Oil major, ONGC or Oil and Natural Gas Corporation reported a 17% year-on-year increase in its standalone Q2FY25 net profit to Rs 11,984 crore compared to Rs 10,238 crore net profit in the same quarter last fiscal.
However, ONGC’s Q2 revenue from operations declined by 4%, totaling Rs 33,881 crore, compared to Rs 35,163 crore during the same period last fiscal.
The company’s EBITDA for the quarter stood at Rs 18,236 crore for the second quarter, with an impressive margin of 53.8%, indicating solid operational efficiency despite lower revenues. However, segment-wise revenue showed a dip, particularly in the offshore and onshore segments. Offshore revenues fell to Rs 23,004 crore, down from Rs 23,468 crore in the second quarter of the previous year. Similarly, onshore revenues declined to Rs 10,871 crore, compared to Rs 11,694 crore during the corresponding period last year.
Speaking on the improvement in performance, the company in an exchange filing stated that, “With focused approach and continued thrust on increasing domestic production, ONGC has been able to reverse the declining trend in crude oil production. The standalone crude oil production (excluding condensate) during Q2 FY 25 was 4.576 MMT, registering a growth of 0.7% over corresponding quarter of FY24. Similarly, the standalone crude oil production during H1 FY25 was 9.204 MMT with an increase of 0.8% over H1FY24.”
ONGC’s board has declared an interim dividend of Rs 6 per equity share of face value Rs 5 for the financial year 2024-25. The record date for eligibility of shareholders for the dividend payment has been set for November 20, 2024.
ONGC’s stock closed 2% lower at Rs 257.25 on the NSE on Monday. The numbers were announced after the market closed.