Jobaaj Stories
Bharat Petroleum Corporation Limited (BPCL) has published its Q4 financial results wherein the oil producer beat all Street estimates and reported a staggering 159% surge in quarterly profits for the quarter that ended in March 2023.
For the quarter that ended in March 2023, the company reported revenues of Rs 133,413.81 crores, up 8% YoY as Total Income for the quarter came in at Rs 1.34 lakh crores. Expenses did not grow in line with revenues as the surge in all costs except financing costs was marginal.
Must read, G7 Summit: 49th summit, The Significance, Role of India, Impact on Global Leadership!
It resulted in higher profits as profit for the quarter came in at Rs 6,478 crores, up 159% annually. Although revenue growth was marginal sequentially, profit improved by 230% due to lower costs.
For the entire year that ended in March 2023, the company reported its highest annual revenues of Rs 5.33 lakh crores, up 23% YoY. Sales volume grew 15% to 48.92MMT as ATF saw the highest volume growth during the year, followed by HSD-Retail and MS-Retail. Average Gross Refining Margin (GRM) for the year was $20.24 per barrel, significantly higher than last year’s margins.
However, suppressed marketing margins of certain petroleum products offset the benefit of such higher GRM. Costs of materials and purchases surged during the year as they surged 43% and 39% YoY respectively. Other expenses included a foreign exchange loss of Rs 1,497.81 crores. As a result, Total Expenses grew 26% to Rs 5.32 lakh crores during the year.
Consequently, profits declined by 83.5% to Rs 1,870.10 crores against Rs 11,363 crores reported in the same period last year. The oil refiner’s Board has recommended a final dividend of Rs 4 per share for FY23, subject to shareholders’ approval.
Investors responded positively to the results as the stock of BPCL was trading around Rs 368.60 per share, up 2% in early trading hours today.
- Aman Agarwal
