Castrol India's net profit rose marginally to Rs 193.32 crore in Q4 2022 as compared to Rs 188.58 crore reported in Q4 2021.
Revenue from operations was at Rs 1,176.01 crore in the quarter ended 31 December 2022, up 7.8% from Rs 1,090.61 crore recorded in Q4 2021.
Profit before tax declined 3.5% to Rs 247.89 crore in Q4 2022 as against Rs 256.86 crore posted in the same period last fiscal.
Total expenses rose 12.01% year on year to Rs 947.76 crore in Q4 2022. Cost of materials consumed was at Rs 565.87 crore (up 22.13% YoY) and employee expenses stood at Rs 72.69 crore (up 15.02% YoY) during the quarter.
On the full year basis, the company's net profit rose 7.5% to Rs 815.15 crore on 13.9% jump in revenue to Rs 4,774.49 crore in CY 2022 over CY 2021.
Sandeep Sangwan, managing director of Castrol India, said, 2022 was marked by high forex and inflationary pressures arising from volatile crude oil prices, leading to rising costs of additives and base oil. We balanced our volumes and margins through timely pricing decisions and rigorous cost management and delivered bottomline growth.
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In 4Q, we bolstered our service & maintenance network with a strategic partnership with Ki Mobility Solutions and expanded the reach of our service brands: Castrol Auto Service, Castrol Bike Points and Castrol Express Oil change.
Sharing a future outlook, Sangwan added, We will continue to drive long-term growth for Castrol through our future-ready strategy, which focuses on an enhanced play in service & maintenance, and a foray into new segments including automotive aftercare and electric mobility.
In the EV space, in 2023, we will launch our Castrol ON range of EV fluids for the aftermarket and collaborate with two-wheeler & four-wheeler OEMs to support their EV transition. In addition, we are supporting mechanics to get EV-ready with certified trainings that will help create an eco-system enabled to serve EVs better.
Castrol said that it further expanded its service & maintenance network in Q4 2022 with 230 Castrol Auto Service (CAS) centers in 110+ cities across India, 5,215 Castrol Bike Points and 42 Castrol Express Oil Change outlets across India.
Meanwhile, the company's board has recommended a final dividend of Rs 3.50 per equity share for the financial year ended 31 December 2022. The record date for the same is fixed on Thursday, 4 May 2023. The dividend, if approved by the shareholders will be paid on or before Friday, 9 June 2023.
Castrol India is one of India's leading lubricant companies with brands such as Castrol CRB, Castrol GTX, Castrol Activ, Castrol MAGNATEC and Castrol VECTON. The company also operates in select segments like high performance lubricants and metalworking fluids used in a wide variety of industries such as automotive manufacturing, mining, machinery, and wind energy. Castrol has a large manufacturing and distribution network in India with three blending plants and a distribution network of 350 distributors.
Shares of Castrol India were down 0.13% to Rs 119.75 on the BSE.
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