Hindustan Petroleum Corporation (HINDPETRO) Q4 98/99 earnings summary

Executive summary

• FY1998-99 delivered record turnover of Rs. 25,994.56 crore and net profit of Rs. 901.26 crore; MOU performance rated “Excellent.”

• Market sales reached 16.98 million tonnes, up 6.13% YoY, retaining a 20% market share.

Financial highlights

• Turnover rose 26.72% YoY to Rs. 25,994.56 crore; profit after tax increased 28.54% to Rs. 901.26 crore.

• Profit before tax was Rs. 1,280.56 crore; profit before depreciation, interest and tax was Rs. 1,804.05 crore.

• Internal resources generated reached Rs. 1,029.80 crore, versus Rs. 971.45 crore in FY1997-98; duties and taxes contributed to the exchequer totaled Rs. 6,576.98 crore.

Outlook and guidance

• Nearly Rs. 10,000 crore of investment was planned for the IX Plan period, including refinery modernization and expansion, pipelines, marketing infrastructure, product upgrades and JVs.

• Visakh Refinery expansion from 4.5 to 7.5 MMTPA was expected to complete by September 1999; diesel desulphurisation projects at both refineries were scheduled for mechanical completion by June 1999.

• Business process re-engineering was underway across marketing, refining, finance, HR and IT to strengthen competitiveness in a deregulated market.