MRPL records ₹35.84 cr profit in Q2

A J Vinayak Mangaluru | Updated on October 29, 2020 Published on October 29, 2020

Mangalore Refinery and Petrochemicals Ltd (MRPL) registered a net profit of ₹35.84 crore in the second quarter of 2020-21, as against a loss of ₹574.45 crore in the corresponding period of the previous fiscal.

The company had recorded a loss of ₹519.86 crore in the first quarter of 2020-21.

The board of MRPL, which met on Thursday to consider the unaudited financial statements for second quarter and first half of 2020-21, informed the stock exchanges that the meeting approved raising funds of up to ₹5,000 crore through issue of non-convertible debentures (NCDs).

The total income of the company stood at ₹9715.10 crore during the Q2 of 2020-21 as against ₹15281.12 crore during the second quarter of 2019-20.

Notes to the standalone financial results said that crude throughput for the half year was significantly lower due to lower demand for petroleum products on account of Covid pandemic. The capacity utilisation gradually improved during the second quarter as compared to the previous quarter of current financial year.

It said that the management has assessed the potential impact of Covid based on the current circumstances and expects no significant impact on the continuity of the operations of of the business on long-term basis.

As regards the recoverability of assets and financial resources, performances of contractual liability and obligations, and ability to service the debts and liabilities, the company expects to fully recover the carrying amounts of the assets and comfortably discharge its debts and obligations, it said.

The company is positive on long-term business outlook as well as its financial position. However, the company is closely monitoring any material changes to future economic conditions, it added.

On Thursday, the scrip of MRPL closed at ₹28.15 on BSE, down 0.71 per cent, against the previous close of ₹28.35.

A late evening press release said that the throughput at the refinery during the second quarter was at 2.52 million tonnes (3.68 million tonnes).

The GRM (gross refining margin) of the refinery for the second quarter of 2020-21 stood at $3.85 a barrel as against $0.68 a barrel in the corresponding quarter of the previous fiscal. (GRM is the difference between the price of crude and the end products such as diesel, petrol, etc.)



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Published on October 29, 2020
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