HPCL misses estimates in Q2; plans to issue Rs 6000 crore NCDs

State-owned Hindustan Petroleum Corporation Limited (HPCL)  missed estimates by reporting net profit of Rs 701.32 crore for second quarter September 30, 2016, against net loss of Rs 317.13 crore in the corresponding period of the previous year.  A Bloomberg poll estimated net profit to be around Rs 1,050 crore for this quarter.

Net profit was a decline by 66.58% against Rs 2,098.38 crore of the preceding quarter.

Total income from operations stood at Rs 47,882.49 crore, which was up by 3.26% year-on-year (yoy) but down by 7.31% quarter-on-quarter (qoq).

HPCL also said that the board of directors have approved the proposal to issue secures/unsecured redeemable non-convertible bonds/ debentures.

These NCDs will aggregate value up to Rs 6000 crore from domestic as well as overseas market. It is subject to the approval of shareholders.

After the announcement of Q2, the shares of HPCL slumped by over Rs 30 per share or 6.89% on BSE, trading at Rs 417.60.