Oil India January-March Profit, Revenue Fall On Year On Lower Crude Sales

Oil India Ltd. reported a year-on-year decline in both net profit and revenue for the March quarter, primarily due to lower crude oil sales. However, the fall was narrower than expected, with both top and bottom lines beating analysts’ estimates.

The state-run company posted a net profit of ₹15.91 billion for the quarter, ahead of the Street's estimate of ₹14.38 billion. Revenue fell nearly 4% on year to ₹55.19 billion, but was higher than the expected ₹53.55 billion. Profit declined close to 22% from the year-ago period.

Revenue from crude oil dropped to ₹38.96 billion from ₹41.73 billion a year earlier, while natural gas sales rose marginally to ₹13.83 billion. These segments account for around 96% of total revenue. Oil India paid an excise duty of just ₹800,000 in the quarter, sharply lower than ₹2.29 billion a year ago.

The company’s operating margin narrowed to 28.12% from 32.67% a year ago.
For 2024-25, despite the revenue remaining flat at ₹221.17 billion, net profit rose over 10% on year to ₹61.14 billion. Crude oil production rose nearly 3% to 3.46 million tonnes, while natural gas output hit a record high of 3.25 billion cubic metres, up over 2%. The full-year operating margin also contracted to 30.96% from 33.82% a year ago.
The board approved a final dividend of ₹1.50 per share.