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ONGC slips after Q3 net profit declines

Capital Market / 15:50 , Feb 08, 2012

ONGC fell 1.53% at Rs 282.25 at 15:30 IST on BSE after net profit declined 4.83% to Rs 6741.41 crore on 9.31% decline in total income to Rs 19475.30 crore in Q3 December 2011 over Q3 December 2010.

The result was announced during trading hours today, 8 February 2012.

Meanwhile, the BSE Sensex was up 84.87 points, or 0.48%, to 17,707.32.

On BSE, 10.39 lakh shares were traded in the counter as against an average daily volume of 3.30 lakh shares in the past one quarter.

The stock hit a high of Rs 285.80 and a low of Rs 278.75 so far during the day. The stock had hit a 52-week high of Rs 325.50 on 29 April 2011 and a 52-week low of Rs 226.95 on 15 July 2011.

The stock had outperformed the market over the past one month until 7 February 2012, gaining 11.69% compared with the Sensex's 11.19% rise. The scrip had also outperformed the market in past one quarter, gaining 3.24% as against 0.34% rise in the Sensex.

The large-cap state-run oil explorer has an equity capital of Rs 4277.74 crore. Face value per share is Rs 5.

ONGC said its subsidy burden jumped to Rs 12536 crore in Q3 December 2011, much higher than Rs 5713 crore in Q2 September 2011 and Rs 4222 crore in Q3 December 2010.

Pursuant to agreement between ONGC and Cairn Energy Plc, Vedanta Resources and their associates in Q3 December 2012, the royalty paid by ONGC in respect of RJ-ON-90/I Block has been treated as contract cost eligible for cost recovery. As a result, an income of Rs 3142 crore from Cairn India towards royalty paid for the period August 2009 to September 2011 has been disclosed as an exceptional item. Further, for the period October 2011 to December 2011, an amount of Rs 627 crore has been accounted for as sales as per the entitlement interest.

 



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