Indian Oil's July-September net profits soars 17-fold to Rs5,293.95 crore

State-owned Indian Oil Corp (IOC) today reported a 17-fold jump in its fiscal second quarter (July-September 2010-11) net profit at Rs5,293.95 crore, helped by higher refinery margins and release of government subsidy.

The PSU oil marketing major had reported a net profit of Rs284.36 crore in the similar quarter of the previous financial year.

Total income of the company increased to Rs78,197.63 crore during the quarter ended 30 September 2010 from Rs61,817.81 crore in the quarter ended 30 September 2009.
  
The company's processing margin rose to $6.63 per barrel of crude oil during the September 2010 quarter from $3.62 per barrel in the similar quarter of the previous fiscal, IOC chairman B M Bansal said.

IOC had revenue underrecoveries of Rs17,421 crore on selling diesel, domestic LPG and kerosene in the April-September period. Of this, government has provided Rs7,219.95 crore by way of cash subsidy while upstream firms like ONGC provided another Rs5,806.80 crore.

IOC, meanwhile, has emerged the country's largest refiner, beating Reliance Industries to second spot, after the completion of expansion at its Panipat unit from 12 million tonnes to 15 million tonnes.

IOC's eight refineries now have a combined refining capacity of 64.7 million tonnes against 61.7 million tonnes earlier. Against this, Reliance has a combined refining capacity of 62 million tonnes at its refinery complex in Jamnagar, Gujarat.