EconomyCompanies
ONGC Q2 profit jumps 57% to ₹15,489 crore, ₹8 interim dividend declared
The state-run oil and gas producer reported a sharp rise in standalone profit and revenue for the September quarter on Thursday evening and announced its first interim dividend of the year.
Key points
- ONGC's standalone net profit rose 57.3% to ₹15,488.64 crore in July-September.
- Standalone revenue climbed 32.8% to ₹43,875.15 crore.
- The board declared a first interim dividend of ₹8 a share, record date November 12.
Oil and Natural Gas Corporation (ONGC) on Thursday reported a 57.3% rise in standalone net profit for the July-September quarter, to ₹15,488.64 crore from ₹9,847.97 crore a year earlier.
The state-run explorer’s results came after market hours. Its standalone revenue from operations rose 32.8% to ₹43,875.15 crore, against ₹33,030.56 crore in the same quarter last year.
The board also declared a first interim dividend of ₹8 a share for the current financial year, or 160% on the face value of ₹5. The record date, which decides which shareholders are entitled to the payout, is November 12, and the company said the dividend will be paid within 30 days.
Why it matters
ONGC is India’s largest producer of crude oil and natural gas, and the government is its majority shareholder, so a large dividend also feeds the Centre’s non-tax revenue. The quarter covered a period in which oil prices stayed high because of the conflict in West Asia and the disruption around the Strait of Hormuz.
The company did not set out in its headline numbers how much of the gain came from higher prices and how much from volumes. Consolidated results, which include refiners HPCL and MRPL, were not part of the first set of figures.
ONGC’s results capped a busy Thursday for September quarter earnings, with Titan, Glenmark Pharma and Bharti Airtel also reporting during the day. The shares will react to the numbers when trading opens on Friday.