StoxBox: Views on Oil and Natural Gas Ltd. Q4 FY24 Result

By D.K. Mudaraddi, Research Analyst, Stoxbox on Oil and Natural Gas Ltd.

Oil and Natural Gas Ltd. Q4FY24 Result First Cut – Higher crude production and realization led growth.

• The company reported a rise in its consol. revenue from operations of 1.9% YoY / up 0.1% QoQ to Rs. 1,69,875 crores owing to higher crude oil production of 2.4% YoY to 5.359 MMT. Gas production decreased 3% YoY to 5.101 BCM in Q4FY24.
• Consol. EBITDA rose 5.3% YoY / up 13.2% QoQ to Rs. 23,225 crores, while EBITDA margin stood at 13.7% (up 50bps YoY / up 160bps QoQ) in Q4FY24. Low EBITDA growth YoY was owing to lower administered price mechanism (APM) gas price and lower oil and gas production by ONGC but partially offset by 5.8% higher crude oil realization at Rs. 6,709/bbl.
• PAT for the quarter stood at Rs. 11,526 crores (up 77.9% YoY / up 19.6% QoQ) in Q4FY24.
  During the year, ONGC drilled 541 wells, the highest recorded in the past 34 years, comprising 103 exploratory and 438 development wells.
• ONGC declared a total of 11 discoveries (6 in Onland and 5 in Offshore) during FY24 in its operated acreages. Out of these, 6 are prospects (1 in Onland, 5 in Offshore) and 5 are new pool (onland) discoveries.
  The board has recommended a final dividend of Rs 2.5 per share for the current financial year.