IOC Profit Soars Fourfold on Record Refining Margins

Indian Oil Corporation (IOC) announced a substantial increase in its net profit for the third quarter of the fiscal year 2025-26, with earnings surging over four-fold to ₹12,125.86 crore. This significant growth, compared to ₹2,873.53 crore in the same period last year, was largely attributed to favorable market conditions.

Refining margins saw a notable improvement due to the low cost of crude oil, IOC's primary raw material for producing fuels like petrol and diesel. This, coupled with a 5% increase in overall fuel sales volume to 26.015 million tonnes, significantly bolstered the company's revenue from operations, which rose to ₹2.31 lakh crore.

The company also received subsidy receipts totaling ₹2,414.34 crore related to government compensation for selling domestic cooking gas at controlled rates. This compensation, approved in October 2025, aims to cover past losses incurred by state-owned fuel retailers on subsidized LPG sales.

Despite the strong performance in refining and marketing, IOC's petrochemical business continued to face challenges, reporting a widened loss of ₹361.51 crore. This contrasts with a four-fold jump in pre-tax earnings from fuel sales.