Akash Jha
On August 2, Hindustan Petroleum Corporation Limited (HPCL) announced a consolidated net profit of Rs 6,765.5 crore for the first quarter of the fiscal year 2023-24. This result was mostly attributable to HPCL’s strong marketing margins.
A year before, as crude oil prices were rising rapidly, the state-run oil marketing corporation had declared a net loss of Rs 8,557 crore.
The company’s net profit has grown sequentially by 87.5 percent from Rs 3,608 crore in the quarter ending March 31.
In Q1FY24, product sales revenue was Rs 1.18 lakh crore, down from Rs 1.21 lakh crore in Q1FY23. EBITDA for the company in the quarter ending in June was Rs 10,945 crore.
The company’s average gross refining margin (GRM) fell to $7.44 per barrel from $16.69 in the same quarter a year ago. Because of a precipitous fall in diesel and ATF spreads, refining margins have shrunk.
Market sales (domestic) for the company increased to 11.43 MMT in Q1FY24 from 10.45 MMT in the same period a year before.
In Q1FY24, HPCL’s pipeline throughput increased to 6.49 MMT from 5.79 MMT in Q1FY23.
HPCL stock dropped 3.07 percent on August 2 to end the trading day at Rs 276.35 on BSE.
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