BPCL is Bharat Petroleum Corporation Limited. It is an oil and gas company that is owned by the Indian Government.
*Note: Prices that are specified above is based on INR
BPCL Historical Share Price (NSE)
As of March 2018, BPCL has a market capitalisation of over Rs.100,500 crore.
Wealth and recent performanceQ1 Results, FY19
From the unaudited standalone financial results for the quarter ending June 2018, we can see the following:
- With regard to revenue from operations, it can be seen that it increased from Rs.76,066.96 crore in the previous quarter to Rs.82,430.93 crore in the current quarter.
- The other income of the company decreased to Rs.548.03 crore in the first quarter of FY19 compared to the last quarter of FY18 during which the other income of the company was Rs.832.93 crore.
- The total income of the company for the current quarter was Rs.82,978.96 crore, up from Rs.76,899.89 crore in the previous quarter.
- The total expenses of the company rose to Rs.79,596.70 crore in the current quarter, up from Rs.73,306.03 crore in the previous quarter.
- The profit for the first quarter of FY19 was Rs.2,293.26 crore. This was a decrease from the profit in the previous quarter, pegged at Rs.2,673.64 crore.
- The total comprehensive income for the Q1 in FY19 was Rs.2,327.39 crore, down from Rs.2,534.26 crore in the Q4 of the FY18.
Annual Performance Report for the Financial Year 2017–2018
From the annual report released by the company, we can see the following:
- The crude output of the company increased to 28.54 MMT in the FY18 from 25.39 MMT in the FY17.
- The company’s market sales increased from 37.68 MMT in FY17 to 41.21 MMT in FY18.
- Coming to the financial performance aspect, we can see that the gross revenue generated by operations increased to Rs.2,77,162.23 crore in the FY18, up from Rs.2,42,047.82 crore in the FY17.
- The profit before depreciation, finance costs and tax was Rs.13,429.98 crore in FY17 and this increased to Rs.14,679.74 crore in FY18.
- The total profit before tax increased to Rs.11,198.01 crore in FY18 from Rs.11,042.79 crore in FY17.
- The net profit for the FY17 was Rs.8,039.30 crore and the net profit for FY18 dipped to Rs.7,919.34 crore.
- The total comprehensive income for the FY18 was Rs.7,928.45 crore down from RS.8,171.73 crore in FY17.
From the audited standalone financial results for the quarter ending March 2018, we can see the following:
- The revenue from operations for the company was Rs.76,066.96 crore in the current quarter.
- The other income derived by the company was Rs.832.93 crore in the final quarter of FY18.
- Thus, the total income of the company was Rs.76,899.89 crore.
- The total expenses of the company were pegged at Rs.73,306.03 crore.
- The company’s profit before tax was Rs.3,593.86 crore.
- The company’s total profit for the final quarter of the FY18 was Rs.2,673.64 crore.
- The total comprehensive income derived by the company during the final quarter of FY18 was Rs.2,534.26 crore.
- According to the unaudited financial results for the quarter ended December 2017, the total income of BPCL in the third quarter of the fiscal year 2017–2018 was Rs.70,922.56 crore, which was higher than the total income in the previous quarter which stood at Rs.64,927.71 crore.
- The total income of the company in the third quarter of the fiscal year 2016–2017 was Rs.64,646.70 crore.
- Total expenses increased from Rs.61,475.13 crore in the second quarter of the financial year 2017–2018 to Rs.67,884.55 crore in the third quarter of the same financial year.
- Total expenses in the third quarter of the previous financial year ending 2017 was Rs.61,397.64 crore.
- The profit before tax for the third quarter of the financial year 2017–2018 was Rs.3,038.01 crore and in the previous quarter, the company had profit before tax of Rs.3,452.58 crore. The company also showed a profit before tax in the third quarter of the previous financial year 2016–2017 with a value of Rs.3,249.06 crore.
- Net profit for the company in the third quarter of the financial year 2017–2018 was Rs.2,143.74 crore and in the previous quarter, the company had made a net profit of Rs.2,357.40 crore. In the preceding financial year ending 2016–2017, the company had made a net profit of Rs.2,271.94 crore in the third quarter.
Stock trend in 2018
- In January 2018, BPCL’s stock opened with an average price of about Rs.508. However, within the first week, the stock dipped to below Rs.500. This downward trend continued for the rest of the month and the stock did not cross the Rs.500 mark for the rest of the month. The lowest price of the stock for that month was about Rs.469.
- The beginning of February 2018 saw the stock hike to about Rs.490. However, this hike did not last long and the stock began a downward trend. By 21 February 2018, the stock had dipped to below Rs.450. On 22 February, the company announced a dividend of 140% as an interim dividend. The stock continued to drop with the lowest price for the month being about Rs.426. the stock closed at about Rs.429 at the end of the month.
- In March 2018, the stock appeared to be on an upward trend that was indicative of possible higher prices than the ones seen in the previous month. On the first day of March, the stock opened at about Rs.441 and gained steadily through the first and the second weeks that saw the stock trade at a rate of about Rs.462 by mid-month. The stock decreased in price over the course of the third week of the month. The stock appeared to gain over the course of the final week of the month to close at about Rs.427 at the end of the month.
- At the beginning of April 2018, the share price was about Rs.423. This was a decrease of around Rs.4 from the closing price at the end of the previous month. The stock climbed in price over the course of the first week and about midway into the second week of the month. But by the end of the second week of the month, the stock had declined to about Rs.408. By the end of the third week of the month, the stock had reached a low of about Rs.371. The share then gained a little to close for the month at about Rs.387. This was a huge decrease in price from the original price at the beginning of the month.
- The stock rose through the course of the first two weeks of May 2018 with the stock breaching the Rs.400 mark. The stock again declined but gained a steeply in the last few days of the month to close at about Rs.403 at the end of the month.
- The first three weeks of June 2018 marked a period of growth for the stock with the prices reaching about Rs.426. The stock then declined in price over the course of the final week of the month with a low of about Rs.366. This was quite a steep decrease in prices. The stock closed for the month at about Rs.373.
- The stock rallied during the first two weeks of July 2018 but it did not stay over the Rs.400 value for more than a day. During the last week of the month, the stock stayed between Rs.388 and Rs.399 and the final price for the month was about Rs.389.
- In August 2018, the stock price rose over Rs.400 thrice but eventually, the stock declined in price. The final price for the month was about Rs.362.
Stock History (2016–2017)
- In January 2016, BPCL’s stock was trading at about Rs.298 in the beginning of the month. The stock gained a high of about Rs.310 by mid-month. The stock dipped for the rest of the month, closing at about Rs.297 for the month end. The lowest price for the month was about Rs.289. In February 2016, the stock opened at about Rs.293. On 2 February, 2016, the company announced an interim dividend of 125%. The stock continued to dip for the rest of the month, even dipping below Rs.250 at one point. The stock closed for the month at about Rs.256. March 2016 saw an upward trend in the prices. An interim dividend of 35% was announced by the company on 3 March 2016. By 17 March 2016, the stock had breached the Rs.270 mark and was very close to gaining a price of Rs.290. This eventually happened on 21 March 2016, with the price breaching the Rs.300 mark by the end of the month when it closed at about Rs.301.
- In April 2016, the stock dipped below Rs.300 again, but it was a depreciation of about Rs.5. The stock breached the Rs.300 mark again by 11 April and continued on a strong gain path. The highest value for the month was about Rs.327. The stock closed for the month at about Rs.326. May 2016 saw a dip in prices that continued till about the last week of the month and the lowest price was about Rs.298 after which point it started increasing again. The stock gained steeply, touching about Rs.337 in three days after the lowest price for the month. The stock closed at about Rs.326 for the month. June 2016 saw the stock price never go below Rs.325. A final 150% dividend was announced by the company on 6 June, 2016. By 28 June 2016, the stock had crossed the Rs.350 mark, ending the month at about Rs.357.
- The strong upward trend noticed in June continued in July 2016 too. The stock crossed Rs.360 in this month. On 13 July, 2016, the company announced a bonus with a ratio of 1:1. By 19 July, 2016, the stock had breached the Rs.380 mark. The stock reached a high of Rs.395 around which price the stock closed for the month. August saw the stock begin on a high of about Rs.396. The stock dipped for about three days before gaining steeply, breaching the Rs.400 mark to close on 8 August, 2016, at about Rs.404. The stock then dipped below Rs.400 for the rest of the month, except the last couple of days when it breached Rs.400 again. The stock closed at about Rs.401 for the month. In September, the stock saw a downward trend during which the price dropped even below Rs.380 but gained steadily after that to breach the Rs.400 mark again during the last week of the month. The stock touched a high of about Rs.414 in that month. The stock closed for the month at about Rs.408.
- For most of October 2016, the stock saw a strong upward trend in prices, with the prices remaining either over or close to the Rs.440 mark. The high for the month was about Rs.457. The stock close for the month at about Rs.446. November 2016 saw the stock breach the Rs.450 mark again. The stock nosedived to below Rs.430 within a couple of days in November but gained for a week after that with a high of about Rs.443. The stock dived to about Rs.422 again, but it was a more gradual dip this time around. The stock closed at about Rs.429 for the month. December 2016 saw the price dip to about Rs.419 and go down even further to about Rs.402. The stock appeared to gain after that but it was largely within Rs.420 and the stock touched a low of about Rs.401 that month. The stock breached the Rs.420 mark again around the end of the month at which point it closed at about Rs.423.
- January 2017 saw the stock on an upward trend with a high of about Rs.474 and the stock closed at about Rs.454 at the end of the month. In February, the stock fluctuated quite a bit, with a high of about Rs.484 and a low of about Rs.446. The stock gained again to reach a high of about Rs.478 but the stock closed for the month at about Rs.446. An interim dividend of 195% was announced by the company. In March 2017, the stock continued to drop, with a low of about Rs.415. The stock gained again, but not by much to end the month at about Rs.433. A special dividend of 120% was announced on 24 March, 2017.
- The stock gained throughout April 2017 to reach a high of about Rs.492. The stock closed at about Rs.479. In May 2017, the stock was consistently above the Rs.475 mark for the first two weeks. The stock dipped in the third week but gained again almost immediately with a high of about Rs.503 for the month and the stock closed at about Rs.495 at the end of the month. In June 2017, the stock opened at about Rs.492 and dipped steadily throughout the month to end at about Rs.426. This was a large decrease in price considering that it happened within the span of a month. A final 10% dividend was announced by the company on 8 June 2017.
- In July 2017, the stock saw a steady upward increase and within the month touched about Rs.471. The high for the month was about Rs.477. On 13 July, 2017, a bonus with a ratio of 1:2 was announced by the company. August 2017 also a saw a strong performance from the company with the stock staying above Rs.500 for quite some time, even though it did dip once to below Rs.500. By the end of the month, the stock closed at about Rs.529. In September, the stock stayed over Rs.500 for about nineteen days and dipped after that to end the month at about Rs.471.
- October 2017 saw a sharp spike in prices, with the price never dropping below Rs.470. The stock closed for the month at a high of about Rs.541. November saw the trend continue but the stock dipped to below Rs.500 by the end of the second week of the month. The stock gained again and stayed above Rs.500 for the most part, ending the month at about Rs.503. December also saw the stock dip below Rs.500 but it was not a steep decrease. The stock remained at over Rs.500 for the most part and touched a high of about Rs.538 and ended the month at about Rs.517.
Should one invest in BPCL?
- BPCL is a Maharatna company from September 2017, indicating that it is one of the best public sector companies to invest in.
- The company has a proven past performance record.
- It has recorded high year-on-year growth.
- The company has expanded its product range to include all products used by automobiles, from the fuel to the lubricants.
- The company has found natural gas reserves located off the coast of Mozambique.
- The company has located oil deposits located off the coast of Indonesia.
- The company has identified hydrocarbon reserves in Brazil.
- The company discovered hydrocarbon deposits in inland Tamil Nadu, India.
- Through a partnership with ONGC, BPCL discovered Gas deposits in the Cauvery Basin in India.
- All the oil and gas discoveries will only serve to increase the refining capacity of the company, leading to more revenue and profits.
- The company has a good history of dividend payouts. The company has also issued bonuses somewhat regularly.
- While all of these are indicators of good performance in the past and indicative of better performance in the future, it would be best to invest in BPCL stocks after personal research based on personal financial information and risk appetite.
Bharat Petroleum is headquartered in Mumbai, India. This is a state-controlled company. The Indian Government is the owner. As of 2016, it was considered the 358th biggest company in the world in a list of the world’s 500 biggest companies as compiled by Forbes. It has two major refineries, one at Mumbai and the other at Kochi. The company is also involved in distribution of its own brands of LPG, aviation fuel, automobile lubricants, and natural gas. Its lubricant division produces automobile lubricants for diesel vehicles, petrol vehicles and two- and three-wheelers. Yet another product offered by Bharat Petroleum is ‘Bharat Iftex’ which is a multi-functional additive. This was developed through the collaboration between Bharat Petroleum Corporation Limited and Iftex Petrochemicals Limited. Bharat Petroleum Corporation Limited operates on the international stage too, making a number of oil field discoveries in different countries including Brazil and Mozambique.
The history of Bharat Petroleum Corporation Limited began with the Burma Oil Company that was incorporated in Scotland in 1886. This company was a dominant player in South Asian oil market. In the meantime, three companies, Royal Dutch, Shell, and Rothschild’s formed a company called Asiatic Petroleum. The three companies formed Asiatic Petroleum in order to counter the influence of the biggest oil company at that time, Standard Oil, run by Rockefeller. In 1928, the Indian wing of Asiatic Petroleum joined with Burma Oil Company to form the Burmah-Shell Oil Storage and Distributing Company of India Limited. Initially, this new company focused on the import and marketing of kerosene. In 1952, Burmah Shell Refineries Limited was incorporated as a private limited company under the Indian Companies Act. In 1976, the Government of India took over control of Burmah Shell and formed Bharat Refineries Limited. In 1977, the company was renamed as Bharat Petroleum Corporation Limited.
Mr. D. Rajkumar is the Chairman and Managing Director of BPCL. There are four Directors, two Government Directors, and eight Independent Directors. The four Directors head different divisions. Mr. S Ramesh is the Director of Marketing, Mr. R. Ramachandran is the Director of Refineries, Mr. K. Shivakumar is the Director of Finance, and Mr. K. Padmakar is the Director of Human Resources. The two Government Directors are Mr. Paul Antony and Mr. Rajiv Bansal.
BPCL’s shares are traded on the BSE and the NSE.
BSE: 500547; NSE: BPCLEQ; ISIN code: INE029A01011; Sector: Petroleum; Industry: Refineries
Other than these, the company is also listed on the Bangalore Stock Exchange Limited, Cochin Stock Exchange Limited, et cetera.
BPCL also forms a part of indices like, the Nifty 100, Nifty LargeMidcap 250, S&P BSE 500, et cetera.
Bharat Bhavan, 4 and 6 Currimbhoy Road, Ballard Estate, Mumbai – 400001, India.
Tel: 022 – 22713000; 022 – 22714000
Fax: 022 – 22713874
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