ONGC Q4 net profit declines QoQ, approves Dahej port JV; declares ₹1 dividend

State-owned Oil and Natural Gas Corporation Ltd (ONGC) on Tuesday (May 26) reported a 20.6% quarter-on-quarter decline in net profit at ₹6,650 crore for the fourth quarter, compared with ₹8,372 crore in the previous quarter.

Revenue increased 13.9% sequentially to ₹35,928 crore from ₹31,547 crore. EBITDA declined 17.1% quarter-on-quarter to ₹12,666 crore from ₹15,272 crore, while EBITDA margin fell to 35.3% from 48.4% in the preceding quarter.

ONGC’s board has recommended a final dividend of ₹1 per equity share of face value ₹5 each, or 20%, for the financial year 2025-26. The dividend is subject to shareholder approval at the ensuing Annual General Meeting.

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The board also accorded in-principle approval for the formation of a 50:50 joint venture company with Gujarat Maritime Board (GMB) to develop a 5 MMTPA liquid port at Dahej, Gujarat, subject to investment approvals by the joint venture partners and approval from DIPAM, Government of India.

ONGC said the proposed port facility at Dahej will support the ONGC Group’s integrated energy business and strengthen its logistics infrastructure in the region.

Separately, the board approved a related party transaction for providing a Parent Company Guarantee by ONGC Nile Ganga BV (ONGBV) to BC-10 operator Shell Brasil Petróleo Ltda, on behalf of ONGC Campos Ltda. (OCL) for abandonment liability of up to $325 million, or about ₹2,760 crore. The guarantee fees will be determined based on a transfer pricing study.

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ONGC Nile Ganga BV is a subsidiary of ONGC Videsh Limited, while ONGC Campos Ltda., Brazil, is a step-down subsidiary of ONGC Videsh through ONGBV.

The board also recommended shareholder approval for related party transactions linked to the Area-1 Mozambique Project, including implementation of the AssetCo structure through transfer of assets under the AssetCo transaction and extension of the validity period of the existing Debt Service Undertaking (DSU) provided by ONGC.

Further, ONGC said the company had ₹1,000 crore unsecured non-convertible debentures (NCDs) outstanding as of March 31, 2026. Security cover certificates are not applicable under SEBI Listing Regulations, as the NCDs are unsecured.

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Shares of Oil and Natural Gas Corporation Ltd ended at ₹287.50, up by ₹2.55, or 0.89%, on the BSE.