Indian Oil (IOC) Q2 24/25 earnings summary

Executive summary

• Board approved unaudited standalone and consolidated financial results for the quarter and half year ended 30th September 2024, with limited review by statutory auditors and no material misstatements reported.

Financial highlights

• Standalone Q2 FY25 revenue from operations: ₹1,95,148.94 crore; net profit: ₹3,439.53 crore, down from ₹17,169.87 crore in Q2 FY24.

• Consolidated Q2 FY25 revenue from operations: ₹1,98,615.80 crore; net loss: ₹448.78 crore, compared to net profit of ₹13,713.08 crore in Q2 FY24.

• Exceptional item: Write-back of ₹1,157.30 crore provision due to favorable Supreme Court order on VAT Input Tax Credit.

• Average Gross Refining Margin (GRM) for H1 FY25: $4.08/bbl, sharply lower than $13.12/bbl in H1 FY24.

Outlook and guidance

• Revenue recognition for LPG sales remains impacted by a cumulative net negative buffer of ₹8,870.11 crore due to retail prices below market-determined price.

• Ongoing dispute with PCDA over price differential claims; ₹690 crore unilaterally deducted, with resolution pending.