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India : Subsidies help IOC announce net profit of Rs. 2,523 crore

August 16, 2014

India's major oil company, Indian Oil Corporation (IOC), has announced a net profit of Rs 2,523 crore for the quarter ended on June 30, 2014 as compared to a loss of Rs 3,093.23 crore for the same period a year ago.

The state-run company said this is because it received subsidies from the Centre and upstream oil companies.

IOC secured a grant of Rs 6,075.63 crore in the concerned period from the government towards under-recovery on sale of diesel, kerosene and cooking gas against Rs 4,261.29 crore in the quarter last year.

It also secured Rs 8,107.21 crore from upstream firms such as Oil and Natural Gas Corporation, GAIL India and Oil India towards part recovery of losses suffered on sale of regulated products.

Chairman B Ashok said : "The net profit was mainly because of a foreign exchange gain of Rs 128 crore in the first quarter as compared to a foreign exchange loss of Rs 4,024 crore."

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Source: TendersInfo (India)

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