Indian Oil net profit slumps 87% to Rs 773 crore in Q3

According to the state-owned conglomerate, income from operations increased 17 percent year on year.

On January 31, Indian Oil Corporation announced an 87.41 percent drop in consolidated net profit at Rs 773.23 crore for the quarter ending December 2022, compared to Rs 6,143.08 crore the previous year.

The petroleum retailer stated in an exchange statement that income from operations was Rs 2,32,303.20 crore, up 16.51 percent from Rs 1,99,371.75 crore in the previous quarter.


According to the firm, the average Gross Refining Margin (GRM) for the period April-December 2022 was $21.08 per barrel (April-December 2021: $8.52 per barrel). The core GRM, or current price GRM, for the period April to December 2022, after subtracting inventory loss/gain, is $20.55 per barrel, according to the report.

“However, the suppressed marketing margins of certain petroleum products have offset the benefit of increase in GRM,” said the oil retailer.

Indian Oil claimed that recoveries from domestic LPG sales affected the company’s figures in the fiscal year 2021-22 and the nine months ending December 31, 2022.

To compensate for under-recoveries, the Government of India authorised a one-time payout of Rs 10,801.00 crore in October 2022. This award has been reported as Revenue from Operations in the financial statements for the period April to December 2022, according to the company.

Following the earnings report, Indian Oil shares fell 0.31 percent to Rs 81.45.