Oil and Natural Gas (ONGC) Q2 25/26 earnings summary

Executive summary

• Consolidated net profit for Q2 FY26 rose 28.2% year-over-year to INR 12,615 crore, mainly due to strong subsidiary performance, while standalone net profit declined 17.8% to INR 9,848 crore due to lower crude price realization and reduced interest/dividend income.

• Unaudited standalone and consolidated financial results for Q2 and H1 FY26 were approved, showing robust profitability and cash flows.

• Interim dividend of INR 6 per share (120%) declared, totaling INR 7,548 crore.

• Board approved investment of up to INR 421.5 crore in ONGC Green Limited for renewable energy expansion.

• Strategic joint ventures with Mitsui O.S.K. Lines Ltd. for ethane transportation and energy logistics diversification.

Financial highlights

• Standalone crude oil production in Q2 FY26 was 4.63 MMT; H1 FY26 was 9.314 MMT, both up 1.2% year-over-year.

• Standalone revenue from operations for Q2 FY26: INR 33,030.56 crore; H1 FY26: INR 65,033.45 crore.

• Consolidated revenue from operations for Q2 FY26: INR 157,911.08 crore; H1 FY26: INR 321,019.20 crore.

• Gas revenue increased by INR 1,006 crore year-over-year in Q2 FY26, driven by higher ceiling prices and new well gas sales.

• Strong operating cash flow: Standalone H1 FY26 net cash from operations at INR 35,601.92 crore; consolidated at INR 60,786.64 crore.

Outlook and guidance

• FY26 standalone oil production expected at 19.8 MMT, rising to 21 MMT in FY27; gas at 20 BCM for FY26 and 21.5 BCM for FY27.

• Deferred production from KG 98/2 and Mumbai High redevelopment expected to boost volumes in Q1 FY27.

• New well gas share projected to rise from 14% currently to 30-35% of total gas production in 3-4 years.

• Continued focus on renewable energy investments and value chain integration in energy logistics.

• Ongoing legal and regulatory matters may impact future liabilities.