EconomyCompanies
Castrol India's quarterly profit falls 23% as costs bite despite 27% sales growth
The lubricant maker said early price increases had softened the blow, and warned that it expects a volatile, inflationary year ahead.
Key points
- Profit after tax fell to ₹176 crore in July-September from ₹228 crore a year earlier.
- Revenue from operations rose 27% to ₹1,735 crore.
- Nine-month EBITDA grew 11%, helped by price increases early in the year.
Castrol India’s profit fell by almost a quarter in the July-September quarter even as its sales rose sharply, as higher costs squeezed margins at the lubricant maker.
Profit after tax came to ₹176 crore, against ₹228 crore a year earlier and ₹348 crore in April-June, the company said on Saturday. Revenue from operations rose 27% to ₹1,735 crore from ₹1,363 crore. Earnings before interest, tax, depreciation and amortisation fell 19% from a year earlier to ₹262 crore, and profit before tax to ₹243 crore from ₹308 crore.
Castrol India follows the calendar year, so the July-September period is its third quarter. Over the first nine months of 2026, revenue rose 20% to ₹5,151 crore, EBITDA 11% to ₹1,086 crore and profit after tax to ₹766 crore from ₹705 crore.
Managing director Saugata Basuray said “Castrol delivered a resilient performance”, crediting price increases made early in the year with limiting the hit to margins. The company’s industrial business recorded double-digit volume growth in the quarter.
Chief financial officer Mrinalini Srinivasan said: “Our EBITDA grew 11% over nine months, supported by pricing action we took early in the year.” She said the company expects the operating environment to stay volatile and inflationary and will respond with further pricing and cost measures.
The results come with Brent crude above $100 a barrel through October; it settled at $116.72 on Friday.