New Delhi, Jan. 28: Oil and Natural Gas Corporation and GAIL (India) have reported a 43 per cent and 59 per cent dip in net profits, respectively, in the third quarter ended 31, 2008.

ONGC’s net profit fell 43 per cent to Rs 2,474.81 crore during the reporting quarter as it earned less on the crude it sold because of a slump in global oil prices.

The company paid Rs 4,899.96 crore as fuel subsidies against Rs 6,080 crore a year ago, an ONGC statement said.

GAIL reported a 59 per cent dip in net profit at Rs 253 crore as its subsidy outgo on domestic LPG cylinders and fuel almost doubled during the period.

ONGC chairman and managing director R.S. Sharma said the sharp increase in ad hoc subsidy discounts to oil marketing companies had seriously dented its financial results.

He called for an equitable and defined mechanism on subsidy discounts. “In the absence of such a mechanism, the current ad hoc discount system is fast eroding the commercial values,” he said.

HPCL loss

Hindustan Petroleum Corporation Ltd’s (HPCL) net loss has widened to Rs 422.03 crore in the third quarter ended December 31 as volatility in international oil prices squeezed margins on fuel sales.

The company had suffered a net loss of Rs 3,218.92 crore in the second quarter and Rs 888.12 crore in the first quarter.

CESC show

CESC has posted a 5 per cent increase in net profit at Rs 98 crore for the third quarter ended December 31, 2008, against Rs 93 crore a year ago.

Net sales of the company during the quarter increased to Rs 752 crore from Rs 695 crore in the year-ago period.

Eveready net

Eveready Industries India Ltd has posted a net profit of Rs 8.42 crore for the third quarter ended December 31, 2008, against a net loss of Rs 2.70 crore a year ago.