ONGC net up 11% at Rs 3,888 crore

New Delhi, Jan 30 | Updated: Jan 31 2006, 05:30am hrs
ONGC has posted a 11% increase in its net profit at Rs 3,888 crore in the third quarter of 2005-06. Its turnover has risen 3% to Rs 12,548 crore, despite a subsidy pay-out of Rs 2,843 crore to the oil marketing companies IOC, BPCL and HPCL, a company release said.

The subsidy burden on ONGC translates to a discount of approximately $16.5 a barrel on crude oil to the marketing companies to help them reduce their losses. The subsidy burden for the company in the first nine months of current fiscal was Rs 8,550 crore (around 19% of the sales revenue) compared to Rs 3,114 crore in the corresponding period last year.