Indian Oil Corp reports over 19% jump in Q3 net profit at Rs 5,861 crore

Revenue from operations rose nearly 35% to Rs 1.98 trillion

Indian Oil Corporation (IOC) on Monday reported a 19 per cent growth in third quarter net profit as the rise in refining margins negated the fall in marketing margins for keeping petrol and diesel prices unchanged despite rise in cost.

Net profit of Rs 5,860.80 crore in October-December 2021 was 19.2 per cent higher than Rs 4,916.59 crore profit in the same period a year back, the company said in a statement.

It was, however, lower than Rs 6,360.05 crore profit in the preceding quarter.

The profit in Q3 rose "due to higher refining margin," the firm said without giving details of the margins earned. The company saw a drop in marketing margins as it maintained petrol, diesel and LPG prices despite a rise in the cost of raw materials.

Revenue from operations rose to Rs 1.98 lakh crore in October-December from Rs 1.47 lakh crore a year back.

The company sold 22.6 million tonnes of petroleum products, marginally lower than 23 million tonnes a year back.

Its refineries throughput was 17.4 million tonnes, lower than 17.86 million tonnes in 2020.

Net profit for the nine months ended December 31, 2021, was 39 per cent higher at Rs 18,162.22 crore "mainly on account of higher refining margins and higher inventory gain during the current period," IOC said.

IOC Chairman S M Vaidya said the company sold 63.097 million tonnes of products, including exports, during the period April-December 2021, higher than 58.4 million tonnes of the previous fiscal.

"Our refining throughput for first nine months of FY 2021-22 was 49.400 million tonnes and the throughput of the Corporation's countrywide pipelines network was 61.187 million tonnes during the period.

"The gross refining margin (GRM) during the period April-December 2021 was USD 8.52 per barrel as compared to USD 2.96 per barrel in the corresponding period of the previous financial year," he said.

The Board of Directors of the company in its meeting held on Monday declared a second interim dividend of Rs 4 per equity share.

This is in addition to the interim dividend of Rs 5 per equity share paid earlier.