Weak refining margin weighs on 2QFY25

Company
30 Oct 2024
5 Min read 
  • BPCL's financial performance below expectations due to weaker refining margin
  •  Refining throughput and marketing volumes were above estimates
  •  LPG under-recoveries in line with trends, but refining GRM remains soft
  •  Management expects higher LPG losses in 3QFY25
  •  BPCL's debt increased temporarily due to dividend issue and inventory inflation
  •  Valuation at 1.5x FY26E P/B, limited upside from current level
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