MRPL in the red
MRPL, for Q4FY20 posted a net loss of Rs.1596 crore and a negative GRM of $4.52/barrel v/s positive GRM of $ 5.01 $/bb. The company said that the fall in demand due to the lockdown impacted the earnings.
The gross turnover of the company stood at Rs.17,540 crore (?17,744 crore).
Exports were almost halved at Rs.3,105 crore (Rs.6,955 crore).
The total throughput of the refinery stood at 3.83 million tonnes in the Q4 of 2019-20 as against 4.29 million tonnes (YoY).
On future outlook, the company said that the lockdown is continuing into FY21 and it is continuing its operation with current lower demand and margins as these products are falling under essential goods and services.
The management is expecting that demand for products will improve on post-removal of lockdown on stabilisation of Covid-19. The management has assessed the potential impact of Covid-19 based on the current circumstances and expects no significant impact on the continuity of operations of the business on long-term basis / on useful life of the assets / on long term financial position etc., though there may be lower revenues and refinery throughput in the near future.
The stock, which had closed yesterday at Rs.33.30, opened lower today at Rs.32.90 and went down to its intraday low at Rs.31.25. The stock is in red but the fall has not been as expected given the fact that lockdown is slowly being lifted across the country and demand for fuel will only go up.