In response to the recent announcement of a ₹2 per litre reduction in fuel prices, Indian Oil Corporation (IOC) Chairman Shrikant Madhav Vaidya on Friday, March 15, said that the cuts are unlikely to significantly affect the company’s bottom line. Addressing concerns regarding the potential impact on profitability, Vaidya emphasised that it was too early to gauge the precise effects on the upcoming quarter’s financials.
He asserted that while the price reduction may have some influence, it is not anticipated to substantially impact profits, adding that the performance of Oil Marketing Company (OMC) stocks is primarily subject to market dynamics.
Vaidya stressed the importance of considering the volatile nature of crude oil prices in determining future courses of action regarding fuel pricing. He highlighted the necessity of observing trends in crude oil movements to make informed decisions regarding pricing adjustments.
“It’s a very dynamic world, crude oil prices play a critical role. We will wait for the crude oil prices, how they are, once …