ABOUT THE COMPANY

Bharat Petroleum Corporation Limited (BPCL) is a Government of

India controlled Maharatna oil and gas company headquartered in Mumbai, Maharashtra. The
Corporation operates two large refineries of the country located in Mumbai and Kochi. The
company is India's 2nd largest downstream oil company and is ranked 342nd on
the Fortune list of the world's biggest corporations as of 2016. In 2018, BPCL ranked 672 in the
Forbes 2018.

ANALYSIS OF MDA REPORT

 There is growth of renewable energy and reduction in coal consumption across the world
due to technological advances.
 Global primary energy consumption recorded a rebust growth around 2.2% led primarily by
growth in natural gas and renewables.
 China is 1st in energy consumption followed by US. During 2017, oil prices started falling.
India is the 3rd largest consumer of primary energy and one of the fastest growing
economies.
 India produces 1% of world crude oil but consumes 5% of world crude oil. India’s import bill
has increased thus there has been an increase in the higher crude prices.
 Opportunity-oil and gas sector is the largest sector and can boost GDP of any country.
 BPCL Retail sales of petroleum products during the financial year 2017-18 grew at 6.1%
while the major products, petrol and diesel, put together grew at 6.5%, with corresponding
PSUs growth at 5.7%.
 BPCL handled 1,872 TMT of Gas in the year 2017-18, as against 1,371 TMT in the previous
year, a growth of approx. 26%.
 The LPG SBU registered a sale of 6 MMT and for the second consecutive year, registered the
highest growth of 9.98% amongst the PSU Oil Marketing Companies, thereby increasing
market share by 0.36% during the year 2017-18.
 Aviation- Sales growth of 15.7% was achieved against the PSU growth of 13.0% during FY’17-
18.
 Corporate strategy and business development has been set up to track the strategy
implementation and explore new strategic opportunities across the value chain to enhance
 efficiencies, find new business models and act as a catalyst for innovation and excellence in
execution.
 Employee Satisfaction Enhancement followed a plan of enhancing employee satisfaction
through employee wellness, employee connect and prompt grievance redressal.
 In order to cut Greenhouse Gas emission and advance closer to cleaner fuels, Ethanol
blending in Petrol has been increased to 10% by the Government, but the total blending has
reached only 3.3%. It is also planned for 20% Ethanol blending in Petrol by 2030.
 During FY 2017-18, BPEC processed 4.3 Lakh invoices amounting to ` 11,000 Crores. There
was a marked improvement in the processing cycle, with almost 80% of the invoices being
processed within 15 days of receipt at BPEC.

INFORMATION ON ACCOUNTING STANDARDS AND
POLICIES OF THE COMPANY

 The Financial Statements of the company are prepared in accordance with Indian Accounting
Standards (Ind AS) notified under Section 133 of the Companies Act, 2013 read with
Companies (Indian Accounting Standards) Rules, 2015 and the other relevant provisions of
the Act and Rules there under.
 The Financial Statements have been prepared under historical cost convention basis, except
for certain assets and liabilities measured at fair value.
 The Corporation has adopted all the Ind AS and the adoption was carried out during Financial
Year 2016-17 in accordance with Ind AS 101 First time adoption of Indian Accounting
Standards.
 The transition was carried out from Generally Accepted Accounting Principles in India (Indian
GAAP) as prescribed under Section 133 of the Act, read with Rule 7 of the Companies
(Accounts) Rules, 2014, which was the Previous GAAP.
 The Corporation presentation and functional currency is Indian Rupees . All figures appearing
in the financial statements are rounded to the nearest Crores ('' Crores) except where
otherwise indicated.
 The Financial Statements were authorized for issue in accordance with a resolution of the
Board of Directors in its meeting held on 29th May 2018.

PERFORMANCE HIGHLIGHTS OF THE COMPANY

 Gross Revenue from Operations is Rs 2,77,162.23 Crores.

 Crude throughput increases to 28.54 MMT.
 Market Sales including exports is 43.20 MMT.
 Net Profit is Rs.7,919.34 Crores.
 Market Share surges to 23.8 %.