BPCL declares 1:1 bonus share issue, Q4 profit declines 30 percent

New Delhi, May 9:  Bharat Petroleum Corporation Limited (BPCL) on Thursday reported a 30 percent decline in consolidated net profit of Rs 4,789.57 crore for the January-March quarter financial year 2023-24 compared to the corresponding figure of Rs 6,870.47 crore in the same period last year.

The decline in the government owned company's profit comes amid volatile crude oil prices during the quarter which led to an increase in input costs that could not be fully passed on to consumers.

BPCL said its board has recommended the issue of bonus shares in the ratio of 1:1 i.e. one new bonus equity share of Rs 10 each for every one existing equity shares of Rs 10 each fully paid up, subject to the approval of shareholders through postal ballot.

"The Board has fixed Saturday, 22nd June 2024 as Record date to determine the eligibility of shareholders to receive bonus shares," the company said in an exchange filing.

The company's board has also recommended a final dividend of Rs 21 per equity share (pre bonus) for the year 2023-24, which works out to a final dividend of Rs 10.5 per share after the dividend.

BPCL average gross refining margin worked out to $14.14 per barrel for the year ended March 31 this year compared to $20.24 per barrel a year earlier.

The company is "cautiously optimistic" and expects crude oil prices to remain in the range of $83-$87 per barrel in the near-future, BPCL Chairman and Managing Director G. Krishnakumar said.

"We are planning to expand our refining capacity to 45 million metric tonnes per annum and add 4,000 new fuel stations by FY2029," he added.

He also said that BPCL is setting up two petrochemical facilities, which will triple its gas output by fiscal year 2029.