude," he said.
In the first quarter of FY26, Russian crude comprised around 24% of the company's import basket and in case the market and global scenarios remain same the share of Russian crude is expected to remain around the same levels in the ongoing quarter (July-September), Sahney added. In the corresponding quarter of last fiscal the share of Russian crude was around 30%.
On 2 August, Mint reported that India continues to buy oil from Russia, notwithstanding the penalty and calling out by the US. State-owned refiners—Indian Oil Corp. Ltd (IOC), Bharat Petroleum Corp. Ltd (BPCL), and Hindustan Petroleum Corp. Ltd (HPCL)—continue to buy oil from Russian suppliers, and negotiations are underway for spot deals, Mint reported.
Its shares on BSE closed at ₹140.15 on Thursday, up 1.6% from its previous close.
