However, the stock corrected from the day’s highs post the earnings announcement, and it remains to be seen if it can hold on to the momentum seen in the stock price in recent times.
The stock is up nearly 8 per cent over the last one month, but is still down 37 per cent for the year to date.
Here are the key takeaways from IOC’s Q2 results:
How much did the company earn?
Indian Oil Corporation posted around 13 times growth in consolidated net profit at Rs 6,025.81 crore for the quarter ended September.
How did the revenues fare?
Consolidated revenue slipped 13.39 per cent YoY to Rs 1,16,713.17 crore.
What fuelled this growth in the bottomline?
Lower input costs and inventory gains on the back of steep correction in crude oil prices earlier this year and relatively subdued economic activity, lower finance costs and higher other income propelled the gains for the refining major.
What were the GRMs like?
Average gross refining margin (GRMs) for the April- September was $3.46 per bbl, compared to $2.96 per bbl in the year ago.
How did the stock react?
The stock closed 1.40 per cent higher at Rs 79.55, while benchmark Sensex dropped 0.34 per cent to 39,614.07 points. The stock, however, closed off highs, having risen as much as 4.40 per cent to Rs 79.55 before the earnings announcement.