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ONGC Q3 profit falls 5 pct

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Agencies

Posted: Feb 08, 2012 at 1511 hrs IST

Mumbai Indian state-run explorer Oil & Natural Gas Corp posted a 5 per cent drop in quarterly net profit, as a sharp rise in provisions for subsidy payments offset gains from higher selling prices.

ONGC, India's second-most valuable company, reported a net profit of 67.41 billion rupees ($1.4 billion) for its fiscal third quarter ended December, compared with 70.83 billion rupees a year earlier.

Analysts, on average, had expected a net profit of 72.6 billion rupees, according to a poll of 10 brokerages.

ONGC's stock, valued at nearly $50 billion, fell by a fifth in 2011, compared to a 25 per cent decline in the main stock index.

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