Oil India Limited Earnings Summary — Q1 FY2027
Oil India Reports Robust Profit Growth Despite Lower Crude Realizations; Major Offshore Drilling Underway
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue has increased for 3 consecutive quarters.
- Revenue of ₹12,503 Cr is 57.7% higher year-on-year.
- Revenue has compounded at 14.9% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit has reached its highest level in 10 quarters.
- Net profit of ₹3,630 Cr is 91.4% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 26.5% annualised across the period.
- Operating margin stands at 46.3% in Q1 FY2027.
- Operating margin expanded by 1668 bps year-on-year.
- Over the last two years operating margin has expanded by 764 bps.
- PBT margin is 42.6%.
- Expense growth of 20.3% remained below revenue growth of 57.7%.
- Operating profit of ₹5,793 Cr is 146.4% higher year-on-year.
- Operating leverage continues to improve.
- 3 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 85/100 (Excellent) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Accelerating | 12,503 | 9,293 | 8,330 | 8,394 | 7,929 | 8,808 | 8,337 | 7,247 | 8,120 | 9,147 |
| Expenses | Stable | 6,711 | 6,012 | 6,043 | 6,091 | 5,578 | 6,220 | 5,795 | 4,711 | 4,978 | 5,886 |
| Operating Profit | Accelerating | 5,793 | 3,281 | 2,287 | 2,303 | 2,351 | 2,588 | 2,542 | 2,536 | 3,142 | 3,261 |
| Operating Margin | Accelerating | 46.3% | 35.3% | 27.4% | 27.4% | 29.6% | 29.4% | 30.5% | 35.0% | 38.7% | 35.6% |
| Other Income | Volatile | 530 | 919 | 657 | 721 | 980 | 382 | 302 | 977 | 355 | 578 |
| Interest | Improving | 302 | 381 | 319 | 305 | 199 | 244 | 304 | 280 | 242 | 234 |
| Depreciation | Stable | 698 | 699 | 715 | 671 | 627 | 533 | 624 | 608 | 553 | 576 |
| Profit Before Tax | Accelerating | 5,322 | 3,119 | 1,910 | 2,048 | 2,505 | 2,193 | 1,917 | 2,626 | 2,701 | 3,028 |
| Tax | Accelerating | 1,295 | 695 | 474 | 404 | 459 | 696 | 459 | 557 | 685 | 695 |
| Net Profit | Accelerating | 3,630 | 2,100 | 1,195 | 1,429 | 1,896 | 1,310 | 1,339 | 2,016 | 1,886 | 2,141 |
| Net Margin | Accelerating | 29.0% | 22.6% | 14.3% | 17.0% | 23.9% | 14.9% | 16.1% | 27.8% | 23.2% | 23.4% |
Key Takeaways
- Standalone Net Profit for Q1 FY2027 increased by 60.39% year-on-year to ₹2,870.21 crore.
- Crude Oil production remains a core driver with Q1 segment revenue at ₹6,120.84 crore.
- Management highlighted significant offshore exploration activity with three drilling operations currently underway in Kerala Konkan, Andaman, and KG Basin.
- The Numaligarh Refinery (NRL) expansion from 3 MMTPA to 9 MMTPA is on track, with mother units expected to commission by mid-2026.
- Mozambique LNG project force majeure was removed in late 2025, with production expected by late 2028 or early 2029.
- The company maintains a significant contingent liability of ₹2,484.81 crore regarding Assam Land Tax, pending official repeal by the State Government.
- A provision of ₹5,043.33 crore is maintained for Service Tax/GST on Royalty, with ₹1,499.62 crore already deposited under protest.
Management Guidance
Oil India is targeting production of 4 million metric tonnes (MMT) of crude oil and 5 BCM of natural gas. The company plans to drill approximately 100 wells annually (60 production, 40 exploration). The NRL expansion to 9 MMTPA is scheduled for full commissioning by March 2027, with the polypropylene unit work currently underway.
Sentiment Shift
Improving
Strong profit growth despite softening global crude prices ($69/bbl vs $78/bbl) and increased exploration spending demonstrates high operational efficiency and resilience.
Outlook
The company is transitioning to an integrated energy player with significant investments in green energy (compressed biogas) and 2G ethanol. The aggressive offshore exploration campaign and the resolution of force majeure in Mozambique provide long-term growth visibility.
From the Annual Report (Key Quotes)
“Today, as we speak, Oil India has got 1 lakh plus exploration acreage within its portfolio and about 4,800 petroleum mining leases.”
“If we are drilling 100 wells this year, 4 million metric ton is an achievable target for Oil India Limited.”
“The equity gas for Oil India share will now flow to India from Mozambique... commissioned end 2028 or early 2029.”
Official Quarterly Documents
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This summary is AI-generated from Oil India Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.