Bharat Petroleum Corporation Ltd. posted better-than-estimated profitability, driven by better marketing volumes and refining/marketing margin, further aided by inventory gains.
The company made huge progress towards privatization in FY21, despite challenges posed by Covid-19, by streamlining its subsidiaries (divested its entire stake in Numaligarh Refinery Ltd., consolidated its stake in Bharat Oman Refineries Ltd., merged Bharat Gas Resources Ltd. with Bharat Petroleum) and sold off its trust shares.
NEW DELHI: The recent rise in
BPCL shares was partly due to expectations of the company announcing strong dividends. The oil marketing company (OMC) did deliver dividends that exceeded analyst estimates.
Analysts now say the larger-than-expected dividend payout could be a sign that the government is getting ready for the much-awaited divestment of the oil PSU. Given the size of the dividend, there would be adjustment in strike prices in options segment of the BPCL stock, they said.
The stock traded about 1% higher at Rs 474 in early trade on Thursday.
The OMC declared a final dividend of Rs 58 per share, including a one-time special dividend of Rs 35 per share. The one-time special dividend declared appears roughly similar to the post-tax gain on the sale of investment in subsidiary Numaligarh Refinery, analysts said, while noting that the total dividend by BPCL for FY21 stood at Rs 79 a share.
Surya Roshni gained 1.18% to Rs 341.85 after the company said it received an order worth Rs 85.53 crore for supplying API coated grade pipes to Bharat Gas Resources.
In a BSE filing made during market hours today, the company said that it had obtained order amounting to Rs. 85.53 crore for supplying API 5L Grade 3LPE coated line pipes to Bharat Gas Resources (BGRL) for BGRL/BPCL City Gas Distribution (CGD) projects in Orissa & Karnataka. The domestic order is to be executed in twelve months.
Surya Roshni manufactures cold rolled steel strips, pipes and tubes, in addition to lamps and other lighting accessories.
Domestic shares further extended gains and hit fresh lifetime high levels in in afternoon trade. All the sectoral indices on the NSE were positive, with the Nifty Pharma index leading the pack.
At 13:20 IST, the barometer index, the S&P BSE Sensex, soared 681.94 points or 1.37% at 50,479.66. The Nifty 50 index surged 206.25 points or 1.41% at 14,854.10.
The Sensex scaled record high of 50,526.39 while the Nifty recorded an all-time high of 14,868.85.
The broader market outperformed the benchmark indices. The S&P BSE Mid-Cap index rose 1.50%. The S&P BSE Small-Cap index gained 1.63%.
Buyers outnumbered sellers. On the BSE, 1,756 shares rose and 1,010 shares fell. A total of 180 shares were unchanged. In Nifty 50 index, 44 stocks advanced while 5 stocks declined. 1 stock remained unchanged.
BPCL board approves buying out stake in Bina refinery manufacturingtodayindia.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from manufacturingtodayindia.com Daily Mail and Mail on Sunday newspapers.