New Delhi: Mangalore Refinery and Petrochemicals Limited (MRPL), a subsidiary of ONGC and a Schedule “A” Mini Ratna Category I Company, recently announced its impressive financial results for the second quarter (Q2) of the fiscal year 2023-24, ending on September 30, 2023. The company's 259th Board of Directors meeting held on October 31, 2023, revealed significant achievements and financial highlights that are worth noting.
Operational Milestones:
In the month of July 2023, MRPL set a new record with its highest-ever gross crude throughput of 1,438.5 TMT, surpassing its previous record set in July 2019. Additionally, the company achieved its highest Reformate dispatch of 102.2 TMT in July 2023, along with a remarkable production of 195 TMT of MS-VI in August 2023. MRPL also accomplished its highest domestic dispatch of MS-VI with 188 TMT in July 2023.
During August and September, MRPL underwent mandatory maintenance and inspection shutdown of Phase-III Refinery, which was successfully completed. Another remarkable achievement for MRPL is becoming the first Indian refinery to be certified with AS9100D:2016 for the production, certification, and distribution of Aviation Turbine Fuel (ATF).
The company also received several prestigious awards, including the Government e-Market (GeM) Star Buyer Award, Dun & Bradstreet Award for Best Mini Ratna across all sectors, and the Best Innovation in Refinery award in Energy Technology Meet 2023, among others.
Financial Highlights:
In terms of financial performance, MRPL reported revenue from operations of 22,844 Crore for Q2 FY 2023-24, with a profit before tax of 1,606 Crore, and a profit after tax of `1,059 Crore. This marks a significant turnaround from the previous year when the company reported losses. The Gross Refining Margin (GRM) also showed remarkable improvement, standing at 17.11 $/bbl.
For the half-year (H1) FY 2023-24, MRPL achieved a revenue from operations of 47,676 Crore, with a profit before tax of 3,164 Crore and a profit after tax of `2,072 Crore, demonstrating substantial growth in profitability.
Importantly, MRPL reduced its interest-bearing long-term borrowings by `2,158 Crore during Q2 FY 2023-24, further strengthening its financial position. The debt-equity ratio improved significantly from 2.24 as of September 30, 2022, to 1.17 as of September 30, 2023.
Strategic Initiatives:
MRPL has ambitious plans to expand its retail marketing footprint and reduce its reliance on exports by growing its retail business under the HiQ brand. The company aims to achieve a sales target of 1 Million Metric Tons (MMT) in the next 3 to 5 years. MRPL is also strategically exploring opportunities in the field of green fuels and conducting studies for future expansion configurations to enhance its profitability in line with the evolving energy landscape.
In summary, MRPL's remarkable performance in Q2 FY 2023-24, both operationally and financially, underscores its commitment to excellence and innovation. The company's strategic initiatives demonstrate its proactive approach in adapting to the changing energy industry, making MRPL a noteworthy player in the Indian petroleum and refinery sector. /BI/
