Indian Oil Corporation Limited (IOCL) – Q1 FY26 Results Summary
Announcement Date: 14 August 2025
Key Financial Metrics (₹ Crore):
| Metric | Q1 FY26 | Q4 FY25 | Q1 FY25 | FY25 |
|---|---|---|---|---|
| Standalone Revenue | 2,18,608 | 2,17,725 | 2,15,989 | 8,45,513 |
| Consolidated Revenue | 2,21,849 | 2,21,360 | 2,19,864 | 8,59,363 |
| Standalone Net Profit | 5,689 | 7,265 | 2,643 | 12,962 |
| Consolidated Net Profit | 6,808 | 8,368 | 3,723 | 13,789 |
| Standalone Operating Margin | 4.01% | 4.44% | 2.26% | 2.11% |
| Consolidated Operating Margin | 4.61% | 4.96% | 2.91% | 2.44% |
| Standalone Net Profit Margin | 2.60% | 3.34% | 1.22% | 1.53% |
| Consolidated Net Profit Margin | 3.07% | 3.78% | 1.69% | 1.60% |
| EPS (Basic & Diluted, ₹) | 4.95 | 5.90 | 2.56 | 9.87 |
Refining Margin:
- Average Gross Refining Margin (GRM) declined to $2.15/bbl in Q1 FY26 from $6.39/bbl in Q1 FY25.
- Core GRM (after inventory adjustments) stood at $6.91/bbl for Q1 FY26.
Balance Sheet & Capital Structure:
- Debt-equity ratio improved to 0.66 (Standalone) and 0.65 (Consolidated) from 0.75 in Q4 FY25.
- No defaults on loans or debt securities; all Non-Convertible Debentures (₹20,290.20 crore outstanding) are unsecured.
- Current ratio stable (~0.66-0.67); working capital management remains efficient.
Segment Performance (Standalone & Consolidated):
- Petroleum Products segment remains the largest contributor with Q1 FY26 revenue ~₹2,06,000 crore and PBT ~₹9,100 crore.
- Petrochemicals segment reported marginal losses (~₹1 crore PBT).
- Gas segment showed modest profits (~₹50 crore PBT).
- Other Business Activities contributed minor losses in standalone but small profits in consolidated results.
Management Commentary & Key Developments:
- IOCL holds a cumulative net negative LPG buffer of ₹23,645 crore due to subsidized LPG pricing; government compensation of ₹30,000 crore approved but not recognized in Q1 FY26 pending official communication.
- Price differential claims totaling ₹690 crore from PCDA and Indian Air Force are contested by IOCL; impact uncertain.
- No exceptional items in Q1 FY26; FY25 included ₹1,838 crore reversal of VAT input tax credit provisions following favorable court rulings.
- No changes in accounting policies or major corporate actions reported.
- No new acquisitions, disposals, or restructuring; capex and fund utilization as planned.
Outlook:
- No explicit guidance provided for upcoming quarters.
- Management highlights margin pressures due to lower refining margins in Q1 FY26.
This summary encapsulates IOCL’s Q1 FY26 financial and operational performance, highlighting key metrics, segment results, and management insights relevant for investment analysis.