LIC Reduces Holding in State-Owned Refiner BPCL to 6.75%

Life Insurance Corporation of India (LIC) has brought down its shareholding in Bharat Petroleum Corporation Ltd (BPCL) to 6.75%, compared with 8.75% earlier. LIC is one of the biggest institutional investors in public sector companies, and such changes in holdings are part of its regular portfolio activity. 

Profit Rises Sharply in Q2FY26 

The stake cut comes soon after BPCL reported a strong financial performance for the September quarter. Net profit for Q2FY26 stood at ₹6,442.53 crore, a sharp rise from ₹2,398 crore in the same period last year. This is a 169% year-on-year increase, reflecting higher earnings during the quarter despite minor changes in operational volumes. 

Higher Refining Margins Support Earnings 

A key contributor to the improved results was stronger gross refining margins (GRMs). BPCL recorded GRMs of $10.78 per barrel, compared with $4.41 per barrel a year ago. Refining margins indicate what a refiner earns after converting crude oil into petrol, diesel, aviation fuel and other products. The better margins helped offset a slight drop in crude processed at the facilities. 

Revenue and Sales Activity 

The company’s revenue from operations grew 3%, reaching ₹1.21 lakh crore during the quarter. BPCL processed 9.82 million tonnes of crude, with capacity utilisation at 111%, compared with 10.28 million tonnes processed a year earlier. Domestic sales during the quarter stood at 12.67 million tonnes, recording 2.26% growth over last year’s 12.39 million tonnes. 

BPCL announced an interim dividend of ₹7.5 per share, showing the rise in cash flows reported during the period. Dividend announcements are typically based on financial performance and available surplus from operations. 

LIC Share Price Performance 

As of November 20, 2025, 09:53 AM, LIC share price was trading at ₹909.90, a 0.45% decline from the previous closing price. 

Read More: JAL Creditors Choose Adani Offer Over Higher Vedanta Bid Due to Upfront Payment Benefits!  

Conclusion 

The revised share data shows LIC holding a lower stake in BPCL at 6.75%. This update was released in the same period that BPCL reported growth in profit and revenue. 

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