- 16 May 2023
- ICICI Securities
Indian Oil Corporation Q4 Results 2023: Reports results higher than estimates on profitability front
Indian Oil Corporation Ltd | CMP: 168 | Market Cap: 237,660.44
Indian Oil Corp (IOC) reported Q4FY23 results that were higher than estimates on profitability front. Refining margins were higher than estimates while marketing margins were in line with our estimates as per our understanding. The Board has recommended a final dividend of Rs3 per share.
Q4FY23 Earnings Summary
Views: IOC's operating profit improved QoQ due to strong refining margins and improvement in marketing segment performance. In the current quarter, GRMs are likely to remain subdued but are expected to be countered by strong marketing margins. However, we expect GRMs to improve in H2FY24 on account of anticipated increase in demand. The company also has expansion plans and intends to increase its consolidated refining capacity from 80.55 MMTPA to 107 MMTPA by 2024-25.
Impact: Positive