Three state-owned petroleum marketing companies collectively earned Tk1,793 crore in profits in the 2025-26 fiscal year, despite repeated increases in fuel prices that have placed additional financial pressure on consumers.
The companies are Padma Oil Company, Meghna Petroleum and Jamuna Oil Company. All three are subsidiaries of Bangladesh Petroleum Corporation (BPC) and are listed on the stock market.
The government holds 50.35 percent of Padma Oil, 58.67 percent of Meghna Petroleum and 60.08 percent of Jamuna Oil.
Consumer rights activists have questioned the transparency of fuel subsidies, pointing to the substantial profits earned by state-owned companies while consumers continue to face higher fuel prices.
A H M Shafikuzzaman, president of the Consumers Association of Bangladesh (CAB), said there was a lack of transparency in the government’s fuel subsidy mechanism.
He questioned why subsidies were justified by citing losses in the energy sector while state-owned companies were generating significant profits.
He also alleged that consumers did not receive the benefits when international fuel prices declined, although domestic prices were increased when global prices rose. He criticised the government for setting fuel prices unilaterally without adequately considering recommendations from public hearings.
An analysis of the companies’ financial statements shows that Padma Oil posted a profit of Tk682.42 crore in FY2025-26, up around 21 percent from Tk562.88 crore in the previous fiscal year.
Its earnings per share (EPS) increased to Tk69.47 from Tk57.30. The company also announced a 170 percent cash dividend for FY26, compared with 160 percent in the previous year.
Meghna Petroleum earned Tk685.22 crore in the fiscal year, compared with Tk664.32 crore a year earlier, marking an increase of Tk20.90 crore.
Its EPS rose to Tk63.32 from Tk61.39. The company declared a 210 percent dividend for FY26, up from 200 percent in the previous fiscal year.
In contrast, Jamuna Oil witnessed a significant decline in profitability. Its profit fell to Tk425.36 crore in FY26 from Tk648.19 crore in the previous year, a decrease of Tk222.83 crore.
The company’s EPS dropped to Tk38.52 from Tk58.70. It also reduced its dividend to 120 percent from 180 percent in the previous fiscal year.
Despite the decline in Jamuna Oil’s earnings, the combined profit of the three companies stood at approximately Tk1,793 crore. Given the government’s substantial ownership in these companies, a portion of the profits could contribute to the national exchequer.
Meanwhile, the government has increased fuel prices several times since taking office, raising concerns over the impact on transportation costs, agriculture, industrial production and household expenditure.
On April 19, diesel prices were raised to Tk115 per litre from Tk100, while octane increased to Tk140 from Tk120, petrol to Tk135 from Tk116 and kerosene to Tk130 from Tk112.
Effective June 1, octane, petrol and kerosene prices were increased by another Tk5 per litre, while diesel prices remained unchanged.
The latest increase came into effect on September 21, when prices of all four types of fuel were raised by Tk20 per litre.
Currently, diesel sells for Tk135 per litre, octane for Tk165, petrol for Tk160 and kerosene for Tk155.
Overall, diesel prices have increased by Tk35 per litre, octane by Tk45, petrol by Tk44 and kerosene by Tk43 since the current government assumed office, adding to the financial burden on consumers and businesses.
