Did Castrol India Face a 10% Drop in Q4 Net Profit?
Synopsis
Key Takeaways
Mumbai, Feb 3 (NationPress) - Castrol India Limited announced a 9.9% fall in its net profit for the fourth quarter of the current financial year (Q4), despite achieving its highest quarterly revenue in the last two decades.
The lubricant manufacturer reported a net profit of Rs 244 crore for the October–December quarter, which is 9.9% lower than Rs 271 crore for the same period last year.
However, operational revenue experienced a year-on-year increase of 6.4%, reaching Rs 1,440 crore compared to Rs 1,354 crore, marking the company’s most robust quarterly performance in 20 years.
Castrol India's EBITDA, a crucial indicator of operational success, amounted to Rs 368.5 crore, slightly down from Rs 376.4 crore a year earlier.
The EBITDA margin also decreased to 25.6% from 27.8% in the corresponding quarter last year, as detailed in its regulatory filing.
Despite margin pressures, Castrol India managed to achieve an 8% increase in volumes during this quarter.
For the entire financial year 2025, Castrol India reported its highest-ever revenue, marking eight consecutive quarters of growth.
Annual operational revenue rose by 7% to Rs 5,722 crore, while EBITDA climbed by 5% to Rs 1,348 crore.
The company also declared a final dividend of Rs 5.25 per share for FY25, in addition to an interim dividend already issued, totaling Rs 8.75 per share for the year.
The record date for the final dividend is established as March 23, 2026, with payments to be made on or before April 27, 2026, pending shareholder approval at the upcoming annual general meeting.
Reflecting on the company's performance, Saugata Basuray, Interim Chief Executive Officer of Castrol India, mentioned the company’s strong volume-driven growth over the past eight quarters and its enhanced market share.
“As Castrol embarks on its next global phase, our strategy in India remains consistent – to grow the business by staying close to our customers, proactively adapting to changes in the market, and executing with discipline,” Basuray stated.