Gandhar Oil Refinery Reports Strong Q2 Growth

Q2 FY27 Profit: Rs 186.28 Crore | Q2 Revenue: Rs 1,846.56 Crore

Reader Takeaway: Strong revenue growth offsets flood-related one-time costs; focus shifts to insurance recovery and Silvassa unit operations.

What just happened

Gandhar Oil Refinery (India) Ltd posted a robust financial performance for the quarter ended September 30, 2026. Revenue from operations climbed to Rs 1,846.56 crore from Rs 1,068.11 crore in the same quarter last year. Profit after tax also saw a substantial increase, reaching Rs 186.28 crore compared to Rs 39.77 crore in Q2 FY26.

Why this matters

The growth signals strong market demand for the company’s products. However, the results include an exceptional charge of Rs 21.29 crore. This provision covers losses of stock and repair costs caused by floods at the Silvassa manufacturing plant. The company has not yet recognized any insurance income, as the claims process is still in its early, uncertain stages.

Management Update

To stabilize the Silvassa unit, the company has appointed Mr. Santosh Kumar Singh as Factory Manager, effective October 27, 2026. Mr. Singh, who has been with Gandhar since 2002, was previously the Assistant General Manager for Commercial operations. He is expected to oversee inventory and statutory compliance at the plant.

Risks to watch

Investors should closely track the insurance recovery process. If the company successfully realizes its claims, it could provide a boost to future earnings. Conversely, any lingering bottlenecks in production at the Silvassa unit could pressure margins in the coming quarters.

What to track next

Watch for official updates regarding insurance payouts related to the flood damages and the performance recovery of the Silvassa unit under the new management.