Oil and Natural Gas Corporation Ltd (ONGC) is India’s largest natural gas and crude oil company and a “Maharatna” public sector undertaking (PSU) operating under the Ministry of Petroleum and Natural Gas. ONGC, headquartered in New Delhi, is India’s only fully integrated oil and gas company, with operations spanning the entire hydrocarbon value chain.
Dividend Announcement
For the financial year 2024-25, ONGC’s Board has declared a first interim dividend of ₹6 per share, which represents 120% of the face value of ₹5 per share. This dividend distribution, totaling ₹7,548 crore, is set for eligible shareholders on the record date of November 20, 2024.
Financial Performance: Q2 FY25
In Q2 FY25, ONGC reported a 17.05% increase in standalone net profit, reaching ₹11,984.02 crore, compared to ₹10,238.10 crore in the same quarter the previous year. However, the revenue from operations declined by 3.6% year-over-year, totaling ₹33,880.88 crore. The company’s standalone crude oil production in Q2 was 4.576 million metric tons (MMT), a 0.7% increase from Q2 FY24. In the first half of FY25, cumulative standalone production reached 9.204 MMT, a growth of 0.8% over the same period last year.
On a consolidated basis, ONGC’s revenue from operations for Q2 increased by 7.3% to ₹1,58,329.09 crore compared to Q2 FY24. Despite this revenue growth, the consolidated net profit declined by 25%, coming in at ₹10,272.50 crore due to broader market conditions.
Stock Performance and Analysis
Currently, ONGC shares are trading at around ₹257 and are in a bearish trend with resistance at ₹275. If the stock closes above this resistance level, it could signal a trend reversal, setting potential targets at ₹300 and ₹335. Support levels are seen at ₹245 and ₹225, which could offer buying opportunities if a reversal occurs from these levels. The Relative Strength Index (RSI) stands at 31.1, suggesting that the stock is oversold, and it’s currently trading below its 20-day, 50-day, and 200-day Exponential Moving Averages (EMAs), reinforcing the current bearish sentiment.
Disclaimer: This information is for educational purposes only and should not be considered financial advice. Please consult a financial advisor before making investment decisions. Stock market investments are subject to market risks.
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