Indian explorer Oil and Natural Gas corp (ONGC) has reported a 14% increase in quarterly net profit.
The rise was seen as the company significantly cut its discounts on crude oil to refiners after global oil prices fell.
The company’s net income for the first fiscal quarter rose to 54.59billion rupees from 47.82billion rupees a year earlier.
Upstream state companies such as ONGC and Oil India typically sell crude oil at discounted rates to partly compensate retailers for losses they incur on selling fuels such as gasoline and cooking gas (LPG) at government-set rates.
The impact of the discounts on profit after tax was 6.28 billion rupees during the quarter, compared with 73.96 billion rupees in the year-ago quarter.
Net sales for the quarter rose 4.4 percent to 226.96 billion rupees.
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