Oil industry india oil cop.
Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) together posted a combined net profit of Rs 16,184 crore in Q1 of FY26 — more than two-and-a-half times higher than a year earlier, according to regulatory filings, PTI reported
Refining performance also favoured BPCL, which reported a gross refining margin (GRM) of $4.88 per barrel compared to $2.15 for IOC and $3.08 for HPCL. Its refinery run rate stood at 118% of installed capacity, against IOC’s 107% and HPCL’s 109%.
According to brokerage ICICI Securities, fuel retailers earned margins of Rs 10.3 per litre on petrol (up from Rs 4.4 a year earlier) and Rs 8.2 per litre on diesel (up from Rs 2.5). The extraordinary marketing margin came even as input crude oil prices dropped 21% and global product benchmarks fell 16–18%.
The gains helped offset heavy inventory losses, with IOC alone booking Rs 6,465 crore in Q1, compared with a gain of Rs 3,345 crore last year. Adjusted for this, IOC’s GRM would have been $6.91 per barrel, up from $2.84 a year ago. HPCL reported a Rs 2,000 crore inventory loss in the quarter.
Losses on LPG sales remained unresolved as subsidy reimbursements are yet to be finalised. Though the government has announced a Rs 30,000 crore package to cover cooking gas under-recoveries, the firms continued to bear the burden in Q1 — Rs 3,719 crore for IOC, Rs 2,076 crore for BPCL and Rs 2,148 crore for HPCL.
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