Indian Economy News

ONGC reports highest net profit of Rs 40,306 cr; becomes India's 2nd most profitable firm

State-owned Oil and Natural Gas Corporation (ONGC) declared a record net profit of Rs. 40,305 crore (US$ 5.19 billion) in the fiscal year ended March 31, 2022, becoming India's second most profitable firm behind Reliance Industries Ltd. The record high profits were driven by the best-ever price it earned for crude oil it produces due to rise in international oil prices. ONGC said in a statement that net profit for fiscal FY22 (April 2021 to March 2022) increased 258% to Rs. 40,305.74 crore (US$ 5.19 billion) from Rs. 11,246.44 crore (US$ 1.45 billion) the previous fiscal year.

ONGC currently receives international rates, as downstream fuel dealers price gasoline, diesel, and other petroleum products at global rates as well. The company received US$ 2.35 per million British thermal units for the gas it sold, up from US$ 2.09 in the previous fiscal year. The price of gasoline increased to US$ 6.1 in April of this year, and the impact will be noticeable in first-quarter earnings.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.