Beating the Street's estimates and supported by government subsidy, Hindustan Petroleum Corporation Ltd (HPCL) reported 12-fold increase in net profit for the quarter ended December 31. Net profit stood at Rs 2,725 crore against Rs 211 crore during the corresponding quarter last year.
The company said it got a boost in the form of subsidy support of Rs 8,080 cr from upstream companies and Rs 503 cr from the government for selling petroleum products at government-controlled rates.
HPCL's gross under-recoveries stood at Rs 7,000 cr. Sales were up 41 per cent at Rs 47,917 cr, as against Rs 33,902.5 cr last year.
Gross refining margins for the nine months from April to December were $2.62 per barrel, compared to $3.96 for April-December 2010.
The company’s shares closed the day at Rs 287.5, up 0.6 per cent, on the Bombay Stock Exchange.
