MRPL shares surge 13% on ninefold quarterly profit jump
ONGC subsidiary MRPL swung to a ₹946 crore quarterly profit driven by higher throughput and a one-time price revision, signalling a turnaround that pushed its stock to a one-week high.
Shares of Mangalore Refinery and Petrochemicals Ltd. (MRPL) climbed 13% to an intraday high of ₹178.40 on the BSE on Thursday. The rally followed the release of first-quarter results for the fiscal year ending March 2027. The stock has now gained 13% over the past week and is up 13% year-to-date, though it remains below its 52-week high of ₹212.31 touched in March.
The ONGC subsidiary reported a consolidated net profit of ₹945.68 crore for the April-June period. This represents a major recovery from a net loss of ₹270.66 crore in the year-ago quarter and a sharp sequential increase from ₹116.99 crore in the preceding three months.
The headline earnings figure was partially inflated by a one-time regulatory adjustment. MRPL booked a ₹471.76 crore gain arising from the revision of certain petroleum product prices on supplies made during a previous period. Stripping out this exceptional item, the operational turnaround remains evident but less dramatic.
Revenue from operations climbed 46% sequentially and nearly doubled year-on-year to ₹41,608.96 crore. This top-line growth was driven by a 25.85% annual increase in throughput, which reached 4.43 million metric tonnes. Higher processing volumes typically indicate improved plant utilization and favorable crude spreads for refiners.
Margin recovery and exports
At the operating level, EBITDA surged roughly eight times year-on-year to ₹1,860 crore, remaining broadly flat sequentially. The EBITDA margin expanded significantly to 3.44%, up from just 1.03% in the first quarter of the previous fiscal year.
Despite the strong domestic and operational metrics, export revenues declined 30.9% sequentially to ₹5,012 crore. However, exports still managed a 5.1% increase compared to the same period last year, suggesting shifting trade flows or pricing dynamics rather than a structural drop in overseas demand.
Infrastructure and fuel strategy
Beyond the quarterly earnings, MRPL is actively expanding its downstream logistics footprint. The company received authorization from the Petroleum and Natural Gas Regulatory Board for an aviation turbine fuel pipeline connecting its Devangonthi Terminal with Kempegowda International Airport in Bengaluru.
MRPL also commenced product loading at terminals in Mangaluru, Hindupur, and Ennore, while executing lease agreements for storage tankages at JNPA, Kakinada, and Krishnapatnam. Furthermore, the refiner secured ISCC CORSIA certification for co-processing used cooking oil into sustainable aviation fuel, a strategic step into the emerging decarbonization market for airlines.
