State-run oil marketing company, Indian Oil Corporation (IOCL) on Tuesday reported a net profit of`448 crore for the October-December period (Q3FY23), as against a profit of `5,860.80 crore in the year ago period. The net profit of IOCL declined by 92%.The company returned to profitability after two consecutive quarter of losses. The profit in the Q3 of FY23 was driven mainly by easing crude oil prices. The revenue from operations was up by 15% to `2.28 trillion from `1.97 trillion in the corresponding quarter last fiscal.On a consolidated basis, IOCL reported decline of 87.41% in net profit to `773.23 crore as against Rs 6,143.08 crore in the year ago period.
The company’s earnings before interest, taxes, depreciation and ammortisation (EBITDA) grew 83% to `3,593 crore for the third quarter of the current financial year. Its margin — a key measure of profitability — declined by 90 basis points on a year-on-year basis to 0.9%.
The company reported refinery throughput at 18.202 million metric tonn (MMT) in Q3 of FY23, against 17.404 MMT in the same quarter a year ago. Similarly, the refinery throughput for nine months ending in December 2022 stood at 53.231 MMT. The domestic product sales of the company rose to 23,170 MMT from 21.021 MMT in the Q3 of FY22. However, IOCL exports declined to 1135 MMT in the quarter ending in December 2022, from 1570 MMT in the Q3 of FY22.
“Average Gross Refining Margin (GRM) for the period April- December 2022 is $21.08 per bbl (April- December 2021: $8.52 per bbl). The core GRM or the current price GRM for the period April -December 2022 after offsetting inventory loss/ gain comes to $20.55 per bbl. However, the suppressed marketing margins of certain petroleum products have offset the benefit of increase in GRM,” said the company in its regulatory filing.
IOC suffered under recoveries from sale of domestic LPG in the Financial Year 2021-22, to compensate for the under recovery, Indian Oil Corporation (IOCL) has received one time grant of `10,801 crore from the government in October 2022 .
On BSE, IOCL’s shares closed at ` 81.80 a piece, up 0.12% on Tuesday.