HPCL Q4 Review - Refining Margins Strong; Leverage To Weigh On Valuation: ICICI Securities

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..ICICI Securities Report.Hindustan Petroleum Corporation Ltd.’s Q4 FY22 standalone earnings per share was down 40.5% YoY – hit by YoY plunge in marketing earnings but offset by stronger throughput and a four-year high gross refining margin in Q4. Marketing volumes of 10.7 million tonne were up 5.2% YoY (up 1.2% QoQ), ahead of our estimate of 10.4 million tonne. However, implied marketing margin is among the lowest ever, driven by Rs 1.4/litre net loss for petrol and Rs 1.6/litre net loss for diesel retail sales in Q4. HPCL's FY22 Ebitda of Rs 101.76 billion and profit after tax of Rs 63.8 billion were down 36% and 40% YoY respectively. FY23E prospects appear muted despite the assumption of double-digit gross refining margins, with negligible marketing earnings to offset this advantage. .Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

HPCL Q4 Review - Refining Margins Strong; Leverage To Weigh On Valuation: ICICI Securities

HPCL Q4 Review - Refining Margins Strong; Leverage To Weigh On Valuation: ICICI Securities

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