Kotak Institutional Equities feels profit fall could be 80 percent QoQ and 82.3 percent YoY and revenue may decline 1 percent QoQ and 3.5 percent YoY.
State-owned oil marketing company Indian Oil Corporation (IOC) is expected to report more than 50 percent fall in June quarter profit, both on sequential as well as on year-on-year basis.
According to ICICI direct, the profit is expected to decline 72.1 percent QoQ, as in Q4FY19 the company had reported super-normal profits due to huge inventory gains and marketing margins.
"Crude throughput is expected at 17.3 MMT, flattish QoQ. Marketing margins are expected to decline QoQ as companies had reported super-normal profits in Q4FY19. Core GRMs are expected to remain subdued near multi-year lows due to weak product spreads," said the brokerage which sees gross refining margin at $3.2 a barrel in Q1FY20, against $4.1 a barrel in Q4FY19.
Kotak Institutional Equities expects profit to fall about 80 percent QoQ and 82.3 percent YoY and revenue to decline 1 percent QoQ and 3.5 percent YoY.
"We expect IOCL to report weak results impacted by (1) adventitious loss and (2) muted refining margins, which will be partially offset by higher-than-normal blended marketing margins on auto fuels.Disclaimer: The views and investment tips expressed by brokerages on Moneycontrol.com are their own and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.Get access to India's fastest growing financial subscriptions service Moneycontrol Pro for as little as Rs 599 for first year. Use the code "GETPRO". Moneycontrol Pro offers you all the information you need for wealth creation including actionable investment ideas, independent research and insights & analysis For more information, check out the Moneycontrol website or mobile app.