Mangalore Refinery And Petrochemicals
Stock Snapshot
Price Performance
Vista Outlook
Basis of our Recommendation
Mangalore Refinery and Petrochemicals Limited (MRPL) is navigating a complex landscape characterized by rising crude prices and geopolitical tensions, which have pressured margins despite a recovery in revenue growth. Management's focus on operational resilience and strategic initiatives, such as expanding retail outlets and transitioning towards sustainable refining, positions the company for long-term growth. The recent emphasis on digital optimization and energy efficiency aligns with Vista's forecast of stable production levels and cautious margin recovery. While the company faces near-term challenges, including the impact of the Special Additional Excise Duty on profitability, the outlook remains supported by improving pricing power and strong demand for petroleum products. Vista's financial outlook anticipates an expected upside of approximately 82%, with a target price of INR 321.29 over the next 12 months. However, investors should remain vigilant regarding geopolitical risks and supply chain disruptions that could impact profitability. Over the next 12-24 months, key opportunities include the development of specialized products and infrastructure investments, while headwinds may arise from fluctuating crude prices and regulatory pressures
Why We Like This Stock
- Management's focus on expanding retail outlets serves as a hedge against export market volatility
- The transition towards sustainable refining and digital optimization enhances operational efficiency
- Strong demand for petroleum products and improving pricing power support revenue growth
Things To Watch Out For
- Rising crude prices and geopolitical tensions are exerting pressure on margins
- The Special Additional Excise Duty is impacting near-term profitability
- Fluctuating global oil prices and regulatory challenges pose ongoing risks
Key Parameters
Financial Snapshot
View Technicals Analysis →| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 90,407 | 94,682 | 88,667 | 139,997 | 172,962 |
| Profit Before Tax (Cr.) | 5,675 | 125 | 4,015 | 6,646 | 9,243 |
| PBT Margin | 6.3% | 0.1% | 4.5% | 4.7% | 5.3% |
| Net Profit (Cr.) | 4,657 | 106 | 3,310 | 5,482 | 7,625 |
| Earnings Per Share | 26.6 | 0.6 | 18.9 | 31.3 | 43.5 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| Choice Equity | ▲ Buy | 215 | 17-Jul-2026 |
| Kotak Securities | ▼ Sell | 144 | 17-Jul-2026 |
| Prabhudas Liladhar | ► Hold | 150 | 16-Jul-2026 |
| Elara Capital | ► Accumulate | 214 | 26-Apr-2026 |
Company Overview
Show Company Profile
Mangalore Refinery and Petrochemicals Limited engages in refining of crude oil in India and internationally. The company offers bitumen, high speed diesel, MS, Xylol, PetCoke, Sulphur, paraxylene, benzene, heavy aromatics, paraffinic raffinate, reformate, toluene, mineral turpentine oil, and other products, as well as LPG, naphtha, toluene, SKO, and furnace oil; and petrochemical products, such as polypropylene. It also exports its products. The company was incorporated in 1988 and is based in Mangalore, India. Mangalore Refinery and Petrochemicals Limited operates as a subsidiary of Oil and Natural Gas Corporation Limited.