Oil Country Tubular Limited (NSE: OILCOUNTUB, BSE: 500313) has announced its unaudited financial results for the third quarter (Q3) and nine months ended December 31, 2024, highlighting revenue growth, a turnaround in profitability, and corporate actions related to equity restructuring.
Key Financial Highlights (Standalone Results)
Quarterly Performance (Q3 FY 2024-25 vs Q3 FY 2023-24)
Total Revenue:₹4,195.77 lakh, significantly higher than ₹606.59 lakh in Q3 FY 2023-24.
EBITDA:₹3,262.74 lakh for 9M FY 2025, showing a strong operational turnaround.
Net Profit:₹164.37 lakh, compared to a net loss of ₹614.75 lakh last year.
Earnings Per Share (EPS):₹0.37 per share, compared to ₹(1.39) per share last year.
Nine-Month Performance (9M FY 2024-25 vs 9M FY 2023-24)
Total Revenue:₹9,037.60 lakh, up from ₹7,488 lakh last year.
Net Profit:₹(1,407.43) lakh, an improvement from ₹(4,610.79) lakh in 9M FY 2023-24.
The results indicate a strong recovery in revenue and profitability, with the company focusing on operational efficiency and financial restructuring.
Major Developments: Conversion of Preference Shares to Equity
Equity Restructuring: Allotment of 35.5 Lakh Equity Shares
United Steel Allied Industries Private Limited converted 35,50,000 Zero Coupon Optionally Convertible Non-Cumulative Preference Shares (OCPS) into Equity Shares.
Post-conversion, the total paid-up equity share capital increased from 4,42,89,530 shares to 4,78,39,530 shares.
Issue Price for the Converted Shares: ₹65 per share.
Promoter Holding Increased: From 49.22% to 52.99%, reflecting stronger control and confidence in the company’s future.
This equity conversion strengthens the company's capital structure and enhances financial stability.
Drill Pipe & Allied Products and OCTG Services emerged as the key revenue drivers, with OCTG Services seeing a significant rise in revenue.
Segment-Wise Profitability (Q3 FY25 vs Q3 FY24)
Drill Pipe & Allied Products:Profit of ₹286.84 lakh (compared to a loss of ₹(572.75) lakh last year).
OCTG Services:Loss of ₹(14.44) lakh, showing improvement from a ₹(806.39) lakh loss in Q3 FY24.
Other Sales & Services:No revenue recorded this quarter.
Balance Sheet & Financial Position
Total Assets:₹40,509.79 lakh, reflecting financial stability.
Total Liabilities:₹17,580.80 lakh, down from ₹24,052.16 lakh in Q3 FY 2023-24, indicating deleveraging efforts.
Outlook & Strategic Growth Plans
Oil Country Tubular Limited has returned to profitability in Q3 FY 2024-25, driven by higher operational efficiency and strategic capital restructuring.
Focus on Expanding Drill Pipe & Allied Products Business.
Strengthening Financial Position with Equity Infusion.
Growth in OCTG Services for Long-Term Revenue Stability.
The company is optimistic about future growth and remains focused on strengthening its balance sheet and improving profitability in the coming quarters.
Conclusion
Oil Country Tubular Limited has delivered a solid financial turnaround in Q3 FY 2024-25, with higher revenues, increased profitability, and strategic equity restructuring. The conversion of preference shares into equity has bolstered the company's capital base, providing a strong foundation for future expansion.
