IndianOil net profit sees nine-fold jump
New Delhi   31-Jul-2009
The state-run IndianOil on Thursday reported a nine-fold jump in its net profit on falling crude oil prices and inventory gains. The company posted a net profit of Rs 3,682.83 crore in the April-June quarter, as opposed to Rs 415.13 crore a year ago. This year's profit also included that of Bongaigaon Refineries Ltd, which was merged with the company in March. "Lowering of crude oil prices has had a positive impact on our earnings," said the company chairman, Mr. Sarthak Behuria. The rise in profitability was due to foreign exchange gain of Rs 391 crore in the quarter and inventory gains of Rs 1,733 crore. Last year the company had incurred huge inventory losses on rising oil prices. IndianOil's turnover, however, declined by 21.3 per cent to Rs 63,520.62 crore, from Rs 80,734.80 crore in the previous year as the company realised lower prices on products sold.