BPCL Q3FY22 Preview: Revenue seen at Rs 889,262 million, PAT at Rs 35,078 million

28 Jan 2022 , 01:03 PM

Result date: 31^st January, 2022
Recommendation: Buy
Target price: Rs. 550
(Source: IIFL Research)

In line with its peers, Oil marketing company (OMC), Bharat Petroleum Corporation (BPCL) could record robust performance for the quarter ended December 31, 2021. Higher prices of Brent crude and healthy demand could aid both gross refining margins or GRMs as well as volumes for the OMCs. Price hikes will aid marketing margins in the quarter even as volumes could grow at a healthy pace on a sequential basis. Lower price hikes in domestic LPG though could have some impact on the results.

BPCL’s GRMs are estimated to come in at US$6.5/bbl.

Rs. Million	December 2021 estimates
Revenue	889,262
EBITDA	55,587
% change YoY	29%
% change QoQ	24%
PAT	35,078
% change YoY	10%
% change QoQ	30%

Source: Company, IIFL Research