PL First Cut - Oil India Q2FY24

PL First Cut – Oil India Q2FY24 – Swarnendu Bhushan – Co-Head of Research, Prabhudas Lilladher Pvt Ltd

Oil India Q2FY24 First Cut- Profitability declines due to taxes on royalty

(CMP: Rs 311, MCap: Rs337bn)

• OIL reported an EBITDA of Rs 24.9 Bn (+7% Q/Q, PLe: Rs 23 bn). Reported PAT came in at Rs 3.3 Bn ( -80% Q/Q, PLe: Rs 14.3 bn) due to an exceptional item of Rs 23.6bn towards disputed taxes on royalty on crude oil and natural gas.
• Oil production was up 1.8% QoQ to 0.835 mmt while gas production stood at 0.81 bcm, up 8.7% QoQ
• Net oil realization stood at US$75.49/bbl
• Oil sales at 0.85 mmt were up 14% QoQ and gas sales at 0.65 bcm were up 20% QoQ