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Earnings of OMCs seen weak as Q1FY27 under-recoveries bite: Report

As reported by Stocks-Markets-Economic Times
Oil companies are projected to experience ongoing challenges through FY27, primarily due to anticipated under-recoveries in Q1FY27, with LPG losses being a considerable issue. Although recent declines in crude prices provide short-term relief, ongoing market volatility and required inventory adjustments are expected to squeeze profit margins. A notable threat includes the government's possible retraction of excise duty cuts to mitigate revenue shortfalls.
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Oil companies are projected to experience ongoing challenges through FY27, primarily due to anticipated under-recoveries in Q1FY27, with LPG losses being a considerable issue. Despite recent declines in crude prices offering some short-term relief, market volatility and…

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