Mangalore Refinery And Petrochemicals
Stock Snapshot
Price Performance
Vista Outlook
View Technicals Analysis →Basis of our Recommendation
Mangalore Refinery and Petrochemicals Limited (MRPL) is navigating a complex landscape characterized by rising crude costs and geopolitical tensions, yet management's strategic initiatives position the company for future growth. Recent earnings calls highlight MRPL's operational resilience, with a focus on expanding its retail footprint and enhancing logistics capabilities, which are expected to drive revenue growth and margin recovery over the next 12-24 months. Despite facing near-term margin pressures due to elevated crude prices and the Special Additional Excise Duty, the company's proactive approach to infrastructure development and green energy transition, including SAF certification, supports a positive long-term outlook. Vista's financial forecast reflects an early recovery in revenue, with stable margins anticipated as the company capitalizes on favorable market conditions. The overall industry context, marked by improving pricing power and a stable cyclicality profile, further reinforces MRPL's growth potential. Key opportunities include the expansion of specialized products and retail outlets, while headwinds consist of ongoing geopolitical risks and fluctuating crude prices. Overall, MRPL's strategic focus and operational excellence provide a solid foundation for future value creation
Why We Like This Stock
- Management's focus on expanding retail outlets and logistics capabilities is expected to enhance revenue growth
- The company's strategic pivot towards integrated refining and marketing supports long-term value creation
- Improving pricing power within the industry provides a favorable environment for margin recovery
Things To Watch Out For
- Elevated crude prices and the impact of the Special Additional Excise Duty are pressuring margins in the near term
- Geopolitical tensions continue to introduce volatility in procurement costs and operational stability
- The company's reliance on future projects for growth may pose risks if timelines are delayed
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 90,407 | 94,682 | 88,667 | 141,064 | 154,089 |
| Profit Before Tax (Cr.) | 5,675 | 125 | 4,015 | 8,659 | 9,713 |
| PBT Margin | 6.3% | 0.1% | 452.8% | 6.1% | 6.3% |
| Net Profit (Cr.) | 4,657 | 106 | 3,310 | 7,143 | 8,013 |
| Earnings Per Share | 26.6 | 0.6 | 18.9 | 40.8 | 45.7 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| Choice Equity | ▲ Buy | 215 | 17-Jul-2026 |
| Elara Capital | ► Accumulate | 214 | 26-Apr-2026 |
| Kotak Securities | ▼ Sell | 144 | 17-Jul-2026 |
| Prabhudas Liladhar | ► Hold | 150 | 16-Jul-2026 |
Company Overview
Show Company Profile
Mangalore Refinery and Petrochemicals Limited engages in the manufacture and sale of refined petroleum products in India. The company produces and sells bitumen, Xylol, high speed diesel, xylol, pet coke, sulphur, and motor gasoline, as well as polypropylene and other products. It also sells petrochemical products, such as aromatic products comprising paraxylene, benzene, heavy aromatics, paraffinic raffinate, reformate, and toluene. In addition, the company operates retail outlets. It also exports its products. Mangalore Refinery and Petrochemicals Limited was incorporated in 1988 and is based in Mangalore, India. Mangalore Refinery and Petrochemicals Limited is a subsidiary of Oil and Natural Gas Corporation Limited.