PSU Stocks: All three public sector petroleum companies…Indian Oil Corporation Ltd. (IOCL), Bharat Petroleum Corporation Ltd. (BPCL) and Hindustan Petroleum Corporation Ltd. (HPCL) has registered a bumper profit of about Rs 81,000 crore in the last financial year 2023-24. This is much more than their annual earnings in the years before the oil crisis.
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How much did you earn?
Collectively, the stand-alone net profit of IOC, BPCL and HPCL during April, 2023 to March, 2024 has been better than their annual earnings of Rs 39,356 crore in the years before the oil crisis. These companies have given this information to the stock markets. All three companies have posted their highest-ever profits on a standalone and consolidated basis in 2023-24.
Which company gets how much profit?
According to information provided to the stock exchanges, IOC has made a standalone net profit of Rs 39,618.84 crore in 2023-24. In comparison, its standalone net profit in 2022-23 was Rs 8,241.82 crore. However, the company may argue that its results for 2022-23 were affected by the oil crisis. But even when compared with the years before the crisis, the company’s profits have been better. The company’s net profit was Rs 24,184 crore in 2021-22 and Rs 21,836 crore in 2020-21.
BPCL has made a net profit of Rs 26,673.50 crore in FY 2023-24, which is much higher than the figure of Rs 1,870.10 crore for 2022-23. In the financial year 2021-22, BPCL had earned a net profit of Rs 8,788.73 crore. According to the information given to the stock exchanges, the net profit of HPCL in 2023-24 has been Rs 14,693.83 crore. Due to this, the company had suffered a loss of Rs 8,974.03 crore in the last financial year. In 2021-22, the company had earned a profit of Rs 6,382.63 crore.
Due to the losses incurred in the financial year 2022-23, Finance Minister Nirmala Sitharaman had announced in the Budget 2023-24 to provide support of Rs 30,000 crore to IOC, BPCL and HPCL for their energy transition plans. Later this amount was reduced to half i.e. Rs 15,000 crore. This support was to be given through equity investment or rights issue. However, this support has not been provided yet.
Three companies that control nearly 90 per cent of India’s fuel market have ‘voluntarily’ kept prices of petrol, diesel and cooking gas (LPG) unchanged for the last two years, leading to losses due to higher production costs. Had to pick it up. The three petroleum companies collectively had a net loss of Rs 21,201.18 crore during April-September, 2022.
