State-owned Bharat Petroleum Corporation Limited (BPCL) reported a 77% fall in its December quarter net profit to ₹495 crore due to higher inventory losses and falling refinery margins.
The dip in profit was reported on a 25% growth in revenue to ₹8,8237 crore.
Company’s gross refining margins (GRM) during the quarter fell to $2.78 per barrel compared to GRMs of $7.89 per barrel in the year-ago period.
The corporation has accounted compensation towards sharing of under-recoveries on sale of sensitive petroleum products of ₹762.55 crore by way of subsidy for the current period, said the company.
The state-owned oil companies were forced to take a price cut in October as the government wanted to cushion the impact of high crude oil price on the public.
BPCL board has declared an interim dividend of ₹11 per equity share of face value of ₹10 each on the paid-up equity share capital of the company for the financial year 2018-19. Further, the board of directors has fixed February 23 as record date to determine the eligibility of the shareholders to receive the said interim dividend, said the statement.
BPCL shares on BSE closed down 0.71% to ₹337.6 ahead of the earning announcement in a weak Mumbai market on Friday.