BEPL uses crude oil as their main raw material. The price fluctuation of crude affects the OPM badly last one year. Crude price were 20 year low in FY21 and it helped the margin to shoot up. Now it is at 2014 levels which clearly affects the results of this quarter. I think, this trend is expected to be continued because the current OPM is also way higher than the historical Material cost consumption. Unless, sales does exceptionally well in the future quarters, will not see BEPL to go up.
Disc: New to Investing / VP.