HPCL June quarter performance falls short of expectations
State-run oil refining and marketing company Hindustan Petroleum Corp. Ltd’s (HPCL) June quarter results are nothing to write home about. Net profit of ₹811 crore missed Bloomberg’s consensus estimate of ₹1,002.5 crore.
“Compared to its peer Indian Oil Corp. Ltd that reported strong results last week, HPCL reported a weak set of results,” said brokerage firm Nomura Financial Advisory and Securities (India) Pvt. Ltd. “Higher inventory loss was one reason for the miss (IOC had reported inventory gains), but adjusted for inventory loss, both refining and marketing earnings were weaker.”
HPCL’s Ebitda of ₹1644 crore too was below forecast. Gross refining margin (GRM) stood at $0.75 per barrel in April-June compared with $7.15 per barrel for the same period last year.
