Bharat Petroleum Corporation Ltd (BPCL) reported a 24% drop in standalone net profit for the January–March quarter (Q4 FY25), posting ₹3,214.06 crore, down from ₹4,224.18 crore in the same period last year. The profit also fell 31% sequentially from ₹4,649.20 crore in Q3 FY25.
The decline is attributed to losses on subsidised domestic LPG sales – with BPCL incurring a loss of ₹3,217.82 crore in Q4 and ₹10,446.38 crore over FY25, due to lack of government compensation. Despite LPG being a subsidised fuel, no reimbursement was provided to state-owned retailers like BPCL, IOC, and HPCL in the fiscal year.
To partly offset this gap, the government hiked LPG prices by ₹50 per 14.2-kg cylinder this month and raised excise duty on petrol and diesel by ₹2/litre, aimed at generating ₹32,000 crore in revenue—some of which, according to Oil Minister Hardeep Singh Puri, could fund future LPG subsidies.
Key Financial Highlights:
- Gross refining margin dropped to $6.82 per barrel, from $14.14 in FY24.
- Revenue from operations declined 4% to ₹1.26 lakh crore in Q4.
- Full-year FY25 net profit halved to ₹13,275.26 crore on revenue of ₹5 lakh crore.
- In contrast, FY24 had a record profit of ₹26,673.50 crore due to high petrol and diesel margins.
- Refinery throughput: 10.58 MT in Q4; 40.51 MT in FY25.
- Market sales: 13.42 MT in Q4 (up 1.82%); 52.40 MT in FY25 (up 2.66%).
- Q4 EBITDA: Up 2.5% to ₹7,765 crore.
- Dividend: Final ₹5/share, in addition to ₹5 interim dividend.
BPCL’s performance underscores the fiscal strain state-owned OMCs face amid price controls and delayed subsidies, especially in an election year.
Bharat Petroleum Corporation Limited is an Indian public sector oil and gas company, headquartered in Mumbai. It is India’s second-largest government-owned downstream oil producer, whose operations are overseen by the Ministry of Petroleum and Natural Gas. It operates three refineries in Bina, Kochi and Mumbai.
