Indian Oil Corporation Q4 Results: 50% Profit Surge, ₹3 Dividend, and Strategic Push Towards Green Energy
Business and Industry Overview:
Indian Oil Corporation Limited is the leading oil and gas-producing PSU in India. The company is under the ownership of the government of India and the Ministry of Petroleum & Natural Gas. It is the largest in terms of both capacity and revenue, with a refining capacity of 80.55 MMTPA. IOCL offers a diverse range of products that include oil, gas, petrochemicals, and alternative energy sources. It has over 37500 fuel stations across the country. The company is well-known for its advanced technologies and innovative research and development in the petrochemical industry. It was ranked 116th on Fortune’s 2022 Global 500 list of the world’s largest corporations. It has maintained its leadership in the ‘BW Top 500’ for the third consecutive year and has been recognized as the most respected oil and gas company by Business World. The company aims at achieving net zero emissions by 2046. It is pioneering green initiatives, including Hydrogen Mobility, hydrogen Transportation, Biofuels, Electric Mobility, Solar Cooktop,s and Minimising Water footprints, which are central to our strategic vision for a cleaner energy future.
Latest Stock News:
On April 30, 2025, the stock price of Indian Oil Corporation (IOC) went up by 1.53%, closing at ₹137.86. The company did well in the last quarter of FY25, with a 50% increase in its profit compared to last year. This was mainly because the value of products that IOC had stored increased. This is called “inventory gains.” As the price of oil and gas went up, the company made more money from its stored products. IOC also made good sales in India, which helped increase its revenue. Even though the total revenue was a little lower than last year, the company still made a lot more profit because of the rise in product prices and good cost control. IOC announced that it will give ₹3 as a dividend per share. A dividend is money paid to the people who own shares in the company. This is a good sign because it shows the company is in a strong position and wants to reward its shareholders. This dividend will be approved by shareholders at the Annual General Meeting (AGM). Most analysts are positive about IOC’s future. They expect the stock price to rise to ₹149.63 in the next 12 months. This shows they believe the company will continue to do well. The company also offers a good dividend yield of 8.7%, which makes it attractive to investors. In short, IOC has done well because of higher product prices and good sales in India. The company is paying a dividend to reward shareholders. Analysts think the stock price will go up, and investors are happy with the company’s performance.
Segmental information:
- Refining: IOC has refineries that change crude oil into products like petrol, diesel, and LPG (gas for cooking). This is one of the most important parts of the business. The company has many large refineries in India.
- Marketing: IOC sells petroleum products like petrol, diesel, and LPG to customers through its network of fuel stations across India. It also sells lubricants and bitumen (used in road construction) to businesses.
- Exploration and Production (E&P): IOC looks for new oil and gas reserves. It works to find and produce oil and gas, but this is a smaller part of their business compared to refining and marketing.
- Petrochemicals: IOC makes chemicals from petroleum. These include products like plastics and synthetic rubber, which are used in many industries such as packaging and car manufacturing.
- Natural Gas: IOC also works with natural gas. It sells and transports natural gas to industries and homes. The company is expanding its work in this area by focusing on LNG (liquefied natural gas).
- Renewable Energy: IOC is starting to invest in renewable energy, like solar power. This is part of their plan to reduce pollution and focus on cleaner energy sources in the future.
Subsidiary information:
- Indian Oil Petronas Pvt. Ltd. (IPPL): This is a partnership between IOC and a company from Malaysia called Petronas. It makes and sells lubricants (oils used to make machines run smoothly).
- IOC Middle East (IOCME): This company works in the Middle East. It sells and markets petroleum products like fuel and gas in that region.
- Bongaigaon Refinery & Petrochemicals Ltd. (BRPL): IOC owns most of this company. It runs a refinery in Assam, India, that turns crude oil into finished products like petrol and diesel.
- Indian Oil (Mauritius) Ltd.: This company works in Mauritius. It sells and distributes petroleum products like petrol, diesel, and LPG (gas for cooking).
- Indian Oil Tanking Ltd. (IOTL): This company is in charge of storing and moving petroleum products. It has storage tanks and terminals to handle oil and gas.
- Chennai Petroleum Corporation Ltd. (CPCL): IOC owns a big part of CPCL, which is a refinery in Chennai. It turns crude oil into petrol, diesel, and other products.
Q4 Highlights:
- Profit Growth: IOC’s profit went up by 50% compared to last year. The company made ₹7,264 crore in profit.
- Revenue: IOC’s revenue was ₹1.87 lakh crore, which is a little lower than last year. The drop was because crude oil prices were lower, but IOC did a good job controlling costs.
- Inventory Gains: IOC made more money because the price of the oil they had stored went up. This is called “inventory gains,” and it helped increase profits.
- Sales Performance: IOC sold a lot of fuel in India, especially petrol and diesel, through its many fuel stations across the country.
- Dividend: IOC will pay ₹3 per share as a dividend to its shareholders. This means people who own shares will get extra money.
Financial Summary:
| Amount in ₹ Crore | Q4 FY24 | Q4 FY25 | FY24 | FY25 |
| Revenue | 198,650 | 195,270 | 776,352 | 758,106 |
| Expenses | 186,675 | 180,241 | 700,706 | 722,115 |
| EBITDA | 11,975 | 15,029 | 75,646 | 35,991 |
| OPM | 6% | 8% | 10% | 5% |
| Other Income | 1,686 | 1,519 | 5,389 | 7,112 |
| Net Profit | 5,488.00 | 8,368 | 43,161 | 13,789 |
| NPM | 2.76 | 4.29 | 5.56 | 1.82 |
| EPS | 3.65 | 5.75 | 29.55 | 9.63 |