ONGC swings up and down

ONGC is on one volatile ride today. The stock, which had closed yesterday at Rs.169.25, opened lower at Rs.167.70, going down further to Rs.167.15 to bounce back from the intraday low to the day’s high point at Rs.173.75. It is back in the red now at Rs.169 levels.

Lower price of oil and mounting operating costs pushed down the earnings. Its net realization for the quarter was down from $66.38/bbl to $61.29/bbl, down almost 4%.

Revenue slipped 3% (YoY) at Rs.26,758 crore and net profit came in at Rs.4045 crore, down 51%. Its EBITDA margin slipped from 59.8% to 46.2%.

Oil production was down 5% at 4.8 million tonne and gas production rose 8% at 6.275 billion cubic metres. It was in fact gas which helped shore the earnings as the price realization was also up 16% at $3.36/million British thermal unit.