Castrol India's quarterly profit jumps on strong retail, industrial demand
- Castrol India’s brands in the personal mobility segment grew faster than the rest of the business
Engine oil maker Castrol India posted a 42.6% rise in its quarterly profit on Tuesday, helped by strong volume growth across its consumer, industrial and institutional businesses.
The company supplies lubricants to major automakers, including Maruti Suzuki and Hero MotoCorp.
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.