HPCL's Q4 net up 66% on lower under-recoveries
Hindustan Petroleum's March quarter PAT rose 66% to Rs 7679 crore as the company could partially make up for losses it generally incurs on diesel sale.
Oil marketing firm Hindustan Petroleum's (HPCL's) March quarter profit has risen to Rs 7679 crore, up 66 percent year-on-year on the back of sectoral reforms wherein the government allowed firms to hike diesel price in phases. The firm has since January hiked diesel price several times by 50/litre each time. Net sales of the company also grew 17 percent to Rs 61238 crore.For FY13, the firm's profit shrunk to Rs 504.30 crore from Rs 911.43 crore YoY. Sales went up to Rs 206529.34 crore against Rs 178139 crore YoY.HPCL shares closed the day at Rs 289, up 1.12 percent.Of the Rs 24,825 crore cash subsidy paid by the government for selling diesel and cooking fuel below cost in 2012-13 fiscal, the company got Rs 12,620 crore in Q4 alone.It did not get any compensation in third quarter.Of the Rs 36,246 crore in revenue it lost on selling diesel and cooking fuel below cost during the full fiscal, it got Rs 24,825 crore from the government and another Rs 11,189 crore from upstream firms like ONGC, he said. "We absorbed 0.6 per cent of the under-recoveries (revenue loss)."For the full fiscal, the company reported a net profit of Rs 904.71 crore which was marginally lower than Rs 911.43 crore in the previous financial year.HPCL earned $3.75 on turning every barrel of crude oil into fuel in January-March, up from $3.03 per barrel gross refining margin in the same period a year ago.Mukherjee said the company was not losing any money on petrol sales currently but lost Rs 3.73 a litre on diesel, Rs 27.93 a litre on kerosene and Rs 378.38 per 14.2-kg LPG cylinder.Read This:Near-term top pick HPCL; long-term BPCL: Quant Capital(With inputs from PTI) Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
