In Q4FY15, Cairn India is likely to post worst quarterly numbers in last 5 years as Brent crude prices corrected by 25 percent on sequential basis.
Net profit is seen falling 52 percent quarter-on-quarter to Rs 650 crore and revenue seen declining 28 percent to Rs 2,520 crore in the quarter ended March 2015, according to the average of estimates of analysts polled by CNBC-TV18.
Operating profit is expected to be at Rs 1,200 crore during January-March quarter, down 45 percent compared to Rs 2,184 crore in December quarter and margin may fall 1470 basis points sequentially to 47.6 percent in the quarter gone by.
According to analysts, the fourth quarter may have to bear the worst slide of low oil prices, with Brent averaging USD 55 a barrel in the quarter. Rajasthan production may remain sequentially flat at 180 kbpd while reported PAT could be boosted by higher other income.
Key factors to watch out for are update on PSC extension, production ramp-up, reserve updates and clarity on the cash utilisation.
The scrip of Cairn India fell 42 percent from peak and dropped 32 percent in last 1 year due to sharp decline in crude oil prices.
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