HPCL suffered record loss in the first quarter, the reason for not increasing the prices of petrol and diesel

HPCL said that it has incurred a record loss of Rs 10,196.94 crore in the first quarter of the current financial year due to non-increased prices of petrol and diesel. Hindustan Petroleum Corporation Limited (HPCL) said that it has incurred a loss of Rs 10,196.94 crore on a standalone basis in the April-June quarter.

HPCL said that it has incurred a record loss of Rs 10,196.94 crore in the first quarter of the current financial year due to non-increased prices of petrol and diesel.

Public sector petroleum company HPCL said on Saturday that petrol And due to non-increasing diesel prices, it has incurred a record loss of Rs 10,196.94 crore in the first quarter of the current financial year. Hindustan Petroleum Corporation Limited (HPCL), while giving information about the quarterly results to the stock exchanges, said that in the April-June quarter, it has incurred a loss of Rs 10,196.94 crore on a standalone basis. This is the biggest loss to HPCL in any quarter. It had a net profit of Rs 1,795 crore in the same period a year ago.

loss of revenue

In fact, in the first quarter of the current financial year, the petroleum companies did not increase the prices of petrol and diesel, due to which they have to bear the loss of revenue in proportion to the operating expenses. Like HPCL, other public sector petroleum companies Indian Oil Corporation (IOC) and BPCL also did not increase the prices of petrol and diesel in the last quarter. This was done keeping in mind the efforts of the government to control rising inflation.

IOC has also suffered a loss of Rs 1,992.53 crore in this quarter due to non-increase in prices. However, HPCL has suffered a bigger loss due to more sales than oil production. The revenue from the sale of products to HPCL has increased to Rs 1.21 lakh crore in the last quarter. Whereas, in the same quarter last year, it was Rs 77,308.53 crore. The major reason for the increase in revenue has been the rise in international crude oil prices.

The company’s margins also declined on LPG

HPCL’s record losses in the April-June quarter also paled in record margins from the refining business. HPCL has earned $16.69 per barrel on crude oil in the first quarter of the financial year, which was just $3.31 per barrel in the same period a year ago. HPCL in its statement said that the reduction in marketing margins on motor fuels and LPG in this quarter has adversely affected our profits.

Apart from this, the company also suffered a loss of foreign exchange of Rs 945.40 crore due to fluctuations in the foreign exchange rate. HPCL has reported a pre-tax loss of Rs 13,496.66 crore in the April-June quarter. Whereas in the same period last year, it had a profit of Rs 2,381.53 crore. The company has suffered losses despite increase in oil sales in the quarter under review.

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