Indian Oil third quarter net profit jumps threefold to Rs 2,695 crore
Economic Times, Delhi   31-Jan-2020

New Delhi: IndianOil Corporation, the country's largest fuel retailer today posted an over three times jump in consolidated net profit at Rs 2,695 crore for the third quarter ended December 2019.

The company had posted a consolidated net profit of Rs 767 crore in the corresponding quarter a year ago.

"The variation is majorly on account of inventory gain during current quarter against inventory loss during corresponding quarter of previous financial year, partly offset by lower refining margins and exchange losses during current current," IOC said in a statement.

The company recorded an inventory gain of Rs 1,608 crore for the third quarter ended December 2019, as compared to an inventory loss of Rs 8,523 crore in the corresponding quarter a year ago, Sandeep Kumar Gupta, Director (Finance) at IndianOil told reporters during a press conference in New Delhi.

Revenue from operations declined 10 per cent to Rs 146,952 crore for the third quarter ended December 2019 as compared to the year ago period.

IOC said its gross refinery margins during the December quarter declined to $3.34 per barrel, as compared to $5.83 per barrel recorded in the corresponding period a year ago.

The company has completed most of its refinery upgrades for roll out of Bharat Stage VI (BS VI) compliant fuel, and 80 per cent of the refiner's bulk storage fuel depots will have housed BS VI fuel starting 31 January, Sanjiv Singh, Chairman at IndianOil told reporters.

The company's domestic sales increased marginally to 21.86 Million Tonne (MT) during the three month period as compared to 21.54 MT in the same quarter last fiscal. Exports during the quarter increased to 1.54 MT from 1.24 MT in the corresponding quarter.

The company's pipeline throughput declined to 20.96 MT during the December 2019 quarter from 23.08 MT recorded in the corresponding quarter a year ago.

The company's share price at the Bombay Stock Exchange today closed at Rs 117.15, down 0.97 per cent as compared to previous close.