Latest News

India's ONGC posts amaze Q2 earnings beat on lower tax expenses

India's Oil and Natural Gas Corp. ( ONGC) reported a surprise increase in secondquarter. profit on Monday, helped by a decrease in tax expenditures due to the. scrapping of the levy on petroleum crude.

The state-owned company's standalone revenue leapt 17% to. 119.84 billion rupees ($ 1.42 billion) in the quarter ended Sept. 30. Analysts had actually anticipated 91.23 billion rupees, according to. information put together by LSEG.

Its standalone incomes omit make money from its joint. endeavors and operations outside the country.

The company, which adds to around 71% of domestic. crude oil production, posted a 6.5% drop in tax expenditures to. 30.52 billion rupees in the three-month duration.

Throughout the quarter, India ditched the windfall tax it had. imposed on petroleum crude in 2022. The windfall tax was scrapped. as worldwide oil costs softened compared to 2022.

Nevertheless, its profits from operations fell 3.6% to 338.81. billion rupees, missing out on experts' price quote of 340.56 billion. rupees, according to information assembled by LSEG.

ONGC's petroleum cost realisation, or the cost at which it. sells the item, fell 7.7% to $78.33 per barrel in the second. quarter. Global crude oil rates dropped around 17% in. the quarter.

Domestic fuel consumption in the quarter dipped as. above-average rainfall caused a slowdown in irrigation and farm. machinery usage, which consumes diesel. Sales of cars,. another key diesel need driver, likewise declined.

Peer Oil India, previously this month, published a. quarterly earnings that missed price quotes due to lower prices and. tepid demand.

(source: Reuters)