The consolidated net profit of Hindustan Petroleum Corporation Ltd (HPCL) declined 43 per cent during the October-December quarter to ₹1,352.99 crore from ₹2,373.71 crore a year earlier.
Gross sales on a consolidated basis rose 33.63 per cent to ₹1,03,143.24 crore during the third quarter from ₹77,182.99 crore compared to the corresponding period last year, the company said in a filing to the stock exchange. This was the first time ever that HPCL hit quarterly sales of over ₹1 lakh crore.
HPCL said the profit was affected primarily due to the price fluctuations in Q3 2021 leading to inventory losses compared to inventory gains in corresponding period last year. The stabilization phase of some of the units at Mumbai Refinery after the revamp shutdown also constrained, to some extent, the full value realization of the improving GRMs. However, with the units having fully stabilised now and operating to the design capacity, the positive impact of higher refinery throughput at Mumbai refinery is expected next quarter onwards.
HPCL said it intends to invest around ₹9,600 crore on development of city gas distribution (CGD) network in geographical areas which the company won along with its joint ventures in the just concluded bidding round.