Strong Financial Performance Driven by Operational Recovery and Market Tailwinds
Indian Oil Corporation (IOC), the country’s largest state-owned oil refiner and fuel retailer, reported a significant surge in its fourth-quarter net profit for FY25, underpinned by operational stability and favourable market conditions. The company posted a 50% year-on-year rise in consolidated net profit, reaching ₹7,265 crore for the quarter ended March 2025, compared to ₹4,836 crore in the same period last year. This robust performance was supported by a recovery in fuel margins, improved throughput at its refineries, and a relatively stable global crude pricing environment during the quarter.
Highlights:
Net profit for Q4FY25 surged 50% YoY to ₹7,265 crore.
Profit growth driven by improved refining margins and operational recovery.
Lower volatility in crude oil prices supported margin stability.
Revenue from Operations Remains Stable at ₹2.18 Lakh Crore
IOC’s revenue from operations during the quarter stood at ₹2.18 lakh crore, reflecting steady topline performance despite volatility in crude markets and currency movements. The company’s ability to maintain stable revenue levels indicates sustained demand across fuel categories and consistent throughput across its extensive distribution network. The revenue trend suggests that downstream operations remained resilient, supported by increased consumption of petroleum products and improved refining volumes during the fiscal year-end.
Highlights:
Revenue from operations reached ₹2.18 lakh crore in Q4FY25.
Steady demand across product lines contributed to topline resilience.
Crude volatility did not significantly impact revenue growth.
₹3 per Share Final Dividend Announced for FY25
In line with its strong performance for the fiscal year, Indian Oil Corporation’s board has approved a final dividend of ₹3 per equity share for FY25, rewarding shareholders for the company’s improved profitability. This dividend comes in addition to interim payouts earlier in the fiscal year and reflects IOC’s continued commitment to shareholder value creation. The dividend will be subject to shareholder approval at the upcoming annual general meeting and aligns with the corporation’s historical pattern of generous capital returns amid surplus cash flows.
Highlights:
Final dividend of ₹3 per share declared for FY25.
Reflects IOC’s sustained commitment to rewarding shareholders.
Subject to approval at the company’s AGM.
IOC Stock Trades Higher Post Results Amid Investor Optimism
Following the announcement of strong Q4 results and the declaration of the final dividend, IOC shares were trading 2% higher at ₹138.5 apiece at 3 PM on April 30, reflecting positive investor sentiment. The market reaction indicates optimism around the company’s operational outlook and its ability to maintain profitability despite external headwinds such as fluctuating global energy prices and evolving domestic fuel demand. Analysts believe IOC’s healthy cash flows and dividend policy will continue to support the stock’s appeal among income-focused investors.
Highlights:
IOC shares rose 2% to ₹138.5 on April 30 following results.
Market response reflects confidence in IOC’s profitability and dividend payout.
Stock performance supported by resilient operational metrics and cash flows.
