IOC Sept quarter net jumps 17-fold to Rs 5,294 cr

State-owned Indian Oil Corp (IOC) today reported a 17-fold jump in net profit for the quarter ended September 30 on back of higher refinery margins and government subsidy support.

Net profit in July-September stood at Rs 5,293.95 crore compared to Rs 284.36 crore in the same period last fiscal, IOC Chairman B M Bansal told reporters here.

The company earned $6.63 on processing every barrel of crude oil as opposed to a gross refining margin of $3.62 per barrel in Q2 of last fiscal.

IOC lost Rs 17,421 crore in revenues on selling diesel, domestic LPG and kerosene in April-September. Of this, government has provided Rs 7,219.95 crore by way of cash subsidy and another Rs 5,806.80 crore was received from upstream firms like ONGC.

The company got the compensation for the entire first half in October while no subsidy support was provided in corresponding period the previous year, Bansal said.

Despite the government subsidy and upstream support, IOC had to book Rs 4,393.74 crore in revenue loss on fuel sales, he said.

"We are currently losing Rs 81 crore per day on sale of diesel, domestic LPG and kerosene (below imported cost)," he said.

IOC loses Rs 2.62 per on diesel, Rs 15.71 per litre on kerosene and Rs 210 per cylinder on LPG.

Turnover rose by 14.5 per cent to Rs 74,757 crore in July-September quarter.

The company sold 16.92 million tons of products, including exports during the second quarter. Refinery thruput dropped 2.2 per cent to 12.13 million tons while exports were up 4.7 per cent to 1.24 million tons.