Indian Oil’s net profit rose marginally to Rs 6,360.05 crore in July-September compared with Rs 6,227.31 crore in the same period a year back as lower inventory gains offset better operational performance. Sequentially, net profit was higher than the Rs 5,941.37 crore earned in the April-June quarter.

Officials said the flat net profit was largely due to lower inventory gains in the second quarter. In Q2 last year, the company had large inventory gains but this year they were lower. Inventory gain arises when a company buys raw material at a particular price but by the time it is able to process it, rates have gone up.