August 8, 2025

Get ready for some jaw-dropping numbers from Hindustan Petroleum Corporation Limited (HPCL)! The state-owned refiner announced a sensational 1,128% rise in its standalone net profit for Q1FY26, rocketing to a whopping ₹4,371 crore from just ₹355 crore a year ago. Why did this happen? HPCL's golden ticket was strong refinery throughput and operational efficiency, driving the profits sky-high even though revenues slipped a bit by 0.6% to ₹1,20,135 crore and refining margins came down from $5.03 to $3.08 per barrel. HPCL’s consolidated profit after tax also dazzled, climbing 548% to ₹4,111 crore compared to ₹634 crore in Q1FY25. What’s fueling this profit magic? The refineries worked like superheroes, processing 6.66 million metric tonnes (MMT) of crude, which is an impressive 15.6% increase year-on-year. They were running at 109% utilization—yes, over full capacity! Visakh Refinery led the charge with its highest-ever quarterly throughput of 4.16 MMT, chugging at 111% of its nameplate capacity. Mumbai Refinery also soared at 106% capacity with 2.50 MMT processed. HPCL did not stop there—they tested and processed four new crude grades (three imported, one indigenous) during the quarter, showing their readiness to adapt and innovate. Sales volumes also took a sweet leap. Total sales, including exports, hit a record 13.04 MMT, up 3.2% from last year. Domestic sales weren’t left behind either, growing by 1.9%. Petrol and diesel combined sales rose 1.1% to 8.11 MMT, and total LPG sales jumped 6.6% to 2.21 MMT. They also pumped up pipeline throughput to 6.70 MMT. On the network expansion front, HPCL commissioned 154 new retail outlets in Q1, pushing the total to a staggering 23,901 outlets! LPG distribution kept pace too, with 6 new distributors added for a total of 6,384. The City Gas Distribution network grew with 711 inch-km of steel pipeline and 164 km of MDPE pipeline laid, plus 8,024 new domestic PNG connections, making the total 1,24,484. And here’s a spicy global twist: HPCL made its first-ever lubricant supply to Indonesia, spreading its wings beyond Indian shores. In sum, despite the challenges of lower refining margins, HPCL turned Q1FY26 into a blockbuster quarter with its stellar throughput, tight operations, and ongoing network expansions. Clearly, the state-refiner is charging ahead full steam! As HPCL continues to power up, investors and market watchers will keep a keen eye on their next moves and numbers. For now, it’s nothing short of a thrilling show in India’s oil and gas saga!

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Tags: Hpcl, Q1 profit, Refinery throughput, Gross refining margin, Sales volume, Operational efficiency,