Cairn India Q3 net plunges 99.4pct to Rs 8.69 cr

Oil & Gas exploration and production company Cairn India Ltd saw business taking a dip in October-December quarter, as the oil price collapse hit realisations. The company posted a consolidated net profit after taxes at Rs 8.69 crore in the quarter ended December 31, 2015. “The consolidated net profit after taxes of the company stood at Rs 1,349.64 crore during the same period a year ago,” said Cairn India Ltd in a filing to the Bombay Stock Exchange on January 22, 2016. Further, the consolidated total income of the company decreased by 44.5 per cent to Rs 2,230.19 crore during December, quarter 2015, as compared to Rs 4,020.57 crore during the same period last year, primarily due to decline in crude prices. Commenting on the performance, Cairn India Ltd, MD & CEO, Mayank Ashar said, “We maintain our strategic objective of generating healthy free cash flow which has been successfully guiding us through the constantly deteriorating oil pricing scenario. Our unwavering commitment to improve cost efficiency continues to help us to navigate through the weak oil price situation and to generate free cash flow.” “We continue to pursue pre-development activities for our growth projects to make them future ready for rapid development on oil prices rebound. We are continuously engaging with the Government to take actions to support the oil & gas industry in such a low oil price environment,” he added. Cairn said gross production per day for Q3 FY16 declined by 7 per cent to 2,02,668 boepd, as compared to 2,18,900 boepd during Q3 FY15 and working interest production per day was 1,28,402 boepd during the current quarter. Gross Sales averaged 2,00,449 boepd. Meanwhile, shares of the company closed at Rs 112.9 apiece, up 2.64 per cent, from previous close on BSE.