Revenue distribution by sectors:

• Refinery products: approx. 70%
• Marketing and sales of petroleum products: approx. 25%
• Petrochemicals and others: approx. 5%

TOP 3 markets and their percentage shares:

• India: approx. 85%
• Southeast Asia: approx. 10%
• Middle East: approx. 5%

Hindustan Petroleum Corporation Limited (HPCL) generates the majority of its revenue from refining and distributing petroleum products. The Indian market is the dominant sales market, attributed to strong domestic demand and the company's strategic importance in the national energy supply.

The expansion into international markets, particularly in Southeast Asia and the Middle East, demonstrates HPCL's efforts to expand its market presence beyond India. This is part of a long-term strategy to capitalize on the growing demand in these regions.

Production sites of Hindustan Petroleum Corporation Limited:

1. Mumbai Refinery: Capacity of approximately 7.5 million tons per year.
2. Visakhapatnam Refinery: Capacity of approximately 8.3 million tons per year.
3. Bina Refinery (Joint Venture): Capacity of approximately 7.8 million tons per year.

Hindustan Petroleum Corporation Limited (HPCL) operates multiple refineries in India, primarily located in Mumbai and Visakhapatnam. These refineries are crucial for the production of petroleum products distributed throughout India. Additionally, HPCL is involved in the Bina Refinery, which is operated in collaboration with other companies. This strategic distribution of production sites enables HPCL to efficiently meet demand in various regions of India.

Investments in Renewable Energies: 25% of the investment budget (2025)

Expansion of Refinery Capacity: 10 million tons per year by 2027

Digitalization and Automation: 15% efficiency improvement by 2026

Hindustan Petroleum Corporation Limited (HPCL) pursues a strategy that is strongly focused on diversification and sustainability. A key component of this strategy is the investment in renewable energies, with approximately 25% of the investment budget allocated to projects in this area. This includes both solar and wind energy projects to reduce dependence on fossil fuels.

In addition, HPCL plans to expand its refinery capacity by 10 million tons per year by 2027. This expansion aims to increase production capacity and improve supply security to meet the growing demand.

Another focus is on the digitalization and automation of processes to increase operational efficiency by 15% by 2026. This includes the use of advanced technologies to optimize the supply chain and enhance the customer experience.

Main Imported Raw Materials:

• Crude Oil

Countries of Origin:

• Saudi Arabia
• Iraq
• United Arab Emirates
• Nigeria
• Kuwait

Hindustan Petroleum Corporation Limited (HPCL) mainly imports crude oil, which serves as the primary raw material for refining and producing petroleum products. The main supplier countries are significant oil producers in the Middle East such as Saudi Arabia, Iraq, and the United Arab Emirates. These countries are central partners for India due to their large oil reserves and established trade relationships. Additionally, HPCL sources crude oil from Nigeria and Kuwait to enhance supply security and benefit from different oil qualities.

Market share: Approximately 25% in the Indian refinery market (2023, estimated)
Refinery capacity: 15.8 million tons per year (2023)
Net profit growth: 5.2% (2023)

Hindustan Petroleum Corporation Limited (HPCL) has a significant competitive advantage due to its established market position and extensive refinery capacities. With an estimated market share of around 25% in the Indian refinery market, HPCL plays a crucial role in the country's energy supply.

The refinery capacity of 15.8 million tons per year enables the company to ensure a consistent supply of petroleum products, which is highly advantageous in a high-growth market like India. Furthermore, HPCL has been continuously investing in the modernization and expansion of its infrastructure in recent years to enhance efficiency and productivity.

Another advantage is the integration across the entire value chain, from refining to distribution, which reduces costs and improves margins. Despite intense competition in the industry, particularly from state-owned and private players, HPCL remains well positioned due to its strategic investments and market position.

Institutional Investor Share: 51% (estimated for 2025)
Insider Buys/Sells: No significant transactions reported (2025)

The institutional investor share in Hindustan Petroleum Corporation Limited is estimated to be around 51%. This demonstrates the confidence of institutional investors in the company and its future performance.

No significant insider buys or sells were reported for the year 2025. This could indicate that insiders are satisfied with the current valuation of the company or do not expect any significant changes in the corporate strategy.

Market share of Hindustan Petroleum Corporation Limited (HPCL): 18% (estimated for 2025)

Top competitors and their market shares:

1. Indian Oil Corporation (IOC): 40%
2. Bharat Petroleum Corporation Limited (BPCL): 20%
3. Hindustan Petroleum Corporation Limited (HPCL): 18%
4. Reliance Industries Limited (RIL) - Oil & Gas Division: 12%
5. Essar Oil: 5%
6. Shell India: 3%
7. Nayara Energy: 2%

Moat of HPCL:

Hindustan Petroleum Corporation Limited (HPCL) has a moderate moat, mainly based on its established infrastructure, extensive distribution network, and strong brand presence. Access to a wide network of gas stations and refineries provides HPCL with a certain competitive advantage.

Compared to its competitors, Indian Oil Corporation (IOC) has the largest moat, as it owns the largest distribution network and the most comprehensive refinery capacity in India. BPCL follows with a similarly strong network and a solid market position.

Reliance Industries Limited (RIL) has a significant moat through its vertical integration and innovation, especially its ability to invest in new technologies and alternative energy sources.

Overall, HPCL's moat is less pronounced compared to IOC and RIL, as these companies have stronger competitive advantages due to their size, diversification, and innovation. HPCL must continuously invest in efficiency improvements and potentially in alternative energy sources to maintain or expand its market share and competitive edge.

Revenue Growth: 8.5% (2024) Profit Growth: 9.2% (2024) Market Share in the Indian Refinery Market: 25% (2024)

Hindustan Petroleum Corporation Limited (HPCL) has experienced solid revenue and profit growth in recent years, indicating strong operational performance and efficient cost control. The company benefits from its significant market position in the Indian refinery market, ensuring a stable source of income.

Furthermore, HPCL has invested in expanding its refinery capacities and modernizing its infrastructure to meet future demand growth and further enhance efficiency. These strategic investments could support the company's long-term growth potential.

The Indian economy continues to grow robustly, driving demand for energy products. HPCL is well positioned to benefit from this growth, particularly through its strong presence in the retail sector and its expansion plans in renewable energy.

In summary, HPCL could be an attractive investment opportunity due to its solid financial performance, strategic investments, and strong market position. However, investors should also consider macroeconomic risks and the volatility of commodity prices that could impact business results.

Dividend Yield: 4.5% (2024)

Hindustan Petroleum Corporation Limited (HPCL) has regularly paid out dividends in recent years. The dividend yield for the year 2024 was approximately 4.5%. This indicates a relatively attractive yield compared to other companies in the industry.

HPCL has a history of stable dividend payments, which points to a reliable payout. The company's financial stability and its position in the industry support the ability to continue paying dividends in the future. Analysts view HPCL's dividend policy as sustainable as long as crude oil prices and operating margins remain stable.