Share price of Hindustan Petroleum Corp Ltd (HPCL) rose in early trade after the oil marketing company announced a two-fold jump in its June quarter net profit. HPCL share price gained 4.02% to Rs 224 against previous close of Rs 216.20 on BSE. Later, the stock closed 1.23% lower at Rs 213.55. The stock trades higher than 100 day moving averages but lower than 5 day, 20 day, 50 day and 200 day moving averages.
HPCL share has fallen 12.69% during one year and declined 19.25% since the beginning of this year. However, the stock has gained 1.18% during a month.
Total 9.53 lakh shares changed hands amounting to turnover of Rs 20.53 crore on BSE. Market cap of the firm stood at Rs 32,541 crore on BSE. HPCL reported over two-fold jump in its June quarter net profit to Rs 2,252.65 crore against Rs 877.48 crore in April-June 2019.
Net profit rose despite sales falling to Rs 45,945.48 crore in first quarter of 2020-21 from Rs 74,595.64 crore a year ago. HPCL earned $0.04 on turning every barrel of crude oil into fuel in Q1 compared to a gross refining margin of $0.75 per barrel during the corresponding previous quarter.
"The Covid-19 pandemic is globally inflicting high economic and human costs causing a slowdown of economic activity. Specific to the Corporation, it did have an impact on the sales in the months of April and May 2020 though substantial recovery is seen in June," HPCL said.