MRPL posts ₹945.68 cr profit on ₹471.76 cr gain, tax cut
The refiner swung from a ₹270.66 cr loss a year ago as revenue more than doubled. An exceptional item from retrospective price revisions and a shift to a lower tax rate drove the turn.
— 1 earlier story on Mangalore Refinery And Petrochemicals Ltd. →What's new
- Net profit of ₹945.68 cr vs loss of ₹270.66 cr YoY.
- Exceptional gain of ₹471.76 cr from retrospective price revisions.
- Revenue doubled to ₹41,608.96 cr; effective tax rate cut to 25.168%.
Why this matters
The swing is large but partly one-off. The ₹471.76 cr exceptional from price revisions won't repeat, but the lower tax rate is structural. Operating margins have turned positive; the question is sustainability given refining margin volatility.
What we're watching
- Gross refining margins for Q2 so far.
- Crude price trajectory and its impact on inventory gains.
- Whether the lower tax regime becomes a permanent earnings tailwind.
The full read
MRPL just posted its best quarter in memory: ₹945.68 crore net profit against a ₹270.66 crore loss a year earlier. Revenue doubled to ₹41,608.96 crore. The headline masks two one-time props — a ₹471.76 crore exceptional gain from retrospective price revisions and a structural switch to a 25.168% tax rate. Strip those out and the operating turnaround is still real, but narrower. The stock has a trailing P/E of 14 and market cap of ₹26,978 crore. What changes from here: without the exceptional item, earnings drop by half. The next test is whether refining margins hold up.
Questions answered
- What caused the exceptional gain of ₹471.76 crore?
- Retrospective price revisions on earlier supplies. This is a one-time item and not expected to recur.
- How did the tax change affect net profit?
- MRPL opted for a lower corporate tax rate of 25.168% under the Finance Act, 2026. This reduced the tax provision, boosting net profit.
- Did revenue growth come from volume or prices?
- Revenue more than doubled to ₹41,608.96 crore. The filing does not break down volume vs price, but higher crude prices likely contributed.
- Is this profit level sustainable?
- Partially. The exceptional gain is one-off, but the lower tax rate is structural. Sustainability depends on refining margins and crude differentials.
- How does this compare with our prior coverage?
- We earlier reported a ₹915 crore PAT for the same quarter, likely based on preliminary numbers. The final reported profit is slightly higher at ₹945.68 crore.
Mangalore Refinery And Petrochemicals Ltd.
Latest quarter · Jun 2026
Strength & growth
Story so far
All notes on MRPL →- 15 Jul 2026 · 7:07 PM IST MRPL posts ₹945.68 cr profit on ₹471.76 cr gain, tax cut
- 13d ago MRPL's already-known Q1 results get a routine recap