Indian Oil Corp gains as Q4 PAT jumps 50% YoY; recommends final dividend of Rs 3/sh

Despite the strong bottom-line growth, the company's revenue from operations declined 1.52% YoY to Rs 1,94,967.02 crore, as against Rs 1,97,978.23 crore reported in Q4 FY24.

Profit before exceptional items and tax jumped 38.74% to Rs 8,785.67 crore in Q4 FY25, up from Rs 6,332.30 crore reported in the same period a year ago. The company posted exceptional items amounting to Rs 1.05 crore during the period.

Domestic sales increased 3.63% to 24.601 million metric tons (MMT), while export sales fell 12.84% to 1.344 MMT in Q4 FY25 over Q4 FY24.

During the quarter, the refineries throughput was 18.548 MMT (up 1.45% YoY) and the pipelines throughput was 25.777 MMT (up 4.81% YoY).

The company's revenue from petroleum products stood at Rs 2,03,732.30 crore (down 2.18% YoY), Income from the petrochemicals revenue was at Rs 7,225.87 crore (up 4.59% YoY) and revenue from gas stood at Rs 11,189.69 crore (up 17.90% YoY) during the period under review.

Average Gross Refining Margin (GRM) for the year April-March 2025 is $4.80 per bbl (April-March 2024: $12.05 per bbl). The core GRM or the current price GRM for the year April 2024'March 2025 after offsetting inventory loss/ gain comes to $4.53 per bbl.

On the margins front, operating margin improved to 4.44% in Q4 FY25, as compared to 3.05% in Q4 FY24. Similarly, net profit margin increased to 3.34%, up from 2.20% in the corresponding quarter of the previous fiscal year, indicating improved operational performance.

Meanwhile, the company's board has recommended a final dividend of Rs 3 per equity share for the financial year 2024-25, subject to the approval of the shareholders at the ensuing Annual General Meeting (AGM). The dividend will be paid within 30 days from the date of declaration at the AGM.

In a separate filing, the company's board informed that in its earlier intimation dated 31 January 2020, it had approved the expansion project for the crude processing capacity of its Barauni Refinery in Bihar, increasing capacity from 6.0 MMTPA to 9.0 MMTPA at an estimated cost of Rs 13,779 crore. In this regard, the Board of IndianOil, at its meeting held on 30 April 2025, has approved a revision in the project cost for the Barauni Refinery expansion from Rs 13,779 crore to Rs 16,724 crore. The increase in project cost is primarily due to the rise in the cost of plant and machinery.

In addition, the company's board informed that in its communications dated 15 March 2023 and 30 April 2024, it had announced the formation of a Wholly Owned Subsidiary (WoS) in India, named Terra Clean, and an equity investment of Rs 1,303.75 crore in Terra Clean for the implementation of 1 GW installed capacity of Renewable Energy (RE) projects. In this regard, the board, at its meeting held on 30 April 2025, has approved an additional equity investment of Rs 1,086 crore in Terra Clean for setting up an additional 4.3 GW of RE capacity, in addition to the already approved 1 GW RE capacity.

Indian Oil Corporation is an Indian government-owned oil and gas explorer and producer. As of 31st March 2025, the Government of India held a 51.50% stake in the company.

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