BPCL Q4 Profit Surpasses Estimates, Margin Grows, Robust Performance; ₹5 Dividend Announced

Mumbai: Bharat Petroleum Corporation Ltd (BPCL) has posted a net profit of Rs 3,214 crore for the March quarter, which is higher than the expected Rs 2,700 crore, according to the CNBC-TV18 poll. The result reflects a better-than-expected performance despite challenges in the global oil market.

Better Operational Results

BPCL’s operational performance also exceeded expectations. The company reported an EBITDA (earnings before interest, tax, depreciation, and amortization) of Rs 7,765 crore, which was much higher than the Rs 5,257 crore predicted. The operating margin improved to 7 per cent from 4.6 per cent, showing a strong recovery despite fluctuations in crude oil prices.

Sequential Comparison

On a sequential basis, BPCL’s profit fell by 30.9 per cent from Rs 4,649 crore in Q3, indicating some challenges in the short term. The company’s revenue also declined by 1.7 per cent, dropping from Rs 1.13 lakh crore in the previous quarter to Rs 1.11 lakh crore. However, EBITDA grew by 2.4 per cent from Rs 7,580 crore in Q3, and the operating margin increased from 6.7 per cent to 7 per cent.

Resilience Amid Crude Price Fluctuations

BPCL’s ability to maintain strong margins despite fluctuating crude prices and refining spreads highlights its operational resilience. The company’s efforts to manage costs effectively while dealing with external market conditions have contributed to its solid performance.

Dividend Announcement

The BPCL board has also recommended a final dividend of Rs 5 per equity share, subject to shareholder approval. This move is expected to benefit investors and boost shareholder confidence in the company.