Bharat Petroleum Corporation Ltd. share price target

Bharat Petroleum Corporation’s (BPCL) Q1FY23 standalone EBITDA loss of Rs 59.1bn
and a net loss of Rs 62.9bn was the worst in the company’s history and missed our
estimates of EBITDA loss of Rs 14.7bn and net loss of Rs 18.9bn by a wide margin.

Bharat Petroleum Corporation Ltd is one of India's leading oil & gas companies. It operates refineries located in Kochi, Mumbai, Bina and Numaligarh. The company's marketing infrastructure consists of...

GRM was higher than expected at US$9.7/bbl (our estimate: US$5.7/bbl). Marketing segment reported inventory loss of | 1423 crore. Subsequently, EBITDA was | 4213 crore, down 5.9% QoQ (estimate: | 4741.2 crore) PAT was at | 2462.4 crore, down 8.6% QoQ (estimate: | 2829.1 crore) What should investors do? BPCL's GRM improved during Q3FY22 and is likely to...

We increase our FY22/23E earnings by ~9% to factor in improving refining margin environment led by 1) recovering global economy and 2) shift from gas to oil, given spike in global spot LNG prices. BPCL Q3 results with EBIDTA/PAT of Rs42.1bn/24.6bn were impacted by excise duty cuts on petrol and diesel which impacted earnings by Rs14.2bn. Operational performance...

Downstream Petroleum segment fell from 4.58% to 3.20%. PBIT margin of Exploration & Production of Hydroca segment fell from negative 613.16% to negative 1,026.75%. Overall PBIT margin fell from 4.46% to 2.90%. Provision for interest rose 91.32% to Rs 660.82 crore. PBDT fell 13.53% to Rs 5051.11 crore. Provision for depreciation rose 24.13% to Rs 1331.64 crore. Profit before tax down 22.01% to Rs 3,719.47 crore. Extraordinary items were increased to Rs -371.35 crore. Provision for tax was expense of Rs 993.84 crore, compared to Rs 1657.88 crore. Effective tax rate was 26.16%...

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