ONGC experiences highest web revenue of ₹40,306 crore

On the again of the all time value it earned on crude oil it produces, state-owned Oil and Natural Gas Corporation (ONGC) reported a document web revenue of ₹40,305 crore within the fiscal 12 months ended March 31, turning into India’s second most worthwhile firm behind Reliance Industries Ltd.

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In an announcement, ONGC mentioned web revenue for the fiscal FY22 (April 2021 to March 2022) soared 258% to ₹40,305.74 crore from ₹11,246.44 crore within the earlier monetary 12 months.

This because it obtained a mean of $76.62 for each barrel of crude oil produced and offered within the fiscal as in opposition to $42.78 per barrel web realisation within the earlier 12 months.

This is one of the best ever value that ONGC obtained as worldwide oil costs surged from late 2021 and spiked to a close to 14-year excessive of $139 per barrel after Russia invaded Ukraine. International charges had spiked to a document $147 per barrel in 2008 however ONGC’s web realisation at the moment was a lot decrease because it had to supply subsidies to gas retailers in order that they may promote petrol, diesel, cooking fuel LPG and kerosene at charges decrease than price.

ONGC now will get worldwide charges because the downstream gas retailers too value petrol, diesel, and different petroleum merchandise at international charges.

The agency obtained $2.35 per million British thermal unit for the fuel it offered as in opposition to $2.09 within the earlier FY21 fiscal. The fuel value jumped to $6.1 in April this 12 months and this affect shall be seen within the first-quarter earnings.

Consolidated web revenue, after together with these earned by its subsidiaries like HPCL, MRPL and ONGC Videsh Ltd, soared to ₹49,294.06 crore in 2021-22 as in comparison with ₹21,360.25 crore in 2020-21.

Both standalone and consolidated web revenue of ONGC is the second-highest revenue within the nation.

Reliance had on May 6 reported a consolidated web revenue of ₹67,845 crore on a income of ₹792,756 crore.

ONGC displaced Tata Steel for the No.2 spot. Tata Steel on May 3 reported a standalone web revenue of ₹33,011.18 crore and a consolidated web revenue of ₹41,749.32 crore for FY22.

At No.4 spot is Tata Consultancy Services Ltd (TCS) with a consolidated web revenue of ₹38,449 crore, adopted by State Bank of India (SBI) which reported a web revenue of ₹31,676 crore on May 13. Its private-sector rival HDFC Bank reported a standalone web revenue of ₹36,961.33 crore and a consolidated web revenue of ₹31,150.90 crore for the fiscal.

ONGC as soon as was India’s most worthwhile firm however a decline in output and paying gas subsidies led to its earnings declining over time.

ONGC mentioned its standalone income from operations soared almost 62% to ₹1.10 lakh crore and consolidated turnover got here in at ₹5.31 lakh crore.

The revenue surge was regardless of a 3.7% drop in crude oil manufacturing to 21.7 million tonnes in 2021-22 as a number of the agency’s western offshore fields have been hit by a extreme cyclone in May final 12 months. Gas output fell 5% to 21.68 billion cubic meters.

“The decrease in oil/gas production is mainly due to the impact of cyclone Tauktae in western offshore assets and western onshore assets and modification work at Hazira (Gujarat),” the assertion mentioned.

ONGC mentioned its Reserve Replacement Ratio (2P) from home fields (excluding three way partnership fields) was 1.01. This is the sixteenth consecutive 12 months when ONGC achieved Reserve Replacement Ratio (2P) of a couple of.

The firm’s abroad arm, ONGC Videsh Ltd reported a 16% drop in web revenue to ₹1,589 crore in 2021-22 as crude oil and pure fuel output fell. Its crude oil manufacturing declined to eight.099 million tonnes in FY22 from 8.51 million tonnes within the earlier 12 months. Gas output fell to 4.231 billion cubic meters from 4.529 bcm in FY21.

ONGC declared a last dividend of 65% (₹3.25 per share of face worth ₹5 every), taking the overall dividend paid within the fiscal to 210% (₹10.50 a share).