Mangalore Refinery Share Price: Why Did This PSU Stock Jump 11% Today?

SYNOPSIS: MRPL shares rebounded after management clarified crude sourcing strategy, halting Russian imports while exploring Venezuelan oil, easing sanction concerns and restoring confidence following a brief sell-off.

During Wednesday’s trading session, shares of a state-owned oil refiner and fuel retailer and schedule “A” Mini Ratna Category surged more than 11 percent on BSE. So, what triggered this sharp rise? Let’s break it down in this article.

At 01:50 p.m., shares of Mangalore Refinery and Petrochemicals Limited were trading in the green at Rs. 151.15 on BSE, up by over 8 percent, compared to its previous closing price of Rs. 139.4, with a market cap of Rs. 26,490 crores. The stock has delivered positive returns of around 7 percent in the last one year, and has gained by over 1 percent in the last one month.

Shares of Mangalore Refinery and Petrochemicals Limited (MRPL) rebounded after a three-day decline, with investor sentiment stabilising following management commentary during the company’s earnings call. While the stock initially came under pressure after executives stated that MRPL has stopped importing Russian crude to comply with Western sanctions, the same interaction also highlighted the company’s efforts to diversify crude sourcing. During the earnings call, management also clarified that MRPL is actively evaluating alternative crude options, including potential imports from Venezuela.

MRPL’s Chief Financial Officer, Devendra Kumar, said the company is actively assessing Venezuelan crude as a sourcing option. He noted that freight costs could be higher and that Venezuelan crude typically has a lower API crude, but added that MRPL would evaluate the overall economics, terms, and commercial viability before taking a decision.

Kumar emphasised that MRPL is fully compliant with all international sanctions and is currently not importing any Russian crude. He also clarified that Russian oil was earlier considered “opportunity crude”. Importantly, the management does not foresee any near-term disruption to the company’s exports.

Operationally, MRPL remains well-positioned due to its ability to process more than 250 different crude varieties globally. The company operates a refinery with a capacity of around 5 lakh barrels per day in Karnataka. Roughly 40 percent of its refined output is exported, while domestic sales are largely to PSU oil marketing companies. Exports typically contribute about 30-35 percent of MRPL’s overall revenues.

It’s also worth noting that before the recent three-day correction, MRPL shares had gained nearly 12 percent last week, supported by strong Q3 FY26 financial results.

Financials

MRPL reported a marginal growth in revenue from operations, experiencing a year-on-year increase of around 13 percent, from Rs. 21,871 crores in Q3 FY25 to Rs. 24,712 crores in Q3 FY26. Likewise, its net profit increased during the same period from Rs. 309 crores to Rs. 1,451 crores, representing an impressive rise of nearly 370 percent YoY. The company’s debt-to-equity ratio also improved to 0.63, from 0.79 in Q2 FY26 and 1.05 in Q3 FY25.

Mangalore Refinery and Petrochemicals Limited (MRPL) is a Central Public Sector Enterprise (CPSE) engaged in the business of refining crude oil and marketing of petroleum products. The company is a subsidiary of Oil and Natural Gas Corporation Limited (ONGC), which holds 71.63 percent equity shares.

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