Oil India Q4 net profit falls 10% sequentially to Rs 2,333 cr, announces bonus issue

Oil India Limited (OIL) has reported a 10 percent sequential decline in consolidated net profit at Rs 2332.94 crore in the March quarter of financial year 2023-24. The state-run oil producer posted a net profit of Rs 2,607.66 crore in the previous quarter.

Meanwhile, consolidated net profit of the company jumped around 17 percent on year-on-year basis in Q4 as Oil India profit stood at Rs 1,979.74 crore in the same period last year.

Revenue from operations came in at Rs 10,166 crore, up around 16 percent from the year-ago period, the company said on May 20.

Oil India’s board also recommended issue of bonus shares in the ratio of 1:2 i.e. one equity share of Rs 10 each for every two existing equity shares of Rs 10, each fully paid up subject to the approval of shareholders.

Additionally, the board recommended a final dividend of Rs 3.75 per equity share having face value of Rs 10 each (pre-bonus), which translates into final dividend of Rs 2.50 per equity share having face value of Rs 10 each (post-bonus) for FY24, subject to the approval of shareholders. The company said the final dividend is in addition to the interim dividend of
Rs 3.50 and second interim dividend of Rs 8.50 paid for FY24.

In Q4, the company’s earnings before interest, tax, depreciation and amortisation (EBITDA) rose to Rs 3838 crore. The company’s crude earnings before interest and tax (EBIT) were Rs 1,744.75 crore, an increase of 18 percent from the previous year. EBIT for the natural gas segment came in at Rs 687.34 crore against Rs 823.55 crore in the previous year.

On the strength of sound operating performance reflected in highest ever oil and gas production (O+OEG) production of 6.54 MMTOE, the company said it registered highest ever EBIDTA of Rs 11,643.30 crore for FY24.

The company’s crude oil production in Q4 was higher by 6 percent from last year with an overall increase of 5.76 percent to 3.359 MMT in FY24, compared to 3.176 MMT produced during FY23, the company said in press release.

Oil India also achieved growth in its natural gas production during Q4 by 3.21 percent over corresponding quarter of FY23. The company posted highest ever natural gas production of 3.182 BCM (billion cubic metre) during the year.

The company said it drilled a record 61 wells during FY24, which surpassed all its previous records since inception.