ONGC subsidiary Mangalore Refinery and Petrochemicals Ltd (MRPL) has reported a net profit of Rs 328 crore in the fourth quarter of 2020-21 as against a loss of Rs 1,629 crore in the corresponding period of previous fiscal.
Gross revenue from operations moved up from Rs 17,545 crore in Q4 FY20 to Rs 20,788 crore in Q4 FY21, the public sector company said in a statement.
It recorded a gross refining margin (GRM) of 6.5 dollars a barrel in the quarter ended March against a negative GRM of 4.52 dollars a barrel in the year-ago period.
GRM is the difference between price of crude and end products like petrol and diesel. The total throughput of refinery stood at 4.03 million tonnes against 3.83 million tonnes.
MRPL said that outbreak of Covid-19 pandemic globally and resultant lockdown in many countries has impacted its business.
Consequently, lower demand for crude oil, petroleum and petrochemical products has impacted the prices and refining margins.
This resulted in declining sales but the capacity utilisation gradually improved subsequently.
"The management has assessed the potential impact of Covid-19 based on current circumstances and expects no significant impact on continuity of operations on long term basis, on useful life of assets and on long-term financial position, though there may be lower revenues and refinery throughput in the near future."
To capture retail margins, MRPL is focused on setting up its own retail outlets, it added.
( With inputs from ANI )
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