State-run oil marketing company BPCL on Saturday in its earnings report logged a net loss of Rs. 6291 crore in the June ended quarter of Fy23. In the Q1Fy22 period, the company’s net loss was at Rs. 3192.58 crore.
The company’s losses have mounted as fuel prices have been held steady despite rising costs.
Revenue from operations rose to Rs 1.38 lakh crore from Rs 89,688.98 crore during the same period last year. On processing 1 barrel of crude oil into fuel, the company made $27.51 during the review period versus $4.12 per barrel gross refining margin (GRM) a year-back. Nevertheless this was offset by the losses incurred due to keeping fuel prices steady. EBITDA during the period turned negative at Rs. 5,461.56 crore in comparison to positive Rs. 5,308.52 crore in the same period last year.
Vetsa Ramakrishna Gupta, Director (Finance), BPCL said, “BPCL refineries have performed exceptionally well supported by robust international cracks of petroleum products, resulting in the GRM going up.” The increase in market sales from 9.63 million tonnes in Q1 2021-22 to 11.76 million tonnes in Q1 2022-23 was mainly attributable to a low base effect as well as higher turnout at BPCL fuel stations.
“On an overall basis, despite robust GRM’s, the company reported a net loss in the first quarter due to heavy losses in marketing business,” he added.
Ahead of the results, the stock of BPCL on Friday ended a tad higher at Rs. 336.4 per share on the NSE.
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Story first published: Saturday, August 6, 2022, 23:28 [IST]