State-run Oil India reported a bigger-than-expected rise in third-quarter earnings on Feb. 10 after the explorer's natural gas unit swung to a profit.

Profit jumped more than 40% to 17.46 billion rupees ($211.5 million) for the three months that ended Dec. 31, while analysts, on average, had expected a profit of 14.44 billion rupees, according to Refinitv IBES data.

Demand for crude and natural gas has remained elevated as the economy rebounded from the pandemic-induced slump.

The company's revenue from operations rose more than 57% to 58.79 billion rupees.

Natural gas segment posted a profit before tax of 10.91 billion rupees, compared with a loss of 1.08 billion rupees in the year ago period.

The profit was hit by a windfall tax India imposed on oil producers in July.

The company's expenses rose over 18% to 36.79 billion rupees, mainly due to 5.03 billion rupees of excise duty.

Oil India shares settled 2.4% lower ahead of the earnings.

Shares advanced 4.7% in 2022, compared to a more than 14% rise in the Nifty Energy Index.