Hindustan Petroleum Corporation Limited (HPCL) announced its financial results for the quarter and nine months ended December 31, 2025, reporting a robust performance led by strong refining margins, higher throughput, and steady growth in marketing volumes. The company delivered sharp profitability growth, improved operational efficiency, and made significant progress on strategic infrastructure and energy transition initiatives.
Financial Highlights: Profitability Surges Across Standalone and Consolidated Results
HPCL recorded a sharp year-on-year rise in profitability during the nine-month period, reflecting improved refining economics and disciplined execution.
*Standalone Profit After Tax (PAT) increased 206% to ₹12,274 crore in 9M FY26
*Consolidated PAT rose 261% to ₹11,982 crore in 9M FY26
*YoY PAT growth stood at 206% for 9M FY26 and 35% for Q3 FY26
Revenue from operations remained resilient:
*9M FY26: ₹354,941 crore
*Q3 FY26: ₹124,483 crore
Meanwhile, Gross Refining Margin (GRM) strengthened significantly:
*9M FY26: US$ 6.91 per barrel
*Q3 FY26: US$ 8.85 per barrel
HPCL also continued to deleverage its balance sheet, reducing its Standalone Debt-Equity ratio to 0.89, compared with 1.07 as of September 30, 2025.
Refining Operations: Record Throughput and Higher Complexity
HPCL’s refineries delivered their highest-ever crude throughput of 19.61 MMT during 9M FY26, marking a 5.8% YoY increase.
*Visakh Refinery processed 12.15 MMT, operating at 108% of its enhanced capacity
*Mumbai Refinery recorded 7.46 MMT, operating at 104% of nameplate capacity
During Q3 FY26, combined refinery throughput stood at 6.38 MMT, supported by strong utilisation levels across both locations. Additionally, HPCL processed two new crude grades during the quarter, taking the total to seven new grades in 9M FY26—enhancing feedstock flexibility.
Marketing Performance: Steady Volume Growth Across Key Fuels
HPCL continued to expand its marketing footprint, recording 3.6% YoY growth in sales volumes during 9M FY26.
*Total Sales (9M FY26): 38.45 MMT
*Domestic sales growth: 2.9%
*Petrol and Diesel sales: 23.28 MMT
*Total LPG sales: 7.12 MMT
In Q3 FY26, sales volumes reached 13.34 MMT, with LPG sales growing nearly 9% YoY. Pipeline throughput also remained strong, supporting logistics efficiency across the network.
Strategic Investments: Capex Focused on Future-Ready Assets
HPCL continued to invest aggressively in strengthening its core infrastructure.
*Capex in Q3 FY26: ₹4,976 crore
*Capex in 9M FY26: ₹11,094 crore
These investments focused on refining upgrades, marketing infrastructure, subsidiaries, joint ventures, and operational efficiency improvements.
RUF Commissioning Marks a Milestone in Advanced Refining
A key highlight of the period was the commissioning of the Residue Upgradation Facility (RUF) at Visakh Refinery—Bharat’s first hydrogen-based residue hydrocracking unit.
*Built on LC-Max technology, the facility has a capacity of 3.55 MMTPA
*Enables ~93% conversion of bottom-of-the-barrel residues into high-value products
*Enhances the refinery’s ability to process heavier crudes
*Improves the Nelson Complexity Index to 11.6
The state-of-the-art facility significantly boosts value recovery while minimizing residue generation.
Project Progress: Rajasthan Refinery and Aviation Fuelling Expansion
At HPCL Rajasthan Refinery Limited (HRRL), physical progress has crossed 90%, with crude oil already received in tanks. Crude-in for the CDU is expected by the end of January 2026. Meanwhile, HPCL commenced aviation fuel operations at Navi Mumbai International Airport, increasing its total ASF locations to 59.
Network Expansion: Retail, LPG and CGD Growth
HPCL expanded its customer reach through steady network additions:
*Retail outlets commissioned in Q3 FY26: 321 (Total: 24,572)
*New LPG distributors added: 5 (Total: 6,389)
CGD network expansion:
*793 inch-km of steel pipeline
*194 km of MDPE pipeline
*12,457 new domestic PNG connections
New Initiatives: Digital, Innovation and EBITDA Improvement
HPCL continued to strengthen its digital and innovation-led initiatives.
*Project Samriddhi delivered ₹1,267 crore in EBITDA improvements during 9M FY26
*HP Pay loyalty app reached 3.1 million active users, generating ₹2,819 crore in YTD sales
*HPGRDC filed 700 patents, with 302 granted as of December 31, 2025
Sustainability and Energy Transition Gains Momentum
HPCL advanced its energy transition agenda across renewables and cleaner fuels. HPCL Renewable & Green Energy Ltd. installed 1 lakh solar panels.
Retail energy transition:
*65 new CNG outlets added in Q3 FY26
*248 additional solarised retail outlets, taking renewable-powered outlets to 94%
As per the press release, the company also commenced trial co-processing of Used Cooking Oil (UCO) at Visakh Refinery, marking a key step toward Sustainable Aviation Fuel (SAF) production.
Awards and Industry Recognition
During the quarter, HPCL received multiple national and international recognitions, including:
*CII Digital Transformation Awards 2025 for DriveTrack Plus
*Gold Award at MartechAI Awards 2025 for loyalty innovation
*Sarvshreshtha Suraksha Puraskar – Gold Trophy for MDPL pipeline safety
*Best Innovation in R&D Award for HP-COAT Technology
*Highly Commendable Human Energy Health and Wellbeing Award at ADIPEC 2025.
