20-07-2025
MRPL incurs Rs272 cr loss in Q1
Mangaluru: MangaloreRefinery and Petrochemicals Ltd (MRPL), the ONGC-owned refining major, posted a consolidated net loss of ₹272 crore in the first quarter of FY26, as softening refining margins and lower revenue from operations weighed on its performance.
The company's topline fell sharply to ₹20,988 crore, down nearly 23% from ₹27,289 crore in Q1 FY25. Its Gross Refining Margin (GRM) slipped to US$ 3.88 per barrel, compared to US$ 4.70 per barrel a year ago, amid weaker product cracks and planned maintenance shutdowns.
Despite the operational headwinds, MRPL achieved a new milestone by processing 1,512 TMT of crude oil in April 2025, the highest for the month in its history. However, overall throughput for the quarter stood at 3.52 MMT—down from 4.35 MMT last year—due to the shutdown of key units in its Phase-2 complex.
Standalone EBITDA for the quarter stood at ₹218 crore (vs ₹650 crore YoY), with the company slipping into a pre-tax loss of ₹403 crore. Consolidated Profit After Tax attributable to shareholders was negative ₹271 crore, against a profit of ₹73 crore in Q1 FY25.
Analysts attribute the weak quarter to global refining market volatility, inventory losses, and planned turnarounds. 'The planned shutdown likely affected volumes, and lower GRMs have compressed margins,' an industry observer said.
MRPL, a Mini Ratna PSU, plays a critical role in meeting India's petroleum product demand, particularly in the southern markets. The company's performance in the coming quarters will hinge on product spread recovery and full-capacity operations post-maintenance.
