MRPL Q2 Profit Soars 195% to ₹1,881 Crore; Declares ₹3 Interim Dividend
Revenue rises to ₹35,590 crore in Q2 FY27; refinery fire and new petrochemical marketing venture remain key developments to watch
Mangalore Refinery and Petrochemicals Limited (MRPL), a subsidiary of Oil and Natural Gas Corporation (ONGC), has reported a sharp rise in standalone net profit to ₹1,880.89 crore for the second quarter of FY 2026-27, compared with ₹638.67 crore in the corresponding quarter of the previous financial year.
The public sector refinery’s revenue from operations increased to ₹35,590.40 crore during the July-September quarter, against ₹25,953.34 crore in Q2 FY26, reflecting a substantial improvement in its financial performance.
The company’s board has also declared an interim dividend of ₹3 per equity share for FY27. The record date for determining eligible shareholders is October 21, 2026, with payment scheduled by November 4, 2026.
Net profit records strong year-on-year growth
MRPL’s standalone net profit rose by approximately 195% year-on-year, supported by higher revenue and an improved operating margin.
The operating margin expanded to 8.82% in Q2 FY27 from 4.93% in the year-ago quarter. The company’s effective tax rate also declined to 25.168% from 34.944%, following the adoption of the lower tax regime under the Finance Act, 2026.
The reduction in the effective tax rate contributed to the improvement in the company’s reported earnings. The performance, however, needs to be assessed alongside operating costs and the impact of recent operational disruptions.
₹118.76-crore charge following refinery fire
MRPL’s quarterly results include an exceptional charge of ₹118.76 crore relating to the fire at its Coker Hydrotreater (CHT) unit in Phase III of the refinery on September 30, 2026.
The company has accounted for losses relating to damaged assets and inventory. The affected assets have been reported as adequately insured, making insurance recovery and restoration of normal operations important developments to monitor in the coming quarters.
The impact of the incident on refinery throughput, product availability and operating performance will be relevant to assessing whether the strong quarterly earnings momentum can be sustained.
MRPL expands petrochemical marketing presence
MRPL has also taken a strategic step towards strengthening its presence in petrochemical marketing through a 25% stake in the newly incorporated ONGC Petrochemicals Marketing Limited (OPML).
The venture, involving ONGC and ONGC Petro additions Limited (OPaL), is intended to strengthen the marketing and distribution of petrochemical products. The initiative could provide MRPL with an additional avenue for business growth and broaden its participation in the petrochemical value chain.
Dividend adds to shareholder returns
The ₹3-per-share interim dividend provides a direct payout to eligible shareholders following the strong second-quarter performance. Shareholders should refer to the company’s official exchange filings for the applicable eligibility and payment details.
MRPL’s Q2 FY27 results mark a significant improvement in profitability and revenue. Going forward, the company’s ability to sustain margins, manage operating costs, restore the affected refinery unit and develop its petrochemical marketing business will be important indicators of its financial and operational trajectory.
