ONGC Profit Jumps 57.3% to 15,489 Crore Rupees, Approves Record Dividend
Key Facts
India’s Oil and Natural Gas Corporation (ONGC) reported standalone net profit of 15,489 crore rupees in the second quarter of fiscal 2026-27, up 57.3% year on year, according to results approved by its board at a meeting on November 5, 2026. Standalone gross revenue was 43,875 crore rupees, up 32.8% from the same period a year earlier. On a consolidated basis, the company posted net profit of 18,535 crore rupees, an annual increase of 46.9%. The figures put standalone and consolidated profit at strong growth levels compared with the previous year, with revenue growth exceeding that of standalone profit. At the same meeting, the board approved an interim dividend that the company described as its highest in a single tranche.
The company’s realized crude oil price was $92.33 per barrel in the quarter ended September 30, 2026, compared with $67.34 per barrel in the same period a year earlier, Reuters reported. Average benchmark Brent prices rose about 40% year on year during the quarter, providing a favorable market backdrop for the higher realized price. Reuters cited analysts at Elara Capital as expecting exploration and production companies, including ONGC, to benefit from a weaker rupee and higher crude prices. The analysts linked tighter markets to supply disruptions associated with the Middle East conflict. Reuters calculated that the net profit margin widened to 35.3% from 29.8% in the same period a year earlier. Total expenses rose 19.5% to 285.70 billion rupees, alongside the margin improvement.
The improvement extended beyond the quarter: ONGC said it recorded its highest-ever half-yearly net profit, at 32,522 crore rupees in the first half of fiscal 2026-27. That figure covers the full first half, while the 57.3% increase measures second-quarter growth year on year. For the dividend, the board approved 8 rupees per ordinary share, equivalent to 160% of the face value of 5 rupees per share. The total dividend amounts to 10,064 crore rupees, which the company said was its highest in a single tranche. ONGC set November 12, 2026, as the record date for shareholders eligible for the dividend. The results announcement therefore combines profit growth with a cash dividend whose per-share value, total amount and record date were specified.
Operationally, the company said production was broadly stable in the second quarter compared with the first quarter, but attributed the annual decline in quarterly production to complex reservoir behavior at the KG-98/2 asset, seasonal operating challenges, and delays to the PRP-8 and PRP-9 projects. It added that gas production from onshore fields was affected by lower offtake by customers during the quarter. The company attributed this to temporary disruptions at some major consumer facilities. ONGC’s comparison shows different trends across the two periods: overall stability from one quarter to the next, versus an annual decline in production. These operational factors formed part of the company’s explanation of production performance, as quarterly profit and revenue rose year on year.
To support future production, ONGC said it had awarded two major western offshore development and infrastructure projects with combined capital investment of about 11,800 crore rupees. The company expects the projects to unlock estimated hydrocarbon potential of about 22 million tonnes of oil equivalent. It also announced two onshore hydrocarbon discoveries during the second quarter of fiscal 2026-27: a new reservoir at Amrajaht-1 and a new layer at Vadatal-48. The projects and discoveries add to the operational context for the results, with the projects focused on developing western offshore infrastructure. The next date directly related to the dividend is the record date set for November 12, 2026.