Castrol India today reported a marginal increase in net profit at Rs 33.96 crore for the third quarter ended September 30, 2006 when compared with Rs 33.60 crore in the quarter ended September 30, 2005.According to a release issued by the company to the BSE today, total income (net of excise) increased 25% to Rs 424.55 crore for the quarter ended September 30, 2006 from Rs 337.75 crore for the quarter ended September 30, 2005.Managing director Naveen Kshatriya, in a press release issued by the company, said: "Castrol India has achieved significant growth in revenue in the quarter driven largely by higher price realisations. The cost of goods (COGS) environment has continued to be extremely challenging with sharp increases in prices of base oils and additives. This has resulted in cost of goods registering a sharp increase of 45%. The company has managed successfully to secure higher prices in its retail automotive and industrial lubes business thereby mitigating most of the COGS increases. The company is confident of continuing to recover the cost increases over time and hold on to unit margins. The auto, agri and industrial sectors of the economy continue to perform well providing the company with opportunities for an improved performance in the financial year."
