Bharat Petroleum Corporation Ltd. share price target

OPM of the company rose 90 bps to 5.3%. %. As a result operating profits fell 4% to Rs 3188.24 crore. Cost of material consumed as a percentage to net sales (net of stock adjustments) rose 190 bps to 35.5%, other expenditure increased 20 bps to 6%, staff cost was flat at 1.3% and purchase of stock in trade decreased 130 bps to 52%. Other income rose 32% to Rs 727.4 crore. Interest cost rose by 48% to Rs 200.2 crore. Depreciation rose 40% to Rs 677.43 crore. PBT was down 6% to Rs 3038.01 crore. Effective...

BPCL, unlike peers, reported strong set of numbers led by robust crude throughput and sales growth aided by increased capacity at Kochi terminal. Crude throughput grew 9.5% YoY to highest-ever 7mmt, while sales volume rose 8.6% to 10.4mmt. Revenue increased 19.3% to Rs533 bn, EBITDA increased 155.4% due to lower RM cost, better core margin (US$6.5/bbl vs US$3.8/bbl) and inventory gains against losses in Q2FY17. Consequently, PAT increased 81% to Rs24 bn, partially impacted by lower other income and higher interest expense....

ICICI Securities Ltd | Retail Equity Research Bharat Petroleum Corporation's (BPCL) Q2FY18 results which were below our estimates on the operational front. The revenues declined 4% QoQ to | 64127.3 crore below our estimate of | 67215.3 crore. GRM's stood at US$ 8/bbl below our estimate of US$ 9.2 /bbl. mainly on account of lower than expected operational performance of the refining front. The inventory gains stood at US$ 1.5/bbl. However, EBITDA at | 3527.6 crore came slightly above our estimates of |...

of USD8.3/bbl and our est. of USD8.5/bbl; USD6.9/bbl in 1QFY18, USD3.8/bbl in 2QFY17). The company reported total inventory gain of INR6.84b for the quarter inventory gain in the refining segment stood at ~INR5b (~USD1.47/bbl) and in the marketing segment at INR1.85b. PAT stood at INR23.6b (est. of INR39b; +81% YoY, +217% QoQ), benefiting from higher other income of INR8b (est. of INR5.8b; -23% YoY, +22% QoQ). Core GRM of USD6.5/bbl was significantly lower than our estimate of USD8.5/bbl. Sub-optimal GRM can be attributed to the ongoing integration...

supported by higher refining and sales volume. Reported EBIDTA and PAT declined by 69% and 72% YoY, respectively mainly due to inventory loss as against gain in Q1FY17....

BPCLs PAT at Rs 7.5 bn was lower than our estimate of Rs 16 bn due to lower marketing business profits. Gross marketing margin (unadj. for inventory gain) declined 24% from FY17 level, while clean margin remained flat (vs. expected 5-6% growth).

BPCL came out with disappointing set of numbers in Q1FY18 led by lower than expected GRM and higher than expected other expenses due to one-time LNG cost. Crude throughput increased 3.5% YoY to highest-ever 6.4mmt. However, sales volume remained flattish YoY to 10mmt while other OMCs had reported growth. Kochi is gradually stabilizing and management expects it to operate at utilization of 70%-80% in Q2 and over 90% in Q4FY18 onwards. Higher utilization at Kochi would drive growth but reducing market share in diesel is a cause for concern. We are keeping TP unchanged at Rs500. Maintain HOLD....

BPCL net sales rose 22% to Rs 57125.8 crore for the quarter ended June 2017 compared to corresponding previous year period. This included subsidy from the government of Rs 196.75 crore down 36% on a y-o-y basis. Excluding compensation from the government sales of the company rose 22% to Rs 56929.05 crore. OPM of the company fell 620 bps to 2.1%. %. As a result operating profits fell 69% to Rs 1225.04 crore. Cost of material consumed as a percentage to net sales (net of stock adjustments) rose 150 bps to 31.4%, other expenditure increased 10 bps to 6.1%, staff cost was up 20 bps at 1.5% and purchase of stock in trade increased 390 bps to 58.8%....

Bharat Petroleum Corporation's (BPCL) Q1FY18 results were above our estimates on the topline front. Revenues increased 1.1% QoQ to | 66766.4 crore above our estimate of | 62607.5 crore GRMs were at US$4.9/bbl below our expectation of US$5.4/bbl mainly on account of higher refinery inventory loss of US$2.1/bbl....

BPCL aims to complete Kochi refinery upgradation by July '17, and expects full capacity utilizationin FY19. We expect upgradation to add 8-10% to FY18 EBITDA, driven by (a) improvement in Kochi refinery's GRM by USD 2/bl due to higher distillate yields and reduction in fuel oil production