OMCs face ₹1 lakh crore quarterly loss risk, FY26 profits at stake: Puri

India's state-run oil marketing companies (OMCs) risk having their entire FY26 profits wiped out if crude oil prices remain elevated, Petroleum Minister Hardeep Singh Puri warned on Tuesday, 12 May, amid escalating tensions in the Middle East. Speaking at the CII Annual Business Summit 2026 in Mumbai, Puri said OMCs are currently bleeding nearly ₹1,000 crore every day, with combined quarterly losses potentially touching ₹1 lakh crore if current trends persist.

Scale of Financial Stress

The three major public sector fuel retailers — Indian Oil Corporation (IOC), Bharat Petroleum Corporation (BPCL), and Hindustan Petroleum Corporation (HPCL) — are projected to report combined losses of nearly ₹1.2 lakh crore in the first quarter of FY27 alone, according to industry estimates cited during the summit discussion.

These projections are significantly higher than earlier Street estimates, which had pegged losses at around ₹27,000 crore per month — or roughly ₹81,000 crore for a quarter — assuming crude prices would hover around $120 per barrel. Notably, despite crude largely trading below the $115-per-barrel mark so far, actual loss trajectories have already exceeded those forecasts.