Indian Oil Fires on All Cylinders: Q4 Profit Soars 50% to ₹7,265 Cr
Indian Oil Corporation Ltd (IOCL), the country’s largest oil refining and marketing company, has reported a 50% year-on-year (YoY) surge in net profit for the January–March quarter (Q4 FY25), clocking in at ₹7,264.85 crore, compared to ₹4,837.69 crore in the same period last year.
New Delhi: Indian Oil Corporation Ltd (IOCL), the country’s largest oil refining and marketing company, has reported a 50% year-on-year (YoY) surge in net profit for the January–March quarter (Q4 FY25), clocking in at ₹7,264.85 crore, compared to ₹4,837.69 crore in the same period last year.
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Indian Oil Q4FY25: Profit More Than Doubles Sequentially
On a quarter-on-quarter (QoQ) basis, Indian Oil’s net profit more than doubled from ₹2,874 crore in Q3FY25 to ₹7,265 crore in Q4FY25. This sharp rise was primarily fueled by:
- Improved Gross Refining Margins (GRMs)
- Inventory gains
- Enhanced operational efficiency
EBITDA Margins Strengthen; Operating Profit Nearly Doubles
- EBITDA margin rose to 7% in Q4, compared to 3.7% in Q3.
- EBITDA surged by 90% QoQ, reaching ₹13,572 crore from ₹7,117 crore.
This reflects Indian Oil’s strong cost control and a better product mix strategy, contributing significantly to profitability.
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Gross Refining Margins Jump to $8 per Barrel
Indian Oil reported GRMs of $8 per barrel during the quarter, a substantial increase from $2.9 per barrel in Q3FY25, showing the company’s ability to capitalize on favorable market dynamics and optimize refining capacity.
Steady Revenue and Final Dividend Declared
Revenue from operations remained steady at ₹1.95 lakh crore, slightly up from ₹1.94 lakh crore in the previous quarter.
The Board has recommended a final dividend of ₹3 per equity share of ₹10 face value for the financial year 2024-25.
Focus on Clean Energy: ₹1,086 Crore Investment in Terra Clean
Indian Oil also announced an additional equity investment of ₹1,086 crore in its clean energy subsidiary Terra Clean Ltd. The funds will support the development of 4.3 GW of new renewable energy capacity, reinforcing IOCL’s green transition strategy.
Indian Oil Share Price Reacts to Earnings
Following the announcement, Indian Oil shares initially rose sharply but later pared gains to close 1.1% higher at ₹137.31. The stock has gained approximately 5.5% in the past month, supported by strong fundamentals and energy sector optimism.
