Gandhar Oil Refinery (India) Limited has informed the Exchange about General Updates
GANDHAR · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
Gandhar Oil Refinery has informed exchanges about risks to its operations from the ongoing Middle East war. Base oil prices have surged ~20% in the last 15 days, the Indian Rupee has weakened against the US Dollar, and freight charges have risen due to disrupted shipping routes and limited marine insurance. The company's UAE plant (50.1% subsidiary) could face raw material supply issues if the war continues, though it currently maintains optimum inventory and is fulfilling domestic sales. For context, the company reported Q3 FY26 (Dec 2025) consolidated total income of Rs 1,170.64 Cr and 9-month PAT of Rs 92.74 Cr, already exceeding the full FY25 PAT of Rs 79.31 Cr. Overseas sales contribute ~45% of consolidated sales, giving the company a natural forex hedge. Management says it can pass on base oil price increases via index-linked contracts and has diversified its supplier base.
Short-term margin pressure is possible from higher input and freight costs, though management believes pass-through contracts and forex hedging should limit the damage. Shareholders should watch for any disruption at the UAE plant or sustained cost spikes, which could weigh on profitability despite strong year-to-date earnings.