(Reuters) – State-run explorer Oil India reported a third-quarter profit that missed analysts’ estimates on Friday, as lower selling prices outweighed buoyant demand in the world’s third-biggest oil consumer.
The company’s standalone net profit, which excludes earnings from its joint ventures and overseas operations, decreased 22.9% to 12.22 billion rupees ($139.7 million) in the quarter.
It also missed analysts’ average estimate of 16.46 billion rupees, as per data compiled by LSEG.
Oil India’s crude oil price realisation, or the price at which it sells the product, dropped 12.3% to $73.82 per barrel amid a fall in global oil prices and rising supplies.
That overshadowed the rise in fuel consumption during the quarter due to higher manufacturing and industrial activity.
As a result, the company, which operates exploration and production facilities mainly in the country’s northeast, reported a nearly 10% decline in revenue to 52.40 billion rupees.
Last month, ONGC also missed analysts’ profit expectations for the quarter due to lower crude realisations. ($1 = 87.4810 Indian rupees)
(Reporting by Manvi Pant and Yagnoseni Das in Bengaluru; Editing by Varun H K and Savio D’Souza)
