Oil and Natural Gas Corporation (ONGC) posted a jump in its consolidated net profit of about 102 per cent on a year-on-year (YoY) basis in its first quarter (Q1) earnings on Friday. The government-owned oil producer logged a net profit of Rs 17,383 crore for the June quarter in the current financial year (FY24) as compared to a net profit of Rs 8,581 crore in the first quarter of the previous fiscal year (FY23).
However, the company reported a 34 per cent drop in standalone net profit on a YoY basis. The company posted a standalone net profit of Rs 10,015 crore in Q1FY24, down from Rs 15,206 crore reported in Q1FY23, the company said in its exchange filing.
Revenue from operations decreased by 10 per cent on a YoY basis. The revenue reported for Q1FY24 stood at Rs 1.63 lakh crore compared to Rs 1.82 lakh crore reported for Q1FY23. Gross revenue for the company stood at Rs 33,814 crore in the reported quarter, down by about 20 per cent from the same period a year ago.
The company reported a fall of about 3.2 per cent in crude oil production, while gas output decreased by 3 per cent, both on a YoY basis.
ONGC noted the shutdown in Panna-Mukta offshore platforms and cyclone Biparjoy as the major factors behind the decline in output in the quarter. Other factors included the shutdown of crude oil wells in southern India due to a leakage in the pipeline also contributed to the decline, the company said.
Terming the output decline as “temporary”, the company said, “The current decline in production is temporary. The same will be compensated in upcoming quarters with the commencement of additional production from new projects; especially by crude oil production commencement from KG 98/2 in Q3 2023-24.”
The company declared four discoveries for the quarter, one in onland and three in offshore. Out of these, one of the discoveries, Gopavaram-21 has already been monetised, the company added in it’s statement.