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Castrol India's quarterly profit jumps on strong retail, industrial demand

Castrol India's quarterly profit jumps on strong retail, industrial demand

- Engine oil maker Castrol India CAST.NS posted a 42.6% rise in its quarterly profit on Tuesday, helped by strong volume growth across its consumer, industrial and institutional businesses.


Here are some more details:

  • The company supplies lubricants to major automakers, including Maruti Suzuki MRTI.NS and Hero MotoCorp HROM.NS.

  • Castrol India's brands in the personal mobility segment grew faster than the rest of the business, reflecting increasing consumer preference for high-performance lubricants, said Managing Director Saugata Basuray.

  • Its standalone profit after tax rose to 3.48 billion rupees ($36.5 million) in the quarter ended June 30, from 2.44 billion rupees a year earlier.

  • EBITDA rose 41% year-on-year to 4.94 billion rupees.

  • Revenue from operations increased about 25% year-on-year to 18.71 billion rupees.

  • Total expenses rose 19.7% as raw material and packing material costs increased.

  • Volatility in the crude oil market triggered by the Middle East conflict kept base oil prices elevated during the quarter, raising input costs for lubricant makers.

  • Inflationary pressures and uneven monsoon conditions could influence demand in the second half of the year, Basuray said.


($1 = 95.3825 Indian rupees)


(Reporting by Payel Das; Editing by Eileen Soreng and Mrigank Dhaniwala)

((Payel.Das@thomsonreuters.com;))

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