StocksMedium•22 October 2026•
1 min read
HPCL Q2 Net Profit Drops 9% as Rising Crude Costs and Taxes Weigh on Margins
Key Facts
1HPCL reported a 9% drop in Q2 net profit to ₹3,483 crore, driven by higher tax expenses and rising crude oil prices.
2Total expenses climbed 25.9% to ₹1.33 trillion as raw material costs jumped 24.3%.
3Product sales rose 26.2% to ₹1.39 trillion despite the decline in overall profitability.
HPCL reported a 9% drop in second-quarter net profit to ₹3,483 crore. Reuters reported that the decline was driven by higher tax expenses and rising crude oil prices that squeezed the fuel retailer's margins. Despite the drop in profitability, product sales grew by 26.2% to reach ₹1.39 trillion for the quarter ended September 30, 2026.
Total expenses for the company climbed 25.9% to ₹1.33 trillion, as raw material costs jumped by 24.3%. Tax expenses more than doubled to ₹3,285 crore, contributing to the overall pressure on the firm's bottom line amid volatile energy market conditions.