Mangalore Refinery & Petrochemicals Ltd Q2 profit dips

NEW DELHI: Mangalore Refinery & Petrochemicals Ltd, a subsidiary of state-run ONGC, has reported a net profit of Rs 24.13 crore in the second quarter of current year, which is one twelfth of its profit in the same period previous year.

MRPL’s gross receipt for processing one barrel of crude oil dropped to $1.66 a barrel in the quarter ended September 30, 2011 from $6.15 a barrel in the corresponding quarter previous year.

The company has cited the rupee devaluation as the main reason for a steep decline in profit. “This Q2 is impacted by steep rupee devaluation from Rs 45.35 per dollar on June 30 to Rs 49.30 per dollar on September 30. This steep rupee depreciation by almost 10% has adversely impacted the profitability resulting in reduced profit after tax,” a senior MRPL official said.

In the second quarter this year, the company incurred Rs 352 crore loss on account of foreign exchange compared to Rs 123 crore forex gains in the same quarter previous year, the official said.