Business

HPCL sees two-fold jump in net profit in Q2, okays Rs 2,500-cr buyback

Hindustan Petroleum Corp (HPCL) on Wednesday reported a twofold jump in its second quarter (July-September 2020, or Q2) net profit on the again of a surge in refining margins and stock features, and introduced a Rs 2,500-crore share buyback plan because the administration stated it felt the share worth was decrease than the worth it deserves.

Net profit was Rs 2,477 crore in comparison with Rs 1,052 crore a yr again, HPCL Chairman and Managing Director Mukesh Kumar Surana instructed reporters on a name. “The significant improvement in the profitability in spite of challenges including lockdown due to Covid-19 pandemic was a result of strategic planning in refinery and marketing operation, containing the contraction to less than the industry, efficient inventory management and effective production placement,” he stated. Gross gross sales income at Rs 61,340 crore was decrease than Rs 66,165 crore of Q2 of the earlier monetary yr as a consequence of decrease oil costs.

The agency earned $5.11 on turning each barrel of crude oil into gas in the second quarter of 2020-21 fiscal yr as in comparison with a gross refining margin of $2.83 a barrel.

This included a $2.33 per barrel stock acquire from shopping for cheaper crude oil earlier and processing in Q2. This translated into Rs 1,780 crore of acquire. Besides, the agency additionally had a foreign exchange acquire of Rs 524 crore, he stated.

In a stock trade submitting, the agency stated it would purchase again as much as 100 million shares for not more than Rs 250 apiece.

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