Hindustan Petroleum Corporation Ltd (HPCL) witnessed a 25% decline in its net profit for the March quarter of the fiscal year 2023-24, primarily attributed to lower refining margins. The company’s consolidated net profit stood at Rs. 2,709.31 crore, down from Rs. 3,608.32 crore in the corresponding period of the previous fiscal. The drop in profits was influenced by a decrease in gross refining margins, which fell to USD 6.95 per barrel from USD 14.01 per barrel in the previous year.
HPCL’s net profit was further impacted by a reduction in petrol and diesel prices by Rs. 2 per litre, as well as a decrease in marketing margins due to a surge in international oil prices. Despite this, the firm reported a record net profit of Rs. 16,014.61 crore for the full fiscal year 2023-24, compared to a loss of Rs. 6,980.23 crore in the previous year.
Additionally, HPCL’s refineries processed the highest-ever crude throughput of 22.33 million tonnes during the fiscal year, while achieving the highest-ever petrol and diesel sales volumes. The company also announced a bonus issue of 1:2 shares and recommended a final dividend of Rs. 16.50 per equity share for the year.