Mangalore refinery & petroleum announced robust financial results for the third quarter ended December 31, 2025, demonstrating strong operational performance and improved financial metrics. The Board of Directors approved the standalone and consolidated financial results during their 272nd meeting held on January 14, 2026.

Quarterly Financial Performance

The company's Q3 FY26 results showcase significant improvement across key financial parameters compared to the same period last year:

The substantial increase in profitability reflects improved operational efficiency and better market conditions during the quarter.

Nine-Month Performance Turnaround

The nine-month results for FY26 demonstrate a remarkable turnaround from the previous year's performance:

Despite a decline in nine-month revenue, the company achieved profitability through improved operational efficiency and cost management.

Balance Sheet Strengthening

MRPL made significant progress in strengthening its financial position during the reporting period. The company reduced its total borrowings from ₹12,867 crore to ₹9,290 crore over the nine-month period, representing a substantial debt reduction. The debt-equity ratio improved dramatically from 0.99 as of March 31, 2025, to 0.63 as of December 31, 2025, and further improved from 0.79 in the previous quarter.

Operational Highlights

The company's physical performance remained stable with throughput of 4.70 MMT in Q3 FY26 compared to 4.60 MMT in Q3 FY25. For the nine-month period, throughput was 12.65 MMT compared to 13.54 MMT in the previous year. Key operational developments included:

• Commencement of crude storage operations at the Cavern Storage facility leased from ISPRL, Mangalore in October 2025
• First-time processing of Sarir Mesla Crude from Libya with API gravity of approximately 37.24

Recognition and Awards

MRPL received multiple prestigious awards during the period, highlighting its operational excellence and innovation capabilities. The company was honored with Export Excellence Awards by the Federation of Indian Export Organisations in two categories: "Five Star Export House Category" and "Highest Foreign Exchange Earner Category." Additionally, MRPL won its fourth successive Innovation Award 2024-25 for Best Innovation in Research & Development in Refining Technology at the 28th Energy Technology Meet.

Mangalore Refinery and Petrochemicals Limited delivered exceptional financial performance in the third quarter of fiscal year 2026, demonstrating a remarkable turnaround in profitability and operational efficiency. The company's Board of Directors approved the unaudited financial results for the quarter and nine months ended December 31, 2025, during their meeting held on January 14, 2026.

Outstanding Q3FY26 Financial Performance

The company achieved outstanding results in Q3FY26, with key financial metrics showing substantial improvement across all parameters:

The revenue growth of 16.08% to ₹29,720.13 crores reflects improved market conditions and enhanced operational performance. The company's profit before tax increased significantly to ₹2,214.28 crores compared to ₹469.35 crores in the corresponding quarter of the previous year.

Nine-Month Performance Shows Remarkable Turnaround

The nine-month period ended December 31, 2025, showcased an even more impressive transformation in the company's financial trajectory:

Despite a 6.12% decline in total income to ₹76,814.72 crores, the company achieved a remarkable turnaround from a net loss of ₹312.56 crores in 9M FY25 to a net profit of ₹1,811.86 crores in 9M FY26.

Enhanced Financial Position and Key Ratios

The company's financial position strengthened considerably during the quarter, with several key financial ratios showing improvement:

The debt-equity ratio improvement to 0.63 times from 1.06 times indicates enhanced financial stability and reduced leverage. Total borrowings decreased significantly by 30.13% to ₹9,289.61 crores, reflecting improved cash generation and debt management.

Operational Efficiency and Cost Management

The company demonstrated strong operational efficiency with improved cost management across various expense categories. Cost of materials consumed was ₹20,394.34 crores in Q3FY26 compared to ₹20,937.77 crores in Q3FY25. The company's excise duty increased to ₹5,008.48 crores from ₹3,729.92 crores, reflecting higher production volumes and improved product mix.

Employee benefits expense remained well-controlled at ₹184.26 crores, while finance costs decreased to ₹218.96 crores from ₹263.60 crores in the corresponding quarter of the previous year, indicating effective debt management strategies.

Strong Cash Generation and Coverage Ratios

The company's cash generation capabilities improved substantially, as evidenced by enhanced coverage ratios:

• Debt Service Coverage Ratio: 1.68 times (Q3FY26) vs 0.15 times (Q3FY25)
• Interest Service Coverage Ratio: 12.90 times (Q3FY26) vs 4.04 times (Q3FY25)

These improvements demonstrate the company's enhanced ability to service its debt obligations and generate sufficient cash flows from operations. The substantial improvement in interest service coverage ratio reflects the company's strong earnings before interest, taxes, depreciation, and amortization (EBITDA) performance.