BPCL turns profitable in Q2 on timely subsidy from govt

 Bharat Petroleum Corporation (BPCL) has reported a net profit of Rs 5,034 crore in the September quarter as against loss of Rs 3,229 crore,YoY due to timely cash compensation.of Rs 7238 crore from the government for selling fuel at discounted rates.

S Varadarajan, Director-Finance of BPCL said the government had released Rs 7,239 crore as compensation in the first half for the company. "Cumulative under-recoveries for the first six months were more than Rs 20,000 crore," he  added. Net sales increased 34.5 percent YoY to Rs 56,859 crore Gross refining margins for the period of first six months of FY13 stood at USD 4.55 a barrel, much higher compared to USD 1.42 a barrel in a year ago period. "The second quarter gross refining margin was USD 6.4 a barrel," Varadarajan said. At 14:57 hours IST, the stock rose just 0.15 percent to Rs 339.50 amid large volumes on the Bombay Stock Exchange.