HPCL Q2 Results: Net profit slumps 98% YoY to Rs 143 crore, revenue rises 5%

State-owned fuel retailer Hindustan Petroleum Corporation (HPCL) on Friday reported that its consolidated net profit fell 97.5% year-on-year (YoY) to Rs 142.67 crore as against Rs 5,826.9 crore reported in the corresponding quarter of the last fiscal year.

However, its revenue for the quarter rose 5.4% YoY to Rs 1,08,267.6 crore, up from Rs 1,02,669.3 crore in the corresponding quarter of the previous year.

"The primary reasons for the lower PAT include suppressed marketing margins on select petroleum products, reduced refining margins due to weaker crack spreads, and declining international crude and product prices," the company said in an exchange filing.


On a standalone basis, HPCL's revenue from operations stood at Rs 1,08,216 crore in Q2 FY25, up from Rs 1,02,618 crore in Q2 FY24. The company’s standalone profit after tax (PAT) for this quarter was Rs 631 crore, compared to Rs 5,118 crore in the same period last year.

From April to September 2024, HPCL refineries achieved a record-high crude throughput of 12.06 MMT, operating at 103.7% of installed capacity—an 8.2% increase from 11.15 MMT during the same period in 2023.

In Q2 FY25, the refineries processed 6.30 MMT of crude, operating near 107.7% of capacity and marking a 9.6% rise from 5.75 MMT in Q2 FY24. Expanding its crude basket, HPCL also procured two new grades of crude, Jubilee and Pazflor, for the first time.

In the September quarter of FY25, its motor fuel sales reached 6.8 MMT, marking a 4.5% growth over Q2 FY24, while LPG sales volume rose to 2.25 MMT, reflecting a 5.9% increase. The company's aviation business saw significant growth, with sales volume up by 19.6% YoY to 250 TMT.

The company's lubricants segment achieved a sales volume of 168 TMT in Q2 FY25, representing a 5.0% growth over Q2 FY24. The company also recorded its highest-ever petrochemical sales for the quarter, reaching 30.4 TMT.

HPCL invested Rs 3,771 crore in Q2 FY25 to enhance its refining and marketing infrastructure, including contributions to joint ventures and subsidiary companies. This brings its total investment for the April-September 2024 period to Rs 6,588 crore.

During 2QFY25, HPCL commissioned 353 retail outlets across the country taking the total number of outlets to 22,501. The company also commissioned 6 new LPG distributorships during the period taking the total count of LPG distributorships to 6,364.

HPCL’s Aviation business also secured the order for developing and operating the fuel farm and Into-Plane Services (ITP) at the new Greenfield International Airport at Bhogapuram, Vishakhapatnam, Andhra Pradesh, which shall be developed on a public-private partnership framework by GMR Visakhapatnam International Airport Limited (GVIAL).

HPCL achieved a record-high ethanol blending rate of 15.6% during the quarter, blending approximately 52.29 crore liters of ethanol in motor spirit, reducing GHG emissions by 10.45 lakh MT. In Q2 FY25, CNG facilities were added at 72 retail outlets, bringing the total CNG-equipped outlets to 1,801 as of 30th September 2024.

Additionally, EV charging facilities were introduced at 337 outlets in the quarter, increasing the total EV-equipped locations to 4,042. Solar panels were installed at 2,498 outlets, raising the total number powered by solar energy to 20,867, meaning 93% of HPCL’s retail network now operates on renewable energy.

Following the Q2 results, HPCL shares declined 7% to Rs 375 in Friday's trade on BSE.