Operating profits of OMCs may reach Rs 1 trillion in FY24: CRISIL
Oil marketing companies (OMCs) may see operating profit rebound to Rs 1 trillion in the current financial year of 2023-24 (FY24), rising by more than three-times from FY23’s low of Rs 33,000 crore, Crisil Ratings said in a research report on Tuesday.
The higher profitability would help improve the sector’s credit metrics, which had weakened significantly in the past few years amid muted profitability and significant capital expenditure (capex), Crisil Ratings said. Average operating profits for OMCs stood at Rs 60,000 crore between FY17 and FY22.
