News

Oil and Natural Gas Corporation (ONGC) is expected to post a steady set of numbers for the July–September quarter of FY26, with analysts at Zee Business Research estimating a 20.1 per cent sequential rise in profit even as operational softness continues.

According to the estimates, ONGC’s consolidated profit after tax (PAT) for the quarter is pegged at around Rs 9,634 crore, compared to Rs 8,024 crore in the previous quarter. Revenue is likely to edge up 1.4 per cent quarter-on-quarter to Rs 32,443 crore from Rs 32,003 crore.

Adjusted EBITDA is projected to dip 0.9 per cent to Rs 18,488 crore, with margins expected to contract to 57.0 per cent from 58.3 per cent, primarily due to higher operating expenses and subdued production volumes. The company’s survey and exploratory well costs are expected to be factored into EBITDA calculations.

Zee Business Research suggests ONGC’s Q2 performance may reflect pressure from elevated opex and muted oil and gas volumes. Global crude prices have declined nearly 15 per cent this year, likely weighing on realizations.

Production from the Krishna-Godavari (KG) basin remains a key concern, with slower output posing a potential downside risk. Nonetheless, crude sales volumes are expected to remain stable, with a modest 2 per cent uptick in price realization.

The expected profit growth is attributed to lower exploration costs and seasonal gains from dividend income. However, analysts caution that the weaker operational metrics could offset part of these gains.

Market participants will also keep an eye on updates related to gas production capacity and forward guidance on output from the KG basin.

ONGC is scheduled to announce its Q2 FY26 results on November 10.

Senior Sub-editor at Zee Business English

shweta.shukla@India.com

Shweta Birendra Shukla is a journalist covering the stock market and corporate aff