Oil & Natural Gas Corpn Ltd (ONGC) Q1 FY27 Results Analysis: PAT More Than Doubles, Refining Losses Hit Rs.16,155 Cr

CompoundingAI Research Updated August 04, 2026 2 min read

Positive

Oil & Natural Gas Corpn Ltd's Q1 FY27 numbers came in strong, with revenue of Rs. 46,460.45 Cr (+45.18% YoY) and PAT growth of +112.28% YoY. Here's a quick read of what worked, what to watch, and what management said.

Quick Details

Results date	August 04, 2026
Quarter	Q1 FY 2026-2027
Revenue (Q1)	Rs. 46,460.45 Cr (+45.18% YoY)
PAT (Q1)	Rs. 17,033.81 Cr (+112.28% YoY)
EBITDA margin	61.03% (+733 bps YoY)
EPS (Q1)	Rs. 13.54 (+112.23% YoY)
Market cap	Rs. 305,896.40 Cr
CMP	Rs. 242.00

Quarter Snapshot

ONGC's standalone E&P business delivered record earnings: revenue up 45%, PAT more than doubled to Rs.17,034 Cr, EBITDA margin expanded 733 bps to 61%. However, the Refining & Marketing segment posted a staggering Rs.16,155 Cr loss, reversing last year's profit and dragging consolidated PAT-to-owners to Rs.11,899 Cr, up only 21%. The core upstream business is exceptionally strong with a pristine balance sheet, but the refining losses and contingent liabilities are material offsets.

Key Investment Insights

Key Positives

Standalone revenue grew 45.18% YoY to Rs.46,460 Cr on crude price surge
Standalone PAT more than doubled YoY (+112.28%) to Rs.17,034 Cr
Standalone EBITDA margin expanded 733 bps YoY to 61.03%, highest in recent quarters
Standalone net profit margin improved to 36.66% from 25.07% YoY
Debt/equity remains negligible at 0.02x, net worth up 6.9% YoY to Rs.3.50 lakh Cr
OVL international segment EBIT rose 115.9% YoY to Rs.1,033 Cr, margin up 828 bps
Standalone current ratio improved to 2.25x from 1.74x a year ago

Risk Factors

Refining & Marketing segment swung to a massive loss of Rs.16,155 Cr from a profit of Rs.5,932 Cr last year, erasing E&P gains
Normalized consolidated PAT (excluding exceptional items) fell 47.15% YoY to Rs.6,113 Cr
Consolidated operating margin collapsed to 4.58% from 11.57% a year ago
Petrochemicals segment continued to lose money (loss of Rs.454 Cr, similar to last year)
Consolidated debt rose to Rs.1.63 lakh Cr (D/E 0.39 from 0.35), reflecting working capital build-up at refining subsidiaries
Contingent liabilities remain sizeable: PMT JV arbitration of ~Rs.15,365 Cr and service tax cumulative provision of Rs.20,450 Cr