Open ICICI
3-in-1 Account
Manage your Savings, Demat and Trading Account conveniently at one place
- 23 May 2023
- ICICIdirect Research
-
Share
-
-
-
-
-
BPCL REPORTS STRONG GRM OF US$20.6/BBL
BPCL - 344 Change: -3.25 (-0.94 %)News: BPCL's topline was flat QoQ at Rs 133413.8 crore in line with I-direct estimate of Rs 130263 crore. Marketing sales were at 12.8 MMT, flat QoQ. BPCL achieved crude throughput of 10.6 MMT, up 13.2% QoQ. Reported GRMs at US$20.6/bbl were above our estimate of US$10/bbl. As per our understanding, marketing margins were in line with estimates. Subsequently, EBITDA came in at Rs 11153.7 crore, up 163% QoQ on a weak base above I-direct estimate of Rs 7772 crore. There was an exceptional expense of Rs 1359.96 crore for impairment of investment in its subsidiary Bharat Petro Resources (BPRL). The company reported PAT of Rs 6477.7 crore (I-direct estimate: Rs 5489 crore). The Board has recommended a dividend of Rs 4/share
Views:BPCL's operating profit improved QoQ due to strong refining margins and improvement in marketing segment performance . In the ongoing quarter, GRMs are likely to be subdued but be countered by strong marketing margins. However, we estimate GRMs to increase in H2FY24 on account of rise in demand. BPCL has also set a capital outlay of Rs 1.4 lakh crore over the next five years for expanding into petchem, renewable energy and CGD business
Impact: Positive