Chennai Petroleum profit surges to 2,271 crore rupees as refining margins improve and dividend is approved
Key Facts
Chennai Petroleum (CPCL) reported profit after tax of 2,271 crore rupees for the quarter ended September 30, 2026, compared with 732 crore rupees in the year-earlier period, according to results reported by Business Standard. Profit was above its level a year earlier, while revenue from operations was 22,109 crore rupees in the second quarter of fiscal 2026-2027. Revenue represented a 10% year-on-year increase from 20,069 crore rupees in the corresponding quarter. Net profit was also 2,271 crore rupees, up from 1,017 crore rupees in the first quarter of the same fiscal year, according to NDTV Profit. The quarterly comparison shows higher profit alongside year-on-year revenue growth.
The increase in profit coincided with an improvement in gross refining margin, which reached $20.41 a barrel in the second quarter, compared with $9.04 a barrel in the year-earlier period. Business Standard reported that the refining margin had improved "significantly" year on year. The measure reflects the difference between the value of refined products and the cost of crude oil, and is used to track refining performance. The margin was therefore above its level a year earlier, during the same period in which revenue from operations grew. The quarterly results link the improved margin with higher profit, without the available data specifying each factor's contribution to net profit.
The company declared an interim dividend of 25 rupees for each share with a face value of 10 rupees for fiscal 2026-2027, according to a disclosure reported by NDTV Profit. It set October 30, 2026, as the record date for determining shareholders eligible for the dividend. Payment to eligible shareholders is due no later than November 21, 2026. The announcement gives investors a specific timetable for eligibility and payment alongside the quarterly results. The source did not establish that the dividend was the highest since the company's listing, as stated in the initial version of the report.
On a quarter-on-quarter basis, earnings before interest, taxes, depreciation and amortization rose to 3,201 crore rupees in the second quarter from 1,555 crore rupees in the first quarter, according to NDTV Profit. The margin for this measure widened to 15.6%, from 5.7% in the previous quarter. These figures add an operating indicator to the quarterly comparison of net profit, which rose to 2,271 crore rupees from 1,017 crore rupees. The interim dividend is due to shareholders identified by the company according to the announced record date, with payment to be completed by the specified deadline. The available information did not include a share price or its market movement following the results announcement.