Highlights

• HPCL reports FY26 profit after tax of Rs 17,175 crore with record market sales volume.
• Refinery throughput reaches highest-ever 26.0 MMT during FY26 across refining operations.
• HPCL plans refinery capacity expansion to 45.3 MMTPA by FY28 through ongoing projects.

Hindustan Petroleum Corporation Limited (NSE:HINDPETRO) presented its FY26 operational and financial performance along with future expansion plans. The company reported highest-ever market sales of 51.4 MMT and refinery throughput of 26.0 MMT during FY26. HPCL also outlined expansion projects across refining, pipelines, petrochemicals, renewable energy and green hydrogen businesses.

Financial and Operational Performance

HPCL reported revenue from operations of Rs 4,78,543 crore and profit after tax of Rs 17,175 crore during FY26. Refinery gross refining margin stood at US$ 8.79 per barrel.

Market sales increased to 51.45 MMT in FY26 compared to 49.82 MMT in FY25. Refinery throughput reached 26.0 MMT with refinery utilisation remaining above 100% across facilities.

Pipeline throughput stood at 25.5 MMT during the year. Retail outlet network expanded to 25,098 outlets, while LPG consumer base increased to approximately 99 million customers.

Source: Company Filing

Infrastructure Expansion Plans

The company stated that refining capacity is expected to increase from 35.8 MMTPA in FY26 to 45.3 MMTPA by FY28. The increase includes expansion at HPCL Mittal Energy Limited and commissioning of the HPCL Rajasthan Refinery Limited project.

HPCL Rajasthan Refinery project, with planned capacity of 9 MMTPA, reported physical progress of 91.6% as of March 31, 2026. The project cost stands at Rs 79,459 crore.

Pipeline network is planned to expand from 5,440 km to 6,000 km by FY28. The company also targets increasing CNG stations from 2,253 to 3,000 during the same period.

Green Energy and Net Zero Plans

HPCL reiterated its target of achieving net zero Scope 1 and Scope 2 emissions by 2040. The company plans to invest Rs 60,000 crore toward net-zero initiatives.

Renewable energy capacity is expected to rise from 235 MW in FY26 to 2,400 MW by FY28. Green hydrogen production capacity is planned to increase from 370 TPA to 9,670 TPA by FY30.

The company stated that a 370 TPA green hydrogen plant has already been commissioned at Visakh Refinery.

Digital and Research Initiatives

HPCL highlighted multiple digital initiatives including predictive maintenance, AI-driven analytics, supply chain management and digital payment platforms. The company’s R&D centre has applied for 779 patents, with 312 patents granted as of March 2026.

The company also reported ongoing work across hydrogen technologies, biofuels, petrochemicals and battery technologies.

Share Performance

HPCL shares traded lower on May 14, 2026. The stock was quoted at Rs 375.15 on NSE, down 14.95 points or 3.83%. The stock opened at Rs 388.80 and touched an intraday low of Rs 373.90. Previous close stood at Rs 390.10, while VWAP was Rs 378.69.

Source: Trading View

Key Risks

• Volatility in crude oil prices may impact refining margins and profitability trends.
  • Large-scale capital expenditure projects may increase leverage and funding requirements.
  • Regulatory changes in fuel pricing could affect marketing segment earnings visibility.
  • Delays in refinery and energy transition projects may affect projected capacity targets.

Summary

HPCL (NSE:HINDPETRO) reported FY26 profit after tax of Rs 17,175 crore alongside record market sales and refinery throughput. The company outlined expansion plans across refining, pipelines, natural gas, petrochemicals and renewable energy. HPCL targets refining capacity of 45.3 MMTPA by FY28 and net zero emissions by 2040. HPCL shares traded lower despite operational growth and infrastructure expansion updates.

FAQs

Q: What was HPCL’s FY26 profit after tax?
A: HPCL reported profit after tax of Rs 17,175 crore during FY26 financial year.

Q: What refinery capacity target has HPCL set for FY28?
A: HPCL plans to increase refining capacity to 45.3 MMTPA by FY28 period.

Q: Why did HPCL shares decline on May 14, 2026?
A: HPCL shares traded lower despite operational updates and expansion plans disclosed by the company.