Hindustan Petroleum Corporation Ltd (HPCL) on Thursday recorded its third quarter profit for the financial year 2023-24 at Rs 712.84 crore, up 60.5 per cent in comparison to Rs 444.26 crore during the corresponding quarter of previous year, missing estimates. It posted total income for the quarter in review at Rs 1,19,013.33 crore, up 2.2 per cent as against Rs 1,16,485.79 crore during the third quarter of FY23. Total expenses, however, incurred during the quarter ended December 2023 stood at Rs 1,18,288.83 crore. According to a CNBC TV18 poll, HPCL was expected to record a Q3 profit at Rs 1,498 crore and revenue for the quarter was estimated to be at Rs 99,501 crore. 

The company board also declared an interim dividend of Rs 15 per equity share of face value of Rs 10 each for the financial year 2023-24. “The Company has fixed February 7, 2024 as the record date to determine the eligibility of the shareholders/ beneficial owners to receive the said interim dividend. The interim dividend is proposed to be paid on or before February 23, 2024,” it said in a regulatory filing.

HPCL has reported a record nine-month consolidated profit at Rs 13,305 crore during Apr-Dec 2023 as against consolidated net loss of Rs 10,589 crore during the corresponding period of previous year. The standalone PAT during this nine-month period was also highest ever at Rs 11,851 crore in comparison to standalone net loss of Rs 12,197 crore during the corresponding period of previous year. Average GRMs (Gross of export duty) for the period Oct-Dec 2023 were $8.49 per barrel in comparison to $9.14 per barrel during the corresponding period of previous year. 

Further, the company stated that with progressive commissioning of units at Vishakhapatnam Refinery, HPCL Refineries processed highest ever crude thru-put of 16.49 MMT during the period April-Dec 2023 (operating at close to 104 per cent of installed capacity) registering an increase of 16.7 per cent over crude thru-put of 14.13 MMT processed during Apr-Dec 2022. Despite the turnaround activities at one crude distillation unit (Vishakhapatnam refinery), the crude thru-put during Oct-Dec 2023 was 5.34 MMT (operating at 95.4 per cent capacity) with an increase of 10.6 per cent over crude thru-put of 4.83 MMT processed during Oct-Dec 2022.

On the marketing front, HPCL achieved its highest ever quarterly sales volume (including exports) of 11.90 MMT during Oct-Dec 2023 as against 11.25 MMT during corresponding period of previous year, representing a growth of 5.8 per cent. 

In the Domestic market, HPCL continued to outpace PSU Industry sales growth registering quarterly sales growth of 3.2 per cent during Oct-Dec 2023 as compared to PSU industry growth of 2.8 per cent during this period. 

HPCL’s ongoing projects

In order to strengthen Refining & Marketing infrastructure, HPCL has invested Rs 10,350 crore during Apr-Dec 2023 (including equity investment in its JVCs and subsidiaries). HPCL has also received the regulatory approvals for setting up a wholly owned subsidiary for its Renewable & Green Energy portfolio and has incorporated HPCL Renewables & Green Energy Limited. HPCL has plans to increase its renewables portfolio to 10 GW by 2030 and bio-fuels portfolio through new 1G, 2G and CBG Plants. 

As part of Visakh Refinery Modernization Project (VRMP), commissioning of Heat Recovery Steam Generation (HRSG) system of Captive Power Plant (CPP), second trains of Hydrogen Generation Unit and Sulphur Recovery Unit were achieved during Q3 of 2023- 24, it said. The Offsite storage facilities of VRMP have also been progressively commissioned. The Refinery is currently operating at 13.7 MMPTA with progressively higher distillate yields post the commissioning of 3.05 MMPTA capacity Full Conversion Hydrocracker Unit during the quarter. The 3.55 MMTPA capacity Residue Upgradation Facility, as part of VRMP is first of its kind technology in India, and is in an advanced state of completion with majority of equipment received & erected at site. 

During the Quarter, construction activities continue to advance for various process & utility packages for the ongoing 9 MMTPA integrated grass root refinery cum petrochemical project at Balotra, Rajasthan (HRRL). 

A new LPG bottling plant of 120 TMTPA capacity at Varanasi is in advanced stages of completion. This plant will cater to the increasing demand for LPG in the state of Uttar Pradesh. During the period Oct-Dec 2023, HPCL commissioned 162 retail outlets across the country taking the total number to 21,593 retail outlets.