BANKING AND ECONOMY
With a ₹40,305 crores, net profit in the financial year 2022, state-owned Oil and Natural Gas Corporation (ONGC) became India's second most profitable company by overtaking Tata Steels.
Reliance Industries Ltd. is the most profitable company in India.
For the fiscal FY22 (April 2021 to March 2022) ONGC’s net profit soared 258% to ₹40,305.74 crores from ₹11,246.44 crores in the previous financial year. The profit was raised after including those earned by its subsidiaries like HPCL, PL, and ONGC Videsh Ltd. Both standalone and consolidated net profit of ONGC is the second-highest profit in the country.
This as it got an average of USD 76.62 for every barrel of crude oil produced and sold in the fiscal as against USD 42.78 per barrel net realization in the previous year. This is the best ever price that ONGC got as international oil prices surged from late 2021 and spiked to a near 14-year high of USD 139 per barrel after Russia invaded Ukraine.
International rates had spiked to a record USD 147 per barrel in 2008 but ONGC's net realization at that time was much lower as it had to provide subsidies to fuel retailers so that they could sell petrol, diesel, cooking gas LPG, and kerosene at rates lower than cost.
ONGC was followed by Tata Steel, Tata Consultancy Services Ltd (TCS), and State Bank of India (SBI) with a net profit of Rs 33,011.18 crores, Rs 38,449 crores, and Rs 31,676 crores respectively.