ONGC net up 70% to Rs 10,530 crore, pays 300% dividend

New Delhi: Oil and Natural Gas Corporation (ONGC) has recorded a net profit of Rs 10,529.33 crore on a revenue of Rs 34,536.40 crore during fiscal 2002-03, reflecting a 53.4-per cent rise in revenues and a 70-per cent rise in net profits over the previous year's figures.

The company has declared a dividend of 300 per cent, of which an interim dividend of 170 per cent has already been paid. During fiscal 2001-02, the company recorded a net profit of Rs 6,197.87 crore on a turnover of Rs 22,514.2 crore.

ONGC chairman and managing director Subir Raha says ONGC is the first Indian corporate to record a net profit of over Rs 10,000 crore. "The improved results are largely on account of deregulation of crude prices."

Prior to the dismantling of the administered pricing mechanism (APM) on 1 April 2002, ONGC was netting just $16 per barrel regardless of the international price. Post-dismantling, ONGC is netting market prices.

"About 80 per cent of the increased turnover was on account of crude and products [LPG and naphtha] being sold at international prices," says Raha.