Stock Market Today: Despite good Q3 results and dividend announcements, the price of BPCL shares began lower and fell by as much as 1%. Here's why.
Stock Market Today: Despite good Q3 results and dividend announcements, the price of BPCL shares began lower and fell by as much as 1%.Following the release of the Q3 results after market hours on Wednesday, the share price of Bharat Petroleum Corporation started at ₹284.70 on the BSE on Thursday, a little higher than the previous close of ₹277.70. However, on Thursday morning trading, the price of BPCL's shares fell more than 1% to ₹272.55.
BPCL Q3 findings
For the quarter that ended in December 2025, Bharat Petroleum Corporations Ltd. (BPCL) reported a net profit of ₹4649 crore, up 36.85% year over year from ₹3397.27 crore in the same quarter the previous year. Compared to ₹2,397.23 crore in the preceding quarter that ended in September 2024, the net profit had almost doubled.
Bharat Petroleum Corporations Ltd.'s (BPCL) Q3 FY25 operating revenues of ₹1,27,520.50 crore, however, were marginally less than the ₹1,29,946.95 crore generated in the same period last year.
This Is Why
1. Market volatility
The S&P BSE Sensex dropped by 0.2%, and the benchmark indexes continued to be volatile, which contributed to the reduction in BPCL's share price.
2. Increasing prices for crude
Concerns about the profitability of oil marketing firms like BPCL are being exacerbated by the rising price of crude oil. If retail prices of motor fuels do not increase proportionately, the increasing cost of crude oil affects the marketing margins that the OMCs make. Oil marketing firms make marketing margins by selling motor fuel through retail establishments.
Additionally, oil marketing businesses must pay more on gasoline imports if crude prices rise, and the depreciating rupee is making imports even more expensive. The same results in Oil Marketing Companies needing more operating capital.
3. Falling benchmark refining margins: These margins are being impacted by the increased tariff fears.
Bharat Petroleum Corporations Ltd.'s (BPCL) Q3 FY25 operating revenues of ₹1,27,520.50 crore, however, were marginally less than the ₹1,29,946.95 crore generated in the same period last year.
This Is Why
1. Market volatility
The S&P BSE Sensex dropped by 0.2%, and the benchmark indexes continued to be volatile, which contributed to the reduction in BPCL's share price.
2. Increasing prices for crude
Concerns about the profitability of oil marketing firms like BPCL are being exacerbated by the rising price of crude oil. If retail prices of motor fuels do not increase proportionately, the increasing cost of crude oil affects the marketing margins that the OMCs make. Oil marketing firms make marketing margins by selling motor fuel through retail establishments.
Additionally, oil marketing businesses must pay more on gasoline imports if crude prices rise, and the depreciating rupee is making imports even more expensive. The same results in Oil Marketing Companies needing more operating capital.
3. Falling benchmark refining margins: These margins are being impacted by the increased tariff fears.
Due to higher marketing margins, the massive oil refining company Bharat Petroleum Corp. Ltd. achieved excellent operating performance for the third quarter of FY25. Compared to the same period last year, when it was $14.72/barrel, the average gross refining margin (GRM) dropped to $5.95/barrel in 9MFY25. Throughput was hampered by the refineries' brief stoppage. The duration of the recovery and the sustainability of the marketing margins will determine how well the business performs. We will keep a careful eye on any government initiatives that can have an immediate or medium-term impact on the company's financial performance, given the drop in gasoline use and the unstable price of crude oil. stated Akriti Mehrotra, StoxBox Research Analyst
Details of the BPCL Dividend
In addition to reviewing and approving financial results, the Board of Directors announced an interim dividend of Rs. 5 per equity share of face value Rs. 10 each, or 50%, for the fiscal year 2024–2025 at its meeting on January 22, 2025. The record date for assessing a shareholder's eligibility to receive the aforementioned interim dividend is January 29, 2025. The dividend will be distributed to stockholders by February 20, 2025, according to the company's statement.
Details of the BPCL Dividend
In addition to reviewing and approving financial results, the Board of Directors announced an interim dividend of Rs. 5 per equity share of face value Rs. 10 each, or 50%, for the fiscal year 2024–2025 at its meeting on January 22, 2025. The record date for assessing a shareholder's eligibility to receive the aforementioned interim dividend is January 29, 2025. The dividend will be distributed to stockholders by February 20, 2025, according to the company's statement.
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