India’s Oil & Gas Companies Analyzed

India’s companies that work with oil and gas are likely to show a mix of good and bad news when they report how they did in the third quarter of 2025 (Q3FY26). This means some companies might make more money, while others might make less. This is because prices for oil and gas are changing, and some things like government payments are helping some companies but hurting others.

Key Points

• Oil companies’ earnings will be mixed in Q3FY26.
• Sales expected to drop 4% year-on-year overall.
• Ebitda (profits) are predicted to rise 16% Y-o-Y.
• Reliance Industries’ profits will increase due to strong businesses.
• HPCL is recommended for investment because of fuel sales.
• City gas companies have different growth predictions – some up, some down.

Some oil companies are getting more money because oil refineries are selling oil for more than they cost to make. The government also pays these companies to cover the cost of gas used for cooking (called LPG). However, oil is becoming cheaper, and changes in exchange rates (how money is valued) can also affect how much money the companies make.

A company called Reliance Industries, which makes telecom and sells products, is expected to do really well. Their profits will go up because of these businesses. They plan to sell 17.7 million metric tonnes of oil and gas.

Other oil companies, like Hindustan Petroleum, Bharat Petroleum, and Indian Oil, are expected to make more money because oil refineries are doing better. They also get money from the government for the gas used for cooking. Prices for oil are changing, and this affects how much money they can earn.

Companies that sell gas to homes and businesses (called city gas companies) are expected to have different results. Some will sell more gas, while others might sell less. Gujarat Gas might sell less gas because other companies are offering cheaper prices.

Prices for oil and gas are changing, which helps companies like Indian Gas (IGL) and Gujarat Gas make more money. However, a company called Mahanagar Gas (MAHGL) might have a harder time because they use a lot of gas from the United States, and prices there are going up.

Oil India and ONGC, which explore for oil and gas, are expected to produce about the same amount of oil and gas as last year. Prices for oil are falling, so they will make less money.

Experts think oil prices will continue to fall, meaning companies will keep making less money. They predict oil prices will be around $60 per barrel over the next few years.

Refineries, which turn oil into gasoline and other products, are seeing higher prices for their products, but experts believe this won’t last. There will be more refineries built than there will be people wanting to buy oil, so prices will likely go down in the long run.

Takeaway: Companies are facing challenges from falling oil prices and changing global demand, but strategic investments and government support could still lead to growth.