Cairn India Q2 net slumps 70% to Rs 673 crore

NEW DELHI: Cairn India today reported a 70 per cent fall in net profit at Rs 673 crore in the September quarter as oil prices slumped to multi-year lows.

The company had a net profit of Rs 2,278 crore in the July-September quarter of the previous fiscal.

Net revenue of the company declined 44 per cent to Rs 2,242 in the second quarter of the fiscal, Cairn India said in a regulatory filing.

Cairn got $43.7 per barrel for oil it sold in the second quarter, 53 per cent lower than $92.1 a barrel realisation a year ago.

Oil production from its prime Rajasthan block was up by 3 per cent at 1,68,126 barrels per day.

"Our strategic objective is to maintain healthy cash flows post dividend. The last quarter has seen this strategy tested and we have responded by recommitting our efforts to drive down costs and focus on adopting advanced technologies to improve our efficiencies and productivity," Cairn India MD and CEO Mayank Ashar said.

Oil prices have slumped by nearly 60 per cent over the last one year to $45-47 per barrel.

Shares of Cairn India closed at Rs 154.05, up 0.06 per cent on BSE.