Mangalore Refinery and Petrochemicals Ltd (MRPL) shares fell more than 7% during trading on October 15, 2026, despite the company reporting a sharp increase in second-quarter profit. The stock opened at ₹189.60 on the NSE before dropping to an intraday low of ₹171.20, compared with the previous close of ₹185.26.
MRPL, a subsidiary of Oil and Natural Gas Corporation (ONGC), reported standalone net profit of ₹1,881 crore for the September quarter of FY27, nearly three times the ₹639 crore recorded in the corresponding quarter last year. Revenue from operations rose 37.1% year-on-year to ₹35,590 crore, while profit before tax increased to ₹2,519 crore from ₹975 crore.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) more than doubled to ₹3,210 crore from ₹1,565 crore. For the first half of FY27, net profit reached ₹2,796 crore, compared with ₹367 crore a year earlier.
The company's board also approved an interim dividend of ₹3 per equity share. MRPL received its first international credit rating from Fitch Ratings, with a BBB- rating and stable outlook, according to the reported update.
Despite the strong results, brokerage firm PL Capital maintained a 'Hold' rating on the stock while raising its target price to ₹180 from ₹165. The brokerage expects refining margins to moderate in FY28 and FY29 as geopolitical disruptions ease and refining conditions normalise.
For investors, the divergence between earnings and share-price performance highlights the importance of assessing whether strong quarterly results can be sustained. Refining margins, crude oil prices, future earnings and valuation remain important factors to monitor. A single session's decline or a brokerage target should not determine an investment decision on its own.
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