ThinkStock PhotosRelated
INSIGHTS
Read Stock Insights by ET for a quick analysis
New Delhi: Hindustan Petroleum’s quarterly profit has more than trebled mainly on inventory and forex gains.
Profit for the October-December quarter jumped to Rs 2,355 crore from Rs 747 crore in the year-ago period. Revenue rose 4% to Rs 77, 113 crore.
Inventory gains due to oil price rise, and strengthening of rupee helped boost profit, chairman M K Surana said. The company had an inventory gain of Rs 1,323 crore during the quarter as against a gain of Rs 343 crore in the corresponding quarter last year. It had a forex gain of Rs 297 crore compared to a gain of Rs 82 crore in the same quarter last year.
“Efforts to optimize operating costs and borrowing costs have further helped in profitability improvements. Continued weakness in product cracks, however, kept refinery margins on the lower side,” Surana said.
The gross refining margin for the quarter was $1.87 per barrel compared to $1.79 in the corresponding quarter. Capacity utilization was above 100% at its refineries.
HPCL has bought shares worth Rs 885 crore so far under its buyback programme that has been underway since November.
The modernisation project at Vizag refinery and expansion at Mumbai refinery will be completed in 2021, Surana said. The greenfield refinery in Rajasthan will be ready by 2023, he said.
Profit for the October-December quarter jumped to Rs 2,355 crore from Rs 747 crore in the year-ago period. Revenue rose 4% to Rs 77, 113 crore.
Inventory gains due to oil price rise, and strengthening of rupee helped boost profit, chairman M K Surana said. The company had an inventory gain of Rs 1,323 crore during the quarter as against a gain of Rs 343 crore in the corresponding quarter last year. It had a forex gain of Rs 297 crore compared to a gain of Rs 82 crore in the same quarter last year.
“Efforts to optimize operating costs and borrowing costs have further helped in profitability improvements. Continued weakness in product cracks, however, kept refinery margins on the lower side,” Surana said.
The gross refining margin for the quarter was $1.87 per barrel compared to $1.79 in the corresponding quarter. Capacity utilization was above 100% at its refineries.
HPCL has bought shares worth Rs 885 crore so far under its buyback programme that has been underway since November.
The modernisation project at Vizag refinery and expansion at Mumbai refinery will be completed in 2021, Surana said. The greenfield refinery in Rajasthan will be ready by 2023, he said.
Read More News on
Download The Economic Times News App to get Daily Market Updates & Live Business News.