Mangalore Refinery Posts Net Profit of Rs 1,067 Crore in March Quarter

Mangalore Refinery and Petrochemicals Ltd (MRPL) on Tuesday reported a net profit of Rs 1,067 crore in the fourth quarter that ended on March 31, 2014, on the back of foreign exchange and inventory gains.

MRPL, a unit of state-owned Oil and Natural Gas Corp (ONGC), had posted a net loss of Rs 62 crore for the corresponding quarter a year ago, chairman Dinesh K Sarraf said on Tuesday.

The company returned to black on the back of a gain of Rs 575 crore from appreciation of the rupee against the US dollar and an inventory gain of Rs 503 crore.

MRPL earned $3.18 on turning every barrel of crude oil into fuel as compared to a gross refining margin of $1.98 a barrel.

"Going forward, GRMs (gross refining margins) are going to be higher because completion of expansion," he said.

Turnover rose about 3 per cent to Rs 20,032 crore, he said, adding the refinery processed 3.84 million tonnes in January-March, down from 4.12 million tonnes a year ago.

For full fiscal year 2013-14, the company earned a net profit of Rs 601 crore as opposed to a loss of Rs 179 crore.

Turnover was up 9.3 per cent at Rs 75,226 crore as export revenue rose 6.15 per cent to Rs 35,392 crore. GRMs rose marginally to $2.67 per barrel as compared to $2.45 in 2012-13.

Shares in MRPL, on Tuesday, ended at Rs 67.70 apiece on the BSE, up 6.5 per cent from the previous close.