Maharatna PSU Declares 15% Dividend—What Traders Should Watch Post Q4?

Under the Ministry of Petroleum and Natural Gas, Oil India Limited (OIL) is a Maharatna-status state-owned oil and gas corporation. On August 4, 2023, it received the "Maharatna" designation. FY25, or the fiscal year that ended on March 31, 2025, saw Oil India Limited (OIL) record its highest-ever output of natural gas and crude oil. But in terms of financial performance, the PSU behemoth has produced subpar Q4 results and has recommended a 15% dividend.

Oil India Dividend

The Board of Directors "Recommended a Final Dividend of Rs. 1.50/-pershare (i e @15% of paid-up equity share capital) for the financial year 2024-25 subject to approval of the shareholders at the ensuing Annual General Meeting (AGM). The Final Dividend 2024-25 would be paid within 30 days from the date of its declaration at the AGM. The Record Date/Date of Book Closure for payment of final dividend would be fixed and intimated in due course," said the PSU company in a stock exchange filing.

Oil India Q4 Results

In FY25, the company's total oil and gas output (O+OEG) reached its highest level ever, 6.71 MMTOE. The output of natural gas climbed by 2.20 per cent to 3.252 BCM in FY25, the highest level since the company's founding, while the production of crude oil jumped by 2.95 per cent to 3.458 MMT for the year that ended on March 31, 2025. EBITDA decreased 16.43% from Rs. 3,168.83 crore in Q4FY24 to Rs. 2,648.04 crore in Q4FY25.

In the fourth quarter, state-owned Oil India Ltd. (OIL) reported a 22% year-on-year (YoY) drop in net profit, from Rs 2,028.83 crore in Q4FY24 to Rs 1,591.5 crore. In Q4FY25, revenue from operations was Rs 5,518.8 crore, down from Rs 5,756 Cr in the same period last year.

According to Oil India, its consolidated net profit for FY25 was Rs 6,550.93 crore, increasing 3.3% from FY24's Rs 6,335.10 crore. In that time frame, FY25's revenue of Rs 36,163.75 crore was just slightly less than FY24's revenue of Rs 36,303.62 crore. In FY25, the earnings per share (EPS) is Rs 37.59 per share, compared to Rs 34.13 per share in FY24. During FY25, the company's CAPEX usage climbed by 123.07% to Rs 8,467.33 crore.

Oil India Share Price Target

"Oil India has seen a breakout and is trading with strong bullish momentum. Support lies at ₹410, and resistance is placed around ₹440-₹450. A move above ₹450 could extend gains further. The trend remains positive, and traders can consider buying on dips with a stop-loss at ₹405 for a potential target of ₹460," commented Riyank Arora - Technical Analyst - Mehta Equities Limited.

Disclaimer

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