Indian Oil (IOCL) reported EBITDA/PAT of Rs15.3bn/7.2bn for Q3FY19, impacted by heavy inventory losses of Rs107bn though earnings were better than our estimates, driven by strong core performance. Core EBITDA/PAT/EPS were Rs123bn/67bn/Rs7.1. IOCL reported GRM of US$1.2/bbl though core number was a whopping US$9.2, driven by price lag impact ($5.1/bbl adjusted core GRM) and lower F&L; costs. Marketing margin also expanded by 8% qoq to Rs5/kg. Petchem earnings, however, fell ~40% qoq. volatility, marketing pricing power should be steady after elections. We cut our FY20/21...