All of the three fuel retailers in the country, IndianOil, Hindustan Petroleum and Bharat Petroleum have returned their accounts to the black in the second quarter but analysts say that the profits are not enough to make up for losses of the first quarter.

India's biggest oil marketing firm, IOC posted a net profit of Rs 9,611.35 crore in the second quarter after adding government's compensation for the two quarters. The company had recorded a net loss of Rs 7,485.55 crore in the second quarter of the previous year. During the first six months of the year, IOC recorded a net loss of Rs 12,839.6 crore.

BPCL had reported a net profit of Rs 5,034.79 crore in the second quarter compared to a net loss of Rs 3,229.27 crore recorded in the same quarter of the previous year. While, HPCL reported a net profit of reported Rs 2,327 crore in the second quarter against Rs 3,364.48 crore loss in the same period of 2011.

During the first six months of the current financial year, BPCL reported a net loss of Rs 3,802 crore while HPCL recorded a net loss of Rs 6,922 crore. Officials said that the subsidy amount issued by the finance ministry is not adequate to compensate for the losses incurred by the retailers.