A holistic approch
To sustainability.

ECONOMIC PERFORMANCE

GRI Standards

GRI 201: Economic Performance		Sections/Comments
GRI 103-1	Management approach: Explanation of the material topic and its boundary	Material aspects & scope
GRI 103-2	Management approach: The management approach and its components
GRI 103-3	Management approach: Evaluation of the management approach
GRI 201-1	Direct economic value generated and distributed	Net revenue: ₹ 7,393.3 crores Profit after Tax: ₹ 1,182.87 crores
GRI 201-2	Financial implications and other risks and opportunities due to climate change	In response to the pressing environmental challenge of climate change, KNPL has adopted the Task Force on Climate-related Financial Disclosures (TCFD) framework to assess and quantify its risks and opportunities. We have integrated the identified risks with our Enterprise Risk Management strategy
GRI 201-3	Defined benefit plan obligations and other retirement plans	Employee Benefits (Note 32, 39)
GRI 201-4	Financial assistance received from government	Company received no financial assistance from government

Financial Performance

(₹ in Crores)

Revenue from Operations for the year aggregated to ₹ 7,081.02 Crores as compared to ₹ 5,948.90 Crores for the previous year, reflecting a growth of 19.0%.

Average Crude oil prices during the year increased from USD 79.8/bbl to USD 92.6/bbl, a jump of 17% over the last year. The currency further depreciated during the year, impacting raw material prices.

Inflation which was very high at the beginning of the year started tapering downwards towards the second half of the year, which helped in some margin improvement.

The Company continued its efforts to control overheads, and all departments worked on their tasks and achieved the result.

During the period, the Company granted 11,92,792 restricted stock units to eligible employees as determined by the Nomination and Remuneration Committee of the Company. Consequently, employee benefits expense includes a provision of ₹ 3.75 Crores made towards Share-Based Payment Expense for the year ended 31st March, 2023.

PBDIT for the year was higher at ₹ 793.89 Crores compared to ₹ 647.34 Crores, reflecting a growth by 22.6%. Depreciation for the year was ₹ 164.63 Crores, slightly higher compared to the previous year.

Other income was lower at ₹ 30.83 Crores as compared to ₹ 32.86 Crores in the previous year.

PBT for the year was ₹ 650.36 Crores as compared to ₹ 516.51 Crores (before exceptional item) of the previous year, reflecting a growth of 25.9% over the previous year. PAT was higher at ₹ 486.43 Crores compared to ₹ 374.33 Crores, reflecting growth of 29.9%.

The Company did not accept any deposits covered under Chapter V of the Companies Act, 2013, during the year. There were no significant or material orders passed by any Regulators, Courts or Tribunals against the Company which could impact its going concern status and the Company’s operations in future.

There was no change in the nature of business during the year. There were no material changes and commitments affecting the financial position of the Company that occurred between the end of the financial year of the Company to which the financial statements relate and the date of this Report.

	FY 2023-2024	FY 2022-2023
Revenue from operations	7,393.30	7,081.02
Profit before Depreciation, Interest, Exceptional item and Tax	1,022.88	793.89
Less: Depreciation and Amortization	179.96	164.63
Profit before Interest, Exceptional item and Tax	842.92	629.26
Less: Interest	12.46	9.73
Add: Other income	93.11	30.83
Profit before tax and Exceptional Item	923.57	650.36
Add: Exceptional item	642.25	-
Profit before tax	1,565.82	650.36
Less: Tax Expenses	382.95	163.93
Profit after tax	1,182.87	486.43
Other Comprehensive income	-3.77	0.16
Total Comprehensive income for the year	1,179.10	486.59

Way Forward

At KNPL, the agenda and preparations for the upcoming fiscal year are meticulously laid out at the start of the year. This comprehensive process involves formulating and developing a detailed yearly business plan encompassing all aspects of our operations and strategies. A detailed annual budget is prepared by the Management Committee, which includes functional heads, Managing Director and then approved by the Board of Directors, based on the annual business plan and macro environment, including currency value, raw material costs and energy costs, among other things. The functional heads and the Management Committee review the budget regularly. The Company monitors the budget using several IT platforms and has devised multiple system checks to keep it under control.

Revenue from Operations (₹ in Crores)