Gandhar Oil Refinery (India) Ltd (GANDHAR)

Oil Gas & Consumable Fuels · Refineries · NSE · Updated 2 September 2026
By StockFin Research Team AI-Assisted Analysis Source: BSE/NSE Filings
₹262 ↑ 78.29% (1Y)

🎯 Key Takeaways

  • Gandhar Oil Refinery is transitioning from a traditional oil refining entity into a more diversified financial services and commodities player, as evidenced by strategic amendments to its Memorandum of Association and governance structure. The company maintains strong profitability metrics with ROE of 25.
  • Revenue grew 58.4% QoQ to ₹1,732 in Q1FY27.
  • ⚠️ 1) The company’s strategic shift into financial instruments and commodities introduces new regulatory and market risks not previously part of its core
Market Cap
₹2,564
P/E Ratio
8.5
P/B Ratio
2.07
ROE
25.6%
ROCE
32.0%
Debt/Equity
0.15
Div Yield
0.29%
Promoter
66.6%

📖 The Story

Gandhar Oil Refinery is transitioning from a traditional oil refining entity into a more diversified financial services and commodities player, as evidenced by strategic amendments to its Memorandum of Association and governance structure. The company maintains strong profitability metrics with ROE of 25.6% and ROCE of 32%, supported by consistent revenue growth and disciplined capital allocation. Its financial trajectory reflects operational expansion and shareholder-friendly policies, positioning it as a mid-sized but high-margin player in the energy sector undergoing strategic evolution.

📰 What's Happening

In Q1 FY27, Gandhar Oil Refinery reported consolidated revenue of ₹1,734.95 crores and profit of ₹178.82 crores, marking significant YoY growth from ₹748.64 crores revenue and ₹31.82 crores profit in Q1 FY2025. The Board declared an interim dividend of ₹2 per share, approved the appointment of Mr. Shyam Chandrabhan Agrawal as an Additional Non-Executive Independent Director, and reconstituted the Risk Management Committee with him as Chairman. The 34th AGM is scheduled for September 11, 2026, where audited financials for FY2025-26 will be adopted and the company’s expanded business scope in financial instruments and commodities will be formalized.

Source: Stock Announcements

📊 Quarterly Results (₹ Cr)

MetricSep 2025Dec 2025Mar 2026Jun 2026
Revenue1,0601,1671,0931,732
Operating Profit585256273
OPM %5.5%4.4%5.1%15.8%
Net Profit403437206
EPS₹3.68₹3.31₹4.16₹19.65

Revenue has grown nearly 132% YoY in Q1 FY27 compared to the same quarter last year, rising from ₹748.64 crores to ₹1,594.47 crores (consolidated), with profit surging over 460% from ₹31.82 crores to ₹178.82 crores. Operating margins improved to 15.8% in the latest quarter from 5.1% in Q4 FY26, indicating operational scaling and better utilization of refining infrastructure. This growth is not driven by one-off factors but aligns with management’s stated strategy of expanding into financial markets and commodities, as reflected in the MOA amendment.

🔮 Management Outlook & What's Next

Management has not provided formal forward guidance on revenue or margins, but repeated emphasis in filings has been on governance upgrades, shareholder returns, and strategic expansion into financial services. The appointment of a new independent director with risk management oversight and the reconstitution of the Risk Management Committee signal a focus on operational resilience and compliance as the company diversifies. The 34th AGM in September 2026 will be the key platform for management to articulate next steps in this strategic pivot.

Extracted from official company announcements. Not StockFin.ai's opinion.

🏦 Balance Sheet (₹ Cr)

ItemMar 2025Mar 2025Mar 2026Mar 2026
Equity Capital20202020
Reserves1,1881,2171,2701,333
Borrowings225182331315
Total Liabilities2,0701,9592,1972,225
Fixed Assets351449455497
Investments0133
Total Assets2,0701,9592,1972,225

The balance sheet shows a stable capital structure with low debt-to-equity at 0.15 and consistent equity base of ₹20 crores, while reserves have grown from ₹1,217 crores to ₹1,333 crores over the past year. Borrowings increased slightly to ₹315 crores from ₹182 crores, suggesting modest capital expenditure or working capital financing, but total assets remain manageable at ₹2,225 crores. The company maintains strong liquidity within a conservative leverage framework, supporting both operational growth and dividend sustainability.

💰 Cash Flow Statement (₹ Cr)

ItemMar 2025
Operating+15
Investing-48
Financing+13
Net Cash Flow-21

👥 Shareholding Pattern

CategoryQ2FY26Q3FY26Q4FY26Q1FY27
Promoters65.0%66.2%66.5%66.6%
FII0.2%0.3%0.1%1.3%
DII2.0%0.4%0.1%1.0%
Public25.2%25.6%26.3%25.9%
# Shareholders1,41,4061,38,3471,39,4821,34,265

Promoter holding remains stable at approximately 66% over the last four quarters, indicating no dilution or stake sale. Institutional interest has fluctuated slightly, with FII holding rising from 0.14% in Q4 FY26 to 1.28% in Q1 FY27, while DII holdings remain minimal (<1.5%). The number of shareholders has increased marginally, from 1,38,347 to 1,34,265, reflecting broadening retail participation. No significant selling by promoters or institutions is evident, suggesting confidence in the current trajectory.

⚖️ Peer Comparison — Refineries

Company MCap (₹ Cr) P/E ROCE ROE D/E
RELIANCE 17.69 L Cr 23.7 11.3% 9.7% 0.41
IOC 1.93 L Cr 5.6 16.4% 16.3% 0.55
BPCL 1.37 L Cr 7.9 17.8% 17.1% 0.43
HINDPETRO 77,134 46.2 2.9% 2.5% 0.78
MRPL 30,013 9.6 23.0% 22.1% 1.01
CHENNPETRO 20,656 5.0 44.0% 37.6% 0.18
GANDHAR 2,564 8.5 32.0% 25.6% 0.15
KOTYARK 361 1.3 19.2% 15.7% 0.40
543805 91 0.08
526652 9.8% 8.8% -0.42

🔗 Peer Stock Analyses

⚠️ Risk Factors

1) The company’s strategic shift into financial instruments and commodities introduces new regulatory and market risks not previously part of its core refining operations. 2) Despite strong profitability, revenue concentration remains high in the refining segment, making future growth dependent on successful diversification. 3) The newly appointed independent director may lack direct experience in financial markets, raising questions about the depth of oversight in the new business lines. 4) TDS compliance for dividends requires shareholder action by July 31, 2026, with potential for withholding errors if documentation is incomplete.

📋 Recent Filings

🧠 Analyst's Read

Gandhar Oil Refinery is executing a clear but understated strategic transformation, leveraging its refining profitability to enter financial services and commodities. With strong margins, low debt, and active shareholder returns, it is positioned for steady growth, but the success of its diversification will be the key monitorable catalyst in the coming quarters.

Based on filing content and financial data. Not a recommendation.

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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-09-02.

Editorial & Data Transparency Notice

This analysis was programmatically compiled using StockFin AI utilizing official regulatory disclosures from the BSE and NSE. Content is automatically synthesized and audited against public financial filings. StockFin.ai is an educational research platform and is NOT a SEBI-registered investment advisor or research analyst.

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